Tony Abbot. (AFP)

An Indonesian official on Friday criticized Australia's prime minister as "unethical" for sidestepping allegations the Australian navy paid the crew of a boat carrying 65 migrants to return to Indonesian waters.

Indonesia's foreign ministry has said it is "very concerned" by a report from police in East Nusa Tenggara province that the boat's captain and five crew members detained on remote Rote island had about $30,000 cash. The group claimed they were paid to return the migrants to Indonesia after being intercepted by an Australian navy ship on May 20.

Australia's prime minister Tony Abbott did not deny the payment claims in a radio interview Friday. He said border officials are being "incredibly creative" in coming up with responses to human trafficking.

Agus Barnas, spokesman for Indonesia's coordinating ministry for political, legal and security affairs, said Abbott's comments could be interpreted as endorsing bribery and might encourage people smuggling.

"His statement is very unethical," said Agus.

The sharp rhetoric from Jakarta is the latest flaring of tension over Australia's policy of turning back and refusing to settle any migrant who arrives on its shores by boat. Migrants escaping poverty or oppression use Indonesia as a transit point for the perilous journey in often barely seaworthy vessels to Australia.

Abbott also dodged questions about the allegations during a subsequent news conference. Asked whether the government had paid people smugglers to turn back boats, he replied, "We've used a whole range of measures to stop the boats because that's what the Australian people elected us to do."

Australia's opposition lawmakers jumped on the controversy, accusing the government of creating an incentive for people smugglers.(dmr)(+++)

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