KPK to question Robert Tantular today

Fri, 03/19/2010 10:51 AM | National

The Corruption Eradication Commission (KPK) will question former Bank Century owner Robert Tantutar on Friday in its investigation into possible fraud in the disbursement of the Rp 6.76 trillion (US$716 million) Bank Century bailout.

KPK spokesman Johan Budi, confirmed the plan and said that Robert would be examined as a witness.

Previously, the antigraft commission had planned to question Robert over the management of the bailout funds after they were disbursed by the Deposit Insurance Corporation (LPS).

Bank Century, now Bank Mutiara, received Rp 6.76 trillion in bailout funds after the government decided to save the ailing bank, fearing a systemic threat to the country’s banking sector amid the global financial crisis.

However, many suspect the bailout funds may have been channeled to politicians for election campaign funds.

The Financial Transaction Reports and Analysis Center (PPATK) recently found that several names of fund recipients may have been political figures.

Earlier this year, the Jakarta High Court increased the sentence against Robert from four to five years in prison, after it found him guilty of issuing a letter of credit worth US$178 million and unhealthy loans of Rp 362 billion ($38.5 million) and misusing funds worth $18 million.

Maruarar warns KPK to work seriously on Bank Century case

Tue, 03/16/2010 10:03 PM

Legislator Maruarar Sirait from the Indonesian Democratic Party of Struggle [PDI-P] has asked the Corruption Eradication Commission [KPK] to seriously investigate a possible graft within Bank Century's bailout.

“It [Bank Century bailout] involves possible corruption involving a huge amount of state money," Maruarar, who was one of the initiators of the House of Representatives' special committee to query parties related to the troubled bailout, said Tuesday as quoted by tempointeraktif.com. "The KPK should put in an extra effort to reveal it.”

Maruarar said that the “flaming ball” on Bank Century's case was currently in the hands of the KPK. “The [flaming ball] was in the House's, but we have proven [our seriousness in settling the case] by forming the special committee.”

Previously, the House voted against a decision in November 2008 by then Financial System Stability Committee (KSSK) chairwoman Sri Mulyani Indrawati and Boediono (now Vice President) to authorize the bailout that increased tenfold to Rp 6.76 trillion (US$716 million).

Muhammadiyah urges KPK to take actions in Bank Century case

Jakarta | Tue, 03/16/2010 2:32 PM

Second largest Muslim organization Muhammadiyah has urged the Corruption Eradication Commission (KPK) to take actions in the Rp 6.7 trillion (US$716 million) Bank Century bailout case.

"Our stand has been very clear. We want the Bank Century bailout case to be resolved comprehensively," Muhammadiyah chairman Din Syamsuddin said as quoted by kompas.com.

"It's not only about the huge amount of money in the bailout, but also illegal practices in it."

Din said KPK should be able to take actions based on the audit from the Supreme Audit Agency (BPK).

"KPK must quickly process those involved in the Bank Century bailout," he added.