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ASIET NetNews Number 24 - June 29-July 5, 1998
East TimorIndigenous people's action in Sulawesi Suharto's land taken back by the people Pakpahan says halts protests
Political/economic crisisCourt imprisons soldier for shooting Moslem leader backs referendum `Nindja' groups mobilised in East Timor` No secret plans for East Timor, UN says Interview with Xanana Gusmao From Dili to the shootings in Baucau Activists back softer line by Ramos-Horta Security men fire on protesters Forceful counter demonstration Delegation mobbed by demonstrators
Labour issuesIndonesia stares into uncharted depths Capital jittery amid fears of more riots Unrest stirs two Indonesian towns
Human rights/lawWorkers organised, troops mobilised Workers demand minister to quit Factory workers clash with troops in Jakarta Thousands of workers protest in West Java Minimum wage raised by 15 percent
PoliticsRights activists blast bill on street protests Military apologizes for Irian Jaya shooting Armed forces `took part in abduction'
Arms/armed forcesPresident recalls 41 MPR members Indonesia launches process for elections
International solidarityWiranto denies report Soeharto ruling ABRI
Economy and investmentSolidarity movement rejects Hanson
Jakarta urged to bail out banks Jakarta officials `are parking wealth abroad'
| Democratic struggle |
Palu -- Indigenous people from eight villages in Central Sulawesi and local student and NGO activists went to the Administrative Assembly in the provincial capital on Monday 22nd June. The representation of 75 people, led by Ruslan Sangadji, carried posters and banners in the name of the 'Action Committee of the People of Central Sulawesi for Land Law Reform'.
The indigenous people who demanded justice and rights to their lands came from the Lindu, Doda, Katu, Nunu, Tondo, Kayu Malue, Tompu and Bunku. Traditional leaders from each community took it in turn to deliver speeches in fromt of the Administrative Assembly building.
After some speeches the demonstrators asked to go inside and meet members of the Assembly. However, the Assembly members only agreed to allow a few representatives in. As this was not acceptable to the demonstrators they only met the Head of the PP fraction -- HM Nawir -- outside the building.
The Action Committee of the People of Central Sulawesi for Land Law Reform took this opportunity to present a statement to the Assembly. Amongst other things, this stated that the (Suharto) 'New Order' government's capitalist approach meant that the rapid growth in all sectors of the economy only benefited the owners of capital.
The state had used various regulations to assume control over land, forests and waters which the indigenous people had owned under traditional law for many generations. The powerful, dominant hegemony of the state enabled the government to use political repression and the security forces to transfer land rights from the local people to the state.
The indigenous people of central Sulawesi have been hard hit by decrees of the Suaharto government relating to the ownership of ancestral lands. These include the people of Katu, Doda, Napu, Toro, Sungku, Tompu, Nunu, Tondo, Donggala, Pakawa, Bonobogu, Bokat, Momunu, Paleleh, Baturabe, Sinorang, Mori Atas, Togian, Ungkaya and Bahomatefe.
[Posted by Liz Chidley]
Jakarta -- Since Monday June 29, thousands of traders in the village of Kerang Tengah, in the sub-district of Ciledung, Tangerang, have occupied nine hectors of land owned by PT Bogasari. The same thing was done by thousands of traders from North Jakarta on land owned by PT Subentra in the village of Harjamukti Cimanggis in Bogor, West Java. The authorities at the location could do little and were only seen watching at the action at a distance as land owned by the Suharto family was staked out.
A number of traders in Ciledung said that they had staked out the land ownd by Bogasari because they had been under great [economic] pressure since their place of trading at Plaza Ciledug was burn down last May 14 and 15. The Tangerang local government had moved the traders to the Peninggilan village. But because its location was not good for trading, they asked to be allowed to return. They were annoyed because the government had still not responded to their request. As a result, the traders staked out PT Bogasari's land.
The incident at PT Subentra began after the arrival of thousands of traders in busses, taxis and private vehicles from North Jakarta. A number of them, who had been sacked without notice, began staking out land straight away. A conflict almost broke out between the traders and locals because part of the land was owned by business tycoon Sudwikatmono which had also been staked out by local people.
Recently, land in a number of areas believed to be owned by the family and relatives of Suharto have seized by the masses. Even scores of horses from the Tapos ranch [owned by Suharto] were sized by the masses until a Kopassus unit arrived to guard the area.
[Slightly abridged translation by James Balowski]
Jakarta -- Indonesia's leading independent trade union has called off all planned demonstrations following appeals from the public and businessmen, its leader said on Thursday.
"Following many requests from the public and entrepreneurs, we have called off all planned demonstrations for the time being," Indonesian Labour Welfare Union (SBSI) head Muchtar Pakpahan told reporters. "We will see what the government's reaction is to our proposals for national reconciliation and work together towards an agenda for political and economic reforms, especially for the small people who are really suffering," he said.
On June 23, Pakpahan threatened to bring thousands of workers to parliament to pressure President B.J. Habibie to hand over power to a transitional government until new elections are held. The following day, hundreds of troops blocked streets leading to SBSI's head office and prevented the union's 200 members who had gathered there from moving to parliament.
Indonesia is basking in new-found political freedom since the resignation of long-ruling and autocratic president Suharto in May. Protests and demonstrations are being held almost daily. Some are purely political demonstrations but most are protests against rising prices and unemployment as the country battles its most crippling economic crisis in decades. Government officials are worried these protests could easily spiral into violence while businesses say output has been badly affected.
[According to a report by the July 2 Suara Pembaruan, Justice Minister Muladi has warned Pakpahan he could be rearrested if he engages in "illegal activities". The paper quoted Muladi as saying "Just look at Pakpahan. After being released, he's been making trouble. He's even threatened to overthrow the Habibie government. That's a very dangerous thing to do" - James Balowski.]
| East Timor |
Irwan Firdaus, Dili -- A military court sentenced an Indonesian soldier to 10 years in prison Thursday for killing an East Timorese civilian. Prosecutors accused 2nd Sgt. Slamet, 23, of shooting Herman dos Dores Soares on June 16 in the town of Manatuto, 37 miles east of Dili. They said the victim had been collecting wood by a roadside.
Military officials later said they were still investigating two other recent killings by troops in the troubled territory, invaded by Indonesia in 1975 and annexed the following year.
Padang -- Influential Indonesian Moslem leader Amien Rais on Friday backed a referendum on the future of East Timor. Rais, leader of the 28-million-strong Islamic group Muhammadiyah, said a referendum could be held under the supervision of international agencies.
"But if the results show that the majority wish to integrate with Indonesia, the East Timorese should accept that without fuss," Rais told a gathering of some 10,000 loyalists in this city on Sumatra island. While Rais backed a referendum, he deplored foreign political pressure on Indonesia to hold such an exercise, describing it as "outrageous."
He believed such a strategy was part of attempts to fragment Indonesia. "If their scenario succeeds then they will be able to divide and rob... Indonesia," Rais added.
The Darwin-based East Timor International Support Center (ETISC) received information, late this evening, that "nindja" groups have been mobilised by the Indonesian military (Abri) to terrorise East Timorese supporting a referendum for the troubled territory. The order given by the top Abri command [Maj Gen Prabowo Subianto it seems is still behind the scenes!] is for the creation of a complete breakdown in law and order in East Timor to justify a strong military presence there, and hence prevent a referendum from being held.
The following nindja groups are in operation: Gadapaksi in Dili; Alpha in Lospalos; Halilintar in Bobonaro; Leakikit in Viqueque; and Saka in Baucau.
These groups were mobilised on June 27, 1998 -- the day the European Ambassadors from Jakarta arrived in East Timor's capital Dili on a fact-finding mission.
In West Dili, the nindja groups start operating around 8:00 pm and residents at that time are afraid to leave their houses and most roads are deserted. In Dili Timor around Lahane, the groups are out in the streets terrorising residents from 7:00 pm onwards. Besides being armed with M-16 rifles, the nindja groups also have deadly knives.
On June 24, 1998 the nindja groups held a secret meeting to plot the assassination of Manuel Carrascalao, the brother of former governor Mario Carrrascalao. On June 27, while Manuel was waiting in his four-wheel drive for the EU ambassadors at the VIP exit in Comoro airport, he was attacked by youths on seven motorcycles. His bodyguard, Pedro, and Comoro district head, Vitorino dos Santos, shielded him from a knife attack.
On June 28, the nindja groups held a secret meeting in Bali to plot the killings of leaders in the Dewan Untim -- a loose coalition of students and youths supporting independence for East Timor. Manual Carrascalao's assassination was also discussed.
United Nations -- The United Nations said Thursday it has made no formal proposals to settle the issue of the status of the former Portuguese colony of East Timor, annexed in 1976 by Indonesia.
The strongly worded statement by UN spokesman Fred Eckhard came after the publication in Indonesia of a five-page document marked "strictly confidential" from UN special envoy Jamsheed Marker. Eckhard said Marker was "dismayed and seriously concerned at the deplorable breach of diplomatic confidentiality" that led to the release of the "highly confidential letter."
In East Timor, Bishop and Nobel Prize winner Carlos Belo criticized the leak about Indonesia's proposal to turn East Timor into an autonomous region. Belo said the report, dated April 23, should be withdrawn. "It is best that the UN pulls itself out from circulation and cancels all the UN's written plan on autonomy as listed in the draft." he said. "I think this would be the wisest move for both the pro and anti-integration groups within and outside Indonesia."
Eckhard said the special envoy "reiterates that there have been no proposals, formal or informal, made by the United Nations on the issue of East Timor." UN efforts are continuing to find a "just, comprehensive and internationally acceptable solution," he said.
Eckhard said the letter was "exploratory in nature and meant to enrich previous discussions ... and did not constitute proposals of any kind." Marker has sent a formal protest to Nugroho Wisnumurti, head of political affairs at Indonesia's Foreign Ministry, he added.
[According to a July 3 report by AFP, Indonesian foreign minister Ali Alitas has deplored the leak saying "The Indonesian government has no interest whatsoever in leaking this document. On the contrary. it looks like somebody wants to sabotage the ongoing tripartite discussions" - James Balowski.]
Xanana Gusmao, ex-leader of the East Timorese guerrilla fighters who reject integration with Indonesia, has said that the Suharto regime is responsible for most of the problems in East Timor. "The people of East Timor will not carry out an act of revenge against Indonesia, because it is not the Indonesian people who are in the wrong", he told Iwan Setiawan from TEMPO Interactive, who met with him in Cipinang prison, East Jakarta, on Wednesday June 24, 1998. This is the interview with him.
Question: Apparently Habibie is to make East Timor a special region. Do you agree with this? Answer: I think that the provision of any kind of status is [little more than] a bribe from the Indonesian government to the people of East Timor. This is not what the people of East Timor desire. What we want is the right to determine our own lives. With this offer the government hopes to "by-off" the people of East Timor so that they will be faithful to the Indonesian government.
Question: Are there not a number of parties in East Timor who support the idea?
Answer: Those who support Habbie's idea are parties which have previously agreed with the integration of East Timor with Indonesia. But they do not represent the majority of the East Timorese people, because the majority of East Timorese people do not support the idea.
Question: What do you actually mean by the right to determine your own lives?
Answer: The best thing for the East Timorese and also for the government of Indonesia to resolve the problem of East Timor is if the government gives the people of East Timor the freedom to choose their own future. This mean giving the people of East Timor the right to choose if they want to be an independent country or be part of Indonesia. So what the people what is a referendum.
Question: Why must it be a referendum?
Answer: Because that is the most fair way for us and the Indonesian government. Furthermore, according to the [Indonesian 1945] constitution, for a country which has been colonised such as East Timor, resolution through a referendum is valid. Both according to international law and the United Nations. They acknowledge that a referendum to resolve the issue is the best way. Question: Perhaps the government is worried that if a referendum is held, East Timor will become an independent country, and the Timorese people will take vengeance?
Answer: I think that those kind of fears are exaggerated. I know that the East Timorese people have no desire to retaliate against what we have experienced. The East Timorese people at the moment understand that the Indonesian government's military invasion of East Timor was a historical mistake. The one who is most responsible for the East Timor problem is the government of Indonesia under the Suharto, not the Indonesian people.
Answer: Conditions now are very different. Suharto has resigned. And because geographically, East Timor is closer to Indonesia than Australia, we are certain to want to work with Indonesia to develop East Timor in the future. There are also those who are of the opinion that it would be difficult for East Timor the develop as an independent country, because its natural resources are limited. Perhaps this is true but don't forget that we still have oil. Aside from this, if Indonesia, with its extensive natural resources can ask for international help, why can't East Timor also do so.
Question: What if after a referendum the majority of the East Timorese people want to integrate with Indonesia?
Answer: If that is the result, I will support it.
Question: But won't it be difficult if you want a referendum [to be held] within [such] a short time?
Answer: Yeh, I understand. What has become the goal of the struggle of the East Timorese people is clearly difficult for the Indonesian government [to accept]. But what is the difference between this and the demands of pro-democracy groups, who in general are demanding change in a relatively short and which has to be fulfilled. I think that the government could allow a referendum for the people of East Timor, not right now, but in five or ten more years.
Question: On what grounds? Answer: I am aware that the tasks which are being carried out by the Indonesian government under the leadership of Habibie are heavy. They must be able to resolve the [economic] crisis which Indonesia is currently experiencing. Another reason is that in five or ten years, there are a number of issues which will have to be carried out by the Indonesian government to prepare East Timor to hold a referendum.
Question: What preparations are needed?
Answer: The most important thing for the Indonesian government is to be able to improve the economic potential of the East Timorese people. Not by sending large conglomerates from Jakarta but by building an economy who's benefits can be enjoyed by the majority of the East Timorese people, not a few people.
The government also needs to prepare secure social and political conditions for the people of East Timor, they must be given [political] space to do as they wish, except criminal acts. For example, the East Timorese people being allowed to travel to any part of Indonesia. As well as this, building an infrastructure to support the people's lives.
Question: Hasn't the Indonesian government already spent a great deal of money on the development of East Timor?
Answer: Development by the Indonesian government has never involved the people. The government has only built what is according to them, is good, while in reality this has not been important or needed by the people of East Timor. So if the government really wants to help the East Timorese develop, it must listen to the aspirations of the East Timorese.
Question: Have there not been many discussions between the government and East Timorese leaders?
Answer: Yes, that is true. But in discussing future policies which are to be carried out by the Indonesian government in East Timor, they often limit themselves. So the dialogue is often unjust. So far, this dialogue has only been "lip-service".
Question: How do you assess efforts by Bishop Belo?
Answer: To date he has not just been me who has struggled for East Timor. Bishop Belo has also done this. But because he is a man of the cloth, the method he has chosen has been different. Similarly with Ramos Horta, he has also struggled in a different way. I think that each East Timorese person is free to choose the means by which they struggle for East Timor in as much as they take responsibility for what they do.
Question: What about the position of ABRI [the Indonesian armed forces] at the moment?
Answer: It would be best if ABRI learnt to respect the rights of the East Timorese people. This means that if the desires of the East Timorese are really different [from the Indonesian government] they must accept it. After the reform [process is complete] it would be best if ABRI just became the protectors of society. To no stop carrying out acts of violence and repression against the East Timorese. If a problem occurs, the resolution must be through legal channels.
Question: What if the military continue to use the security approach to resolve problems in East Timor?
Answer: If the military [continue to] use the security approach to resolve problems, perhaps it will be more difficult for the Habibie government to hope for international support, such as from the International Monetary Fund. The violent methods such as those used by the military in East Timor when Suharto was in power, have been condemned by the international community, because they violate human rights.
Question: Apparently, soon you will also be released?
Answer: The truth is that whether I am release or not is not very important. Don't think that the struggle of the East Timorese people is dependent upon me. Because what is being struggled for in East Timor is not just me, but the millions of East Timorese people. If my release can truly help in accelerating the goals of the East Timorese people, I am ready. If it is only "sweet talk" by the government, what is the use.
Question: What kind of strategy do you think should be chosen by the people of East Timor at the moment to struggle?
Answer: The blood [and suffering] which has been endured for the last 20 years has not been for nothing. I hope that the people of East Timor can be patient, because now the results of this struggle are moving towards what we have hoped for. What is most important is not to give up the struggle, and most importantly to look for a peaceful way to take the struggle forward.
[Translated by James Balowski]
[This is the detailed chronology of events from June 27-June 29, from the EU Ambassadors' visit to Dili to the tragic shootings in Baucau. The following information was supplied to East Timor International Support Centre by Yayasan Hak (Rights Foundation). The original report was in Bahasa Indonesia - ETISC.]
Pro-integration groups are mobilised by Indonesian government officials, with explicit instructions from Jakarta to oppose any demonstrations by East Timorese clamouring for a referendum for East Timor. The government officials have been given orders that the pro-integration demonstrations are to be held in conjunction with the visits of the European Union (EU) ambassadors from Britain, the Netherlands and Austria and are to proceed for eight hours when the EU ambassadors are in Dili.
Besides hardcore pro-integration groups, East Timorese -- mostly poor farmers -- are rounded up, from other parts of the territory, by the authorities to be bussed in to Dili. The poor East Timorese are tricked into going with promises that they would be welcoming back Nobel Peace laureate Bishop Belo, after his meeting with new Indonesian President B J Habibie. Some of the East Timorese, were duped into thinking they were travelling to Dili to welcome Habibie, who they thought was visiting East Timor.
Security access
Each pro-integration civilian group is given two rifles and a hand-grenade to force, if necessary by the use of arms, the East Timorese to Dili. The time has been fixed. The "pro-integration" East Timorese, from various districts, are to start moving into Dili from 4:30 am onwards. They are due to arrive at Dili's airport in the sub-district of Comoro, between 10.00 am and 12.00 noon.
Each East Timorese in the convoy is given an Indonesia flag and asked to shout these slogans: "Viva Indonesia!, Viva Integration! Long Live Indonesia! Integration, Yes, Autonomy No!"
For fears that the pro-integration convoy could be attacked by East Timorese favouring independence, protection is sought from the Police Mobile Brigade (Brimob) and the Indonesian army. The armed forces (Abri)-sponsored groups like SAKA, Makikit and Halilintar (Lightning) are also asked to provide protection. Comoro: June 27
The EU ambassadors have arrived in Dili from Jakarta. At 11.45 am before the foreign diplomats emerge from the VIP lounge and make their way to Dili's Hotel Mahkota, former East Timor governor Manuel Viegas Carrascalao approaches the airport in his private vehicle -- a red four-wheel-drive -- and drives into the VIP arrival area. He, too, wants to meet them.
Ten minutes after Carrascalao's arrival, seven motorcycles are seen speeding towards his four-wheel-drive. The youths on the motorcycles want to smash the vehicle. They also hurl abuses at Carrascalao. One of them wants to enter the vehicle forcefully and is seen brandishing a dagger. He screams out that he wants to stab the former governor.
According to witnesses in the crowd, the youth with the dagger is one Eurico -- a member of the Abri-controlled Gada Paksi para- military group. Carrascalao's personal bodyguard, Pedro, and the district head of Comoro, Vitorino dos Santos are quick to act. They shield the former governor from the attack. They youths now hurl abuses at Carrascalao. "Smash his vehicle and kill him!" they shout. They go on further. "You are responsible for dividing the East Timorese. We will soon kill you!"
The EU ambassadors soon emerge from the VIP exit and those East Timorese who were bussed in to Dili on the promise that they were either going to greet the Indonesian president or Bishop Belo, are in for a rude shock. After realising that they had been duped, they express their rage by breaking away from the pro- integration convoy.
Five truckloads of them then make their way to the University of Timor Timur to join the pro-independence protestors, shouting "Viva Timor Leste! Viva Xanana Gusmao! Abri are killers!"
Comoro Airport to Dili's Regional Legislative Assembly Building
The pro-integration convoy has been given strict orders to trail the vehicles with the EU ambassadors. All along the way slogans like "Viva Indonesia! Long Live Indonesia! East Timorese Want Autonomy Under Indonesia!", are shouted by the pro- integrationists. The convoy, now, has dwindled to about 250 people and when they reach the Legislative Assembly Building several speakers proceed with orations on "The Concepts of Autonomy, Integration" and "How Indonesia Has Developed East Timor."
A clash soon occurs at around 3.00 pm with the pro-independence demonstrators who had gathered there earlier. After 10 minutes, the Mobile Police Brigade (Brimob) arrives on the scene and breaks-up the fight. Brimob gives the demonstrators -- pro-and- anti-integration -- ten minutes to leave the area. Clearly outnumbered by the pro-independence demonstrators, the pro- integration East Timorese clear off from the vicinity of the Legislative Assembly Building.
Manatuto: June 27
More pro-integrationists are being mobilised by the Indonesian government authorities -- many of them government servants who have been threatened with the sack if they failed to join the protests in favour of Indonesia. In the meantime, a convoy of pro-independence East Timorese from Baucau, Lospalos and Viqueque are making their way to Dili to meet the EU ambassadors. In Manatuto, the pro-independence convoy is blocked by the pro- integrationists on the road leading to Dili. The tensions build up and both groups clash. The security forces soon are at the scene and live shots are fired. A 21-year-old East Timorese man, Manuel Marques Soares is killed by a stray bullet. Two others are injured -- Candido Soares, 30 and Manuel Martins, 23. The enraged crowd [pro- independence] brings Manuel's body to Dili and the procession tries to take the corpse inside the complex of the Jakarta- appointed governor Abilio Soares.
The crowd, now, has swelled to over 10,000 and are blocked from entering by hundreds of troops who use tear gas to disperse them. Protesters throw stones at the soldiers before the crowd moves on and continue to circle the capital, shouting "killers" whenever they pass military bases.
Dili: June 28
After the first mass on Sunday, thousands make their way to the University of Timor Timur to join pro-independence protestors already assembled there since 7.00 am. Anti-Indonesia banners are displayed prominently: "Autonomy No! Referendum Yes!", "We Want Referendum and Reject Integration", "Free Xanana Gusmao."
Student leaders make arrangements to meet the EU ambassadors in Hotel Mahkota. The negotiations go on well and the students make their demands known, among which include: To demand the European Union push forward the effort of the Portuguese and the Indonesian governments, as well as the United Nations to find a fair solution to the East Timor conflict -- through a referendum under the auspices of the United Nations. They also urged the release without any precondition all political prisoners both inside and outside East Timor, including the President of the National Council of Timorese Resistance (CNRT), Kay Rala Xanana Gusmao.
Around midday, thousands of anti-Indonesian protesters escort the three European ambassadors through the streets of Dili. The crowd of about 5,000, many on foot and some in trucks, forced the ambassadors' mini-bus to a crawl through the streets of Dili. The protesters, including students and local residents, shout "Referendum" and "Dead or alive, we prefer to be independent," as they followed the envoys.
Troops stood back and watched from a distance and there were no reports of violence. One banner draped on a truck said "East Timor is not part of Indonesia." Others had pictures of jailed East Timorese guerrilla leader Xanana Gusmao.
Dili-Baucau: June 29
Encouraged by the turnout of the pro-independence supporters the previous day, civil servants now join the anti-Indonesia protests -- completely disregarding the earlier warning that they might lose their jobs if they didn't support integration with Indonesia. It's early in the morning and there are now about 500 cars on the streets of Dili and about 1,000 motorcycles. The anti-Indonesia, pro-independence banners are displayed openly. There is a euphoric feeling [short-lived!] in Dili -- reminiscent of the day independence was declared on November 28, 1975.
Word has got around that the EU ambassadors will be making their way to Baucau, 150 km from Dili, for a meeting with Bacau Bishop Basilio Nacimento. The news in Dili is that over 5,000 East Timorese, wanting referendum, have gathered outside the Bishop's residence.
The EU delegation leaves Dili about 8.00 am and at 2.00 in the afternoon the ambassadors' mini-van are on the road near Bishop Nacimento's residence. The huge crowd surges towards the van yelling "Viva Timor Leste", "We Want Referendum". The EU ambassadors manage to break through the crowd and make their way into Bishop Nacimento's residence.
The army soon is at the scene. Eight trucks with 500 Rajawali troops led by Lt Colonel Wisnu try to break up the peaceful demonstration. The crowd is agitated when they spot a van carrying plainclothes military intelligence officers. The protesters, who had been chanting slogans demanding independence for East Timor, smash the rear windscreen of the van at which point the security men opened fire into the crowd.
There's complete mayhem, now. Many in the crowd run towards Bishop Nacimento's residence. Orlando Marcelino da Costa, 35, is killed instantly. Five are seriously wounded: Sesaltinho da Costa, 19; Sejarino Jesus da Costa, 39; Aldemero Correia, 30; Dirce Elisabet do Rosario, 15; Maria Imaculada do Rosario, 17. The plainclothes military intelligence officers then drive straight into the crowd. Two are injured: Adelson Ximenes Correia, 19 and Jao da Costa, 20.
[According to a July 1 report by the Straits Times, Bishop Belo responded to the Baucau killing by calling on Indonesian troops to leave if they could not maintain order without resorting to violence. He added "My impression is, if they are not able to control the situation... let them ask the UN forces to control the situation here". On the same day the Udayana military commander (which covers East Timor), Major General Adam R Damri, was quoted by Antara as saying the military will not pull out of because its presence is still needed for "protection" and to "increase prosperity". He also said "a referendum would open up old wounds and we do not wish for any fighting between different groups". On June 29, Antara quoted Foreign Minister Ali Alitas as claiming that anti-integration protesters were in a minority at the demonstrations. Human rights organisations such as ETISC say more than 80% of East Timorese want a referendum - James Balowski.].
Jenny Grant, Jakarta -- Activists and parliamentarians yesterday welcomed a compromise offer from East Timorese independence leader Jose Ramos-Horta on the future of the disputed territory.
Nobel laureate Mr Ramos-Horta, ambassador-at-large for the East Timorese resistance movement, said on Monday he would accept Indonesian President Bacharuddin Habibie's offer of "special status" autonomy for the territory. However, the territory must be able to hold a referendum on its future within five years, he said at the United Nations, and he could not accept Indonesian sovereignty over East Timor, one of Jakarta's key demands. Meanwhile, he suggested that the two sides negotiate more immediate issues, such as the release of more political prisoners and Indonesian troop reductions.
"He [Mr Ramos-Horta] is right, because we realise we need time to prepare for a referendum," said Maria Olandina, member of the East Timor Parliament for the Indonesian Democracy Party. Ms Olandina, who supports resistance against Indonesian rule in East Timor, said East Timorese needed five years to raise funds and organise themselves if the referendum was to run smoothly.
Jose Luis, head of the political section at the Rights Foundation in Dili, said Mr Ramos-Horta's plan would ensure self- determination for the East Timorese. "But we will still launch demonstrations here and we also want to know the concrete details of the special status proposal," said Mr Luis.
Student leaders in the province, who have in recent days led protests by up to 20,000 people in Dili, were not available to comment on Mr Ramos-Horta's proposal. However, their slogan "independence or death" would indicate they are prepared to accept nothing less than an immediate referendum.
Mr Ramos-Horta's softer line could indicate a split in the opposition, which previously opposed compromise deals. President Habibie's offer of a new peace plan for East Timor -- involving special status, more prisoner releases and special educational and development funding in return for a surrender by resistance groups and recognition of Indonesian sovereignty -- has been rejected by the jailed rebel leader, Xanana Gusmao. [According to a July 1 report by Lusa, speaking at a new conference at the UN, Horta defended a proposal for a temporary halt in negotiations over East Timor until Jakarta took "confidence measures". He also said that "Indonesia should not insist in preconditions", called for the unconditional release of Gusmao and reiterated the need for a transition period referendum could be held - James Balowski.]
Louise Williams, Jakarta -- Indonesian intelligence officers opened fire on East Timorese demonstrators during a visit by three European Union ambassadors to the coastal town of Baucau yesterday, as anti-Indonesian street rallies escalated across the contested territory.
Two plain-clothed officers, one armed with a pistol, the other with an automatic weapon, opened fire as a crowd waiting for the European diplomats beat on the windows of the officers' car and began throwing stones. One man was killed and five were injured, Agence France-Presse reported. The security men were in a convoy of cars behind a vehicle carrying the diplomats from Britain, Austria and The Netherlands -- the latter representing Luxembourg -- who are assessing conditions in the former Portuguese colony.
Hundreds had spilled onto the streets to welcome the convoy but were angered when they realised Indonesian intelligence officers were in one of the cars, and began to attacking it. The envoys had already entered the office of the Catholic Bishop of Baucau, Monsignor Basilio Do Nascimento, for talks.
In the provincial capital, Dili, witnesses said the city was virtually paralysed as a five-kilometre protest march wound through the streets, the biggest of a series of anti-Indonesian rallies timed to coincide with the EU visit. A resident contacted by telephone said: "The town is practically closed. Nearly everyone is on the streets." Several trucks of soldiers were on standby, but no violence was reported.
Tens of thousands had turned out to march yesterday, the resident said, the fourth consecutive day of rallies in the capital despite a warning by the Jakarta-appointed Governor, Mr Abilio Soares, that security forces would get tough on protesters. "We will ask those holding [peaceful] demonstrations to stop. Let us have a dialogue," he said. "If they refuse they will be arrested. But, I will ask the armed forces not to kill them."
In Jakarta, Indonesia's Foreign Minister, Mr Ali Alatas, reaffirmed his Government's rejection of calls for independence, but said Jakarta was willing to negotiate on the conditions of autonomy within Indonesia.
He warned that one of the protesters' key demands, holding a referendum on East Timor's status, would only cause more violence. "A referendum will only cause a split among the East Timorese and a civil war." Over the weekend, rival groups clashed in the town of Manatuto, east of Dili, and one man was killed and two seriously injured when troops opened fire. Mobs also stoned Mr Soares's office.
Indonesian military along with the Governor Abilio Jose Osorio, forced civilian population, civil-servants and young boys to hold a counter demonstration during the time of Europe Union Ambassadors Delegation visit. All companies and businessman have to provide their cars, without exception for the transportation of demonstrators. The plan for the counter demonstration has been prepared for several days.
On Wednesday, 24 June 1998, Governor Abilio Jose Osorio invited all the Chief District of East Timor for a meeting in his office to present the plan of counter demonstration. The Governor ordered them to bring all civil-servants and civilian population in the demonstration. The first meeting began at 7.30 AM until 2.00 PM. The second meeting took place at the evening with the groups of Gardapaksi, Tim Alpha, Rajawali and Halilintar.
Thursday, 25 June 1998, the Chief of District of Dili, had another meeting with all the headmen of Dili city. There was also the Chairman of Local House of Representative. The headmen were forced to mobilize their respective population to involve in the counter-demonstration. The headman of Comoro, Vitorino is the only one who accepted the plan. All of others strongly rejected to take part, by the reason of the demonstration should create disorder and bloodshed. The civil-servants are also strongly refused to participate, but they are threatened of dismissed from their jobs and loosing three months of the salary.
Friday, 26 June 1998, at 7.30 AM all are forced to gather in the Governor office for the necessary instructions of the Governor, concern with the counter-demonstration, during the European Union Ambassadors Delegation (British, Austria and Dutch)visit on 27 June 1998. The counter demonstration is organized to reject referendum demanded by the students and the majority of East Timor people and support an autonomy status for East Timor suggested by Indonesian Government. [In a July 2 press release by the East Timor International Support Centre, the organisation expressed concerned that the military is using counter demonstrations to intentionally create conflicts in order to justify a new crackdown and/or to give the impression (as has been explicitly stated by Indonesian Foreign Affairs minister, Ali Alitas) that a referendum would result in a major social conflict - James Balowski.]
Dili -- Thousands of people shouting "independence or death" on Sunday mobbed a three-man European Uniondelegation in troubled East Timor, witnesses said. The chanting crowd, estimated at some 6,000 and made up mostly of students and youths, ran alongside and behind the car carrying the three ambassadors.
The massive turnout on a seaside boulevard in the capital of the former Portuguese colony annexed by Indonesia in 1976, followed the cancellation of the delegation's orginal plans because of security concerns.
The three, Britain's Robin Christopher, Austria's Viktor Segalla and Paul Brouwer, the Dutch ambassador representing Luxembourg, had been scheduled to attend early morning mass at the city's Roman Catholic cathedral. But that plan, and a visit to the University of Timor Timur were cancelled because the appearance of large crowds raised fears of a repeat of day-long street clashes that marred the ambassadors' arrival on Saturday.
Riot police used teargas and batons when pro- and anti-Indonesian groups clashed. An angry anti-Indonesian crowd marched through Dili behind an ambulance bearing the body of a man they said had been shot by Indonesian troops. But on Sunday, an AFP reporter said, riot police and mobile brigade soldiers who had lined the streets Saturday, were absent.
Chants of "Free Xanana!" and "Referendum Now!" rang out as the crowd, their numbers swelling by the minute, escorted a white mini-van carrying the ambassadors from their hotel to the house of a former governor.
Earlier, disappointed by the cancelled visits, crowds had swarmed from the Cathedral where the mass was to have been held and the university to the hotel, where the EU diplomats met student leaders. Despite pleas from the British ambassador to "let us get on with our schedule" the delegates' car was blocked for half an hour from leaving a parking lot, simply by the pressure of the anti-Indonesian demonstrators, an AFP reporter said. Bouwers said "we have have taken note of what they said, as we have taken note of what everyone said. It has been quite a day." Antero Bededito da Silva, one of the Timor Timur University students who met the diplomats told AFP he thought the talks had been "quite good." The 30-year-old political science student and head of the University Student and Youth Solidarity Council, said they had told the group that they would "accept the verdict of the people" if a referendum was held.
| Political/economic crisis |
Andrew Marshall, Jakarta -- Indonesia is on the edge of an abyss. The country is lurching towards economic disintegration, analysts say, and the only thing that can halt its catastrophic decline is a return of the investor confidence which collapsed last year to set the crisis in motion.
But such a leap of faith by international investors is further away than ever amid fears of another explosion of mass unrest.
The immediate priorities are to stave off widespread starvation, create a credible government in a country still in political limbo after the resignation of former president Suharto on May 21, and avoid a repeat of the mid-May riots that ravaged Jakarta and left almost 1,200 dead.
Only when -- and if -- this is achieved can serious talk of a recovery even begin. "In the next two years, the priority must be social cohesion," Mari Pangestu of Jakarta's Centre for Strategic and International Studies said. "Then you can talk about growth and recovery."
Survival first, recovery later Indonesia signed a new accord with the International Monetary Fund last week, opening the door for a resumption of stalled international loan payments likely to exceed $45 billion. While previous agreements had concentrated on economic reform and dismantling monopolies, the new deal had a much more basic focus -- fighting deepening hunger and deprivation.
The IMF said Indonesia's economy would contract more than 10 percent this year with inflation expected to reach 80 percent. But many economists say the picture will be even gloomier. Most expect the economy to shrink 15 to 25 percent in 1998. Pangestu said more than 100 million people -- half the population -- would be below the poverty line by the end of 1998. The distribution network, which was dominated by ethnic Chinese who have fled the country after being targeted by mob violence, is in tatters. Coupled with a severe drought and the soaring cost of imports, this has sent food prices spiralling. A period of vicious stagflation -- sharp economic contraction coupled with fierce inflation -- is inevitable.
Analysts say the risk of mass unrest is huge. "You cannot tear such a massive hole in the economy without causing deep suffering, dislocation, prostitution, disease, anger, frustration and death," said Jeffrey Winters, professor of political economy at Chicago's Northwestern University and an Indonesia specialist. "That is the time bomb Indonesia faces."
Many analysts say large-scale international humanitarian aid will be needed to keep starvation and unrest at bay. "There is no precedent for what is happening in Indonesia at the moment," said Bruce Rolph, head of equities at Jakarta's Bahana Securities. "We don't need marginal improvements, we need fundamental measures including a large injection of foreign aid."
The risk of an uprising from the lowest ranks of society is matched by the danger of further instability at the top. New President B.J. Habibie has promised parliamentary elections, held under less restrictive political conditions, by May next year and says a new president will be elected by the 1,000-member People's Consultative Assembly by the end of 1999.
Many analysts say Habibie lacks credibility both at home and abroad and the country cannot afford to wait so long for the installation of a president with wider popular backing. But some argue elections and attempts to build a new political landscape would only lead to chaos at a time of such economic depression.
Economists say Indonesia needs a government strong enough to tackle the crucial restructuring of the crippled banking sector and ailing state firms in the face of powerful vested interests. "The steps agreed with the IMF are encouraging but the key questions are about the political will to implement them," said Jakarta-based business analyst Stephen Rogers. "An indicator of their commitment to really restructure the economy and get out all the bad eggs will be whether they carry out audits of public companies and give the bank restructuring agency the independence to push the bad banks into bankruptcy."
Fears of further violence and political turmoil have savaged the rupiah, which has sunk to around 15,000 against the dollar -- a dive of more than 80 percent since last July and 25 percent since Habibie came to power. The stock market is virtually dead. "The bellwether indicator of sentiment is the currency. The stock market is irrelevant as an indicator because there is net negative equity overall -- there is no real equity in the market. Meanwhile, the rupiah looks set to head to 20,000," said Bahana's Rolph.
Rising from the rubble Indonesia's crisis, which began this time last year as a sudden loss of market confidence and a speculative flight from Asian currencies, has become far more than an issue of sentiment. Unable to service their debts or pay for essential imports, companies have halted operations and firms have been unable to increase exports despite the competitive benefits of the rupiah's fall.
Winters said the economy had passed the stage where companies were merely winding down and now Indonesian firms were ceasing production completely and laying off workers. "Now that this phase has been entered, the time, effort and resources needed to recover are much greater," he said.
Analysts say Indonesia's recovery, when it comes, will begin with the export sector and a slow export-led upturn could begin in the second half of next year. But a corporate turnaround will require far more than the debt-restructuring package agreed in Frankfurt in June, which gave firms eight years to pay off their debts with a three-year grace period when only interest need be paid.
Analysts say most firms are unable even to meet interest payments and a central prerequisite for any recovery is an injection of fresh capital and a realisation by foreign banks that a huge portion of corporate debt must simply be written off. "The real issue for Indonesia's corporate sector is the extent of the write-offs that inevitably must be made," Bahana's Rolph said. "Whether it is 50 percent which has to be the absolute minimum or 70 percent which is conceivably more likely, until you get that corporates have got no hope at all of any kind of recovery."
Another risk to Indonesia's attempts to export its way out of the crisis is a further deterioration of Japan's economy. In 1997, 23.9 percent of Indonesia's exports went to Japan. Indonesia's eventual recovery will also require strong inflows of foreign capital. But the return of private sector investment, which normally would follow an IMF stamp of approval like the accord signed last week, has so far been absent.
Analysts say that despite the trauma suffered by the ethnic Chinese, they are likely to be the first major investors to return. If they do, it will be an early indication of an upturn. "The confidence of the ethnic Chinese is crucial to the recovery. But so far the government has done nothing to bring to justice those who attacked, sexually abused and murdered the ethnic Chinese in the riots," said Andy Tan, general manager of Standard & Poor's MMS in Singapore.
Domestic consumption will take years to recover. Pangestu said per-capita GDP is unlikely to regain its pre-crisis levels for a decade. And with millions of children dropping out of school and the health system facing increasing strain, long-term economic scarring will be severe. "The damage was inflicted very quickly," Pangestu said. "But it will take years to get back what we lost."
Christopher Torchia, Jakarta -- When traffic lights blink red at big intersections, beggars, vendors and street musicians swarm around cars, insistently tapping on rolled-up windows. Cadgers abound now in Jakarta, the jobless victims of a yearlong economic crisis in Asia that refuses to let up. Most evenings, two dozen hustlers jostle on a curb near a cluster of luxury hotels. A few months ago, just a couple lingered.
This capital of 10 million people, where slums lined with sewage-choked canals nestle near high-walled mansions and gleaming office towers, is beset by uncertainty and worry about social chaos. Some residents fear spreading poverty will trigger more violence like the riots over price increases last month that killed as many as 1,200 people and drove President Suharto from office. Many ethnic Chinese, who were targeted in the mayhem, fled overseas and have not returned.
"There's still food around, but the money is gone," said Jumaedi, a truck driver sitting in a rundown restaurant with a few buddies and eating a rice and egg dish that cost the equivalent of 10 cents. "Politically, we just do not know where to go at present. There is no clear direction," said Harry Tjan of the Center for Strategic and International Studies, a private think-tank.
Some foreigners who were evacuated during the riots never came back, and those still in town are edgy. One real estate advertisement in The Jakarta Post, an English-language newspaper, offers a home with a swimming pool in a "riot- free location." "Protect your family and your budget," tempts another ad for an apartment in a complex with security guards.
The military is on alert. Soldiers in berets sometimes lounge on sidewalks outside shopping centers or cruise the streets aboard olive-green trucks. Armored cars park at both ends of the tree- lined lane where Suharto lives, extra security for the authoritarian leader who quit May 21 after 32 years in power. Anger over the vast wealth he and his family amassed is widespread.
Candor in government is a new, refreshing trend. Information Minister Yunus Yosfiah suggested his office be disbanded because it wasted money and, ironically, had only stalled the spread of information. Habibie has pledged general elections next year and freed some political prisoners. He even visited riot-damaged malls to sympathize with bereft shopkeepers, a campaign-style gesture that his aloof predecessor would never have made. Yet political reform is abstract for millions of Indonesians with no jobs and little money.
In Jakarta, teen-age prostitutes now beckon drivers near the city's national monument, a tall spire of marble topped by a gold-leaf sculpture in the shape of a flame. Many bus drivers can't work because there is no cash for imported spare parts. Occupancy in some hotels hovers at a paltry 10 percent, and cranes sit idle on construction sites.
Partly gutted in an electrical fire in November, a shiny, blue- glassed tower in the central bank complex is empty and unrepaired. There are no funds to fix it. Hundreds of buildings damaged in May's rioting remain boarded up, their windows still smashed.
Indonesia may get a lift in July, when the International Monetary Fund is expected to resume disbursing billions of dollars in loans, suspended because of the turmoil last month. But unemployed youths, like one hustler selling a laptop computer, are desperate. He approached a car with his merchandise, possibly a spoil from the looting in May. "Do you want to buy my calculator? It's too big for me," he declared. The delighted driver picked it up for 50,000 rupiah -- or $3.30 at the current exchange rate.
Jakarta -- Hundreds rioted against a local leader on an eastern Indonesian island on Monday, as sporadic violence hit the country for the second day, news reports said yesterday. The official Antara news agency said about 1,500 people went on a rampage on the island of Ternate in eastern Indonesia after demanding the ouster of District Regent Abdullah Assagaf, who they accused of corruption.
Riots also erupted in Blora in Central Java after police opened fire on a group looting a timber warehouse, killing a man and injuring two others, news reports said yesterday. These riots in small towns follow those that shook Jakarta in mid-May.
| Labour issues |
Louise Williams, Jakarta -- On the first day the strike seemed pretty ordinary: hundreds of steel workers milling outside the factory gates on the industrial fringe of Jakarta demanding better food, time off to pray and better wages to cope with rocketing prices.
But, by day two, the crowd had swollen to thousands as the local shanty town dwellers joined in. When a scuffle broke out troops guarding the factory opened fire with rubber bullets, in breach of crowd control procedures. Twenty-three people were taken to hospital, the strike put down with the sort of violence used against workers by the former Soeharto regime, despite the new Habibie Government's claims of reform.
The rising anger of Indonesia's workers and the inability of the system to deal with it are raising fears that labour unrest will become a flashpoint as the Indonesian economy continues to deteriorate.
Every day workers are taking to the streets over mass lay-offs and wages which can no longer meet even the most basic daily requirements. New statistics released this week predict 98.5 million people -- 48 per cent of the population -- will be living below the poverty line by the end of the year. Many of these will still be working, but the new minimum wage of 198,000 rupiah a month ($21) announced this week covers only 75 per cent of a family's basic calorie needs.
In the industrial hub of Surabaya in east Java recently 10,000 workers marched through the city, the docks were closed by strikes and the massive Maspion factory employing 30,000 people also closed. Thousands of striking workers from a nearby plastic bag factory, seeking food and transport allowances, surrounded their boss's house. Only marines stood between them and his family.
After the shootings in Jakarta, textile workers in central Java marched in their thousands to the local Government offices to demand better conditions. "When you have mass of hungry people that is a precondition for mass rioting. We are also seeing a willingness on the part of the Government and the security apparatus to treat people the same way as they did in the past," said a labour expert, Mr Vedi Hadiz. "Economically, labour is so weak now you can shoot them and they will go back to work, but the long-term consequences are very bad."
Theoretically, these should be better times for Indonesian workers. Under the former Soeharto government workers had almost no rights. Those who wanted to unionise were forced to join the one government-controlled union. Rebel union leader, Mr Muchtar Pakpahan, was jailed and his union outlawed.
In one of the most blatant scandals of the dying days of the Soeharto regime, funds from a workers pension fund were used to pay off members of Parliament to push through a labour bill which banned cross-industry industrial action and prevented workers from marching in the streets.
When President Habibie came to power in late May, one of his first actions was to release Mr Pakpahan, legalise his Indonesian Prosperous Workers Union, and announce that workers had 90 days to form new unions.
Mr Pakpahan called a massive street protest against President Habibie, a close friend of former president Soeharto, to keep up the pressure for reform. At dawn on the day of the protest, soldiers sealed off the streets leading to Mr Pakpahan's office, trapping a small groups of bus drivers inside. In the face of overwhelming military opposition the protest was called off.
"There are two simultaneous processes going on," said Mr Hadiz. "On the one hand you have mass retrenchments and unemployment... and the workers who still have jobs are getting increasingly desperate because wages are not keeping up with prices. But, on the other hand, workers have been reinvigorated by the process of political change which is occurring." Another labour specialist commented: "We are at a psychological turning point. People are getting more desperate because they have less to lose."
During the decades under Mr Soeharto, workers had so few rights they barely existed as a political force. Now, Mr Pakpahan has announced the formation of a labour party and new networks of unions are springing up across the country.
But Indonesia as yet has no formal channels to deal with conflict between workers and their employers. The absence of mechanisms for negotiation pushes conflicts back on the streets.
At the same time, the masses of angry unemployed on the streets are easily provoked into joining rallies. "There are lots of unemployed, desperate people floating around," Mr Hadiz said. "That sort of situation can easily degenerate into rioting and the military's first impulse will be to prevent that happening." Union leaders are fearful that chaos will be used as an excuse to turn back the clock and reimpose restrictions on workers. The Government has already announced that a new draft regulation is being prepared to limit demonstrations without a police permit to 100 people.
But Mr Pakpahan warns that he will mobilise tens of thousands of workers on the street if reform stalls. The next flashpoint was announced this week -- a 15 per cent increase in the minimum wage which many employers, themselves facing bankruptcy, are likely to resist.
Mr Hadiz warns that the Government "should be looking at the situation with a greater sense of urgency because how Indonesia will look politically and socially in 10 years time is being determined now".
Long-gone pedicabs in short-lived return to Jakarta The slow, graceful swish of the pedicab returned to the choking streets of Jakarta this week, the sun-browned riders offering their bicycle-propelled seats in the Indonesian capital for the first time in 10 years. A decade ago the pedicab, once a sight in the streets of all of Asia's major cities and towns, was deemed a symbol of backwardness and poverty.
In the name of progress the Jakarta municipal authorities launched a war against pedicab drivers, often themselves the poorest of the poor with no education or skills to make a living in any other way. Jakarta's pedicabs were rounded up and unceremoniously dumped into the sea. City authorities say at least three officials died in the bitter battles against people trying to protect these simple public transport vehicles from extinction.
Many locals who had grown up shopping at the outdoor markets, with the pedicabs on standby, were devastated to see them go, replaced instead by the noisy, smoke-belching bemo three-wheelers and diesel buses. Late last week Jakarta's Governor, Mr Sutiyoso, announced that pedicabs -- or becaks as they are locally known -- would again be permitted to ply Jakarta's streets, as a way of providing job opportunities for the unemployed during the severe economic crisis.
But on Wednesday, under pressure from officials who had fought the war 10 years earlier, he changed his mind and banned them again. "I apologise," he said. "I should protect the wider interest of creating traffic order in the city. People who want to make a living must look for other kinds of work. I ask you drivers to return to the places you came from."
But even as the ban was reinstated, scores of pedicabs were waiting eagerly by the footpaths, the peak-hour traffic barrelling down Jakarta's wide, crowded roads. Officials estimate 1,200 pedicabs were brought into the capital in less than a week, and now a new battle looms to get them out.
"There is no other work. It is very difficult to ride with the pollution in Jakarta," said one of a group of drivers who had been brought into Jakarta from Central Java by an entrepreneur. "Why doesn't the Government like the pedicabs?" asked one by- stander. "They are ashamed of them. They are a symbol of poverty, of our difficulties. They create traffic jams in the cities. But there are no other jobs."
The take-home profit from a day which begins at 6am and finishes at 10pm is about 1,000 rupiah, or 12 cents, the drivers say. They live in cheap boarding houses and eat cheap meals off the
streets, but it is better than unemployment. A short ride down the laneways which run off the main roads nets 1,000 rupiah, a longer ride 1,500, compared with more than 2,000 rupiah for a motorised three-wheeler.
Now, Jakarta's mayors say they will give the becak owners two months to remove the vehicles from the city and send them back to the provincial towns, where the cool, smooth swish of the bicycles still rules the streets.
Jakarta -- Three hundred workers dismissed or laid-off from 22 companies in the Greater Jakarta area demonstrated again yesterday demanding that Minister of Manpower Fahmi Idris step down for failing to help them. The workers, grouped in the Greater Jakarta Workers' Coalition (KBJ), went to the Ministry of Manpower to voice their demands after Fahmi broke his promise to call in the workers' employers for tripartite negotiations on the dismissals.
"The minister broke his promise to mediate in the disputes with their respective managements," said Ariest Merdeka Sirait of the Social Sciences and Legal Institute (Sisbikum), who organized the demonstration.
Fahmi had vowed on Monday to mediate in the disputes and set up a tripartite meeting between the employers, workers' representatives and officials yesterday he said. He made the promise during an earlier demonstration by the workers outside the ministry building. The minister said either he, the Director General for Industrial Relations and Labor Standards Mohammad Syaufii Syamsuddin, or Secretary General Suwarto would receive the workers. He also said the workers would be allowed to have lawyers present during the meeting, Ariest said.
"But the minister failed to show up today. We have been waiting here since early in the morning but we have not seen either him, the director general or the secretary general. We do not know where they are hiding," he said. "Only seven of the employers have turned up. They have offered to hold negotiations in manpower ministry offices in the Greater Jakarta area, " he said.
Besides demanding reemployment, the 300 demonstrators, who said they represented 21,000 newly fired or laid-off fellow workers, also demanded that the government bring an end to military interference in industrial disputes and asked state-owned insurance company PT Jamsostek to return money which they had paid into the company's social security program.
Iskandar and Sahat, two ministry officials appointed by director general Syaufii to handle the negotiations, said they did not know where the minister or his senior assistants were. "The workers should be blamed for the failure of the negotiations because they refused to let us mediate in their disputes," Iskandar said.
Ariest expressed deep concern over the fate of the workers and their families because they had no money to purchase even the most basic of food. He said that Sisbikum had distributed 3.5 tons of rice and 500 kilograms of low-quality milk among the 21,000 workers and their families over the past three days. "We have asked for help from Unicef and Suara Ibu Peduli (The Voice of Concerned Mothers) to provide the workers with at least seven tons of rice and more milk for their babies."
He also said that he was at a loss as to how to help the workers, adding that they all had very high hopes of being reem ployed after the minister's promise on Monday. The workers, he said, would continue to demonstrate at the ministry in increasingly large numbers until their demands were met.
Jakarta -- Troops yesterday opened fire with rubber bullets on more than 1,000 workers who were demonstrating for better pay and conditions at a steel factory in Jakarta's Bekasi district, slightly injuring 23 people, residents and police said.
One of the workers at the P.T. Gunung Garuda factory said the midday demonstration had been orderly, but that brawls broke out when some men who were not factory workers tried to join in. Police then intervened and used rubber bullets to quell the fighting, residents in the area said.
The injured were taken to the nearby Bakti Usara hospital, but police, who put the number admitted from the clash at 23, blocked news photographers from entering. Three of the injured had already been discharged they said.
Jakarta Military Commander Syafrie Syamsuddin told reporters later that the troops had simply been trying to separate the rival groups when they were bombarded by rocks. They then had no choice but to use rubber bullets, he said in a televised interview.
Jakarta -- Police and soldiers fired rubber bullets on thousands of steel workers staging a violent protest in a West Java town Tuesday, injuring dozens of people.
The military said the shooting was in response to a rampage by about 2,100 workers at the P.T. Gunung Garuda steel plant in Bekasi, just east of Jakarta. The military said the workers, who were protesting low salaries, hurled rocks and bricks at officers.
The state-run TVRI television station reported that 104 people were arrested, including two people believed to have led the protest. It said at least 26 workers were injured. Some security officers also were reported injured.
Jakarta -- The Ministry of Manpower announced yesterday it will increase minimum wages by an average of 15 percent from August 1. The move is intended to arrest the decline in real wages caused by soaring inflation, Director General of Industrial Relations and Labor Standards Mohammad Syaufii Samsuddin said.
Acknowledging that the hikes barely made up for the massive increases in prices since the last increase in April 1997, Syaufii said workers should nevertheless find them helpful in the present time of economic crisis.
The government traditionally increases minimum wages on April 1. This year, the increase was frozen by the government of then president Soeharto because of the economic crisis, a decision widely criticized by trade unions.
The nominal minimum monthly wage for a single worker in Greater Jakarta (Jakarta, Bogor, Tangerang and Bekasi) will increase to Rp 198,500 (US$14.10) from Rp 172,000. The minimum wage level in the industrially designated zone of Batam, including the islands under the Batam Development Authority, will be hiked to Rp 270,000 from Rp 235,000 a month. Batam has the highest minimum wage level on account of the high cost of living there. Yogyakarta still has the lowest minimum wage level, at Rp 122,500 a month.
Syaufii said that because of soaring inflation, the increases would still leave the average minimum wage across the country far lower than what was officially perceived as sufficient to meet the minimum physical requirements, or the subsistence level. The minimum physical requirements are calculated on the basis of the cost of a daily intake of 3,000 calories for a single worker. "The minimum wage will fall to 75.8 percent of the minimum physical requirement from 95.32 percent last year," he said.
Syaufii said the increase was the result of negotiations involving representatives of the government, employers and workers, with the final proposals coming from all the provincial governors. Syaufii said companies who felt the increase was too burdensome could apply for exemptions but they would have to allow their books to be audited by outsiders before being granted the relief.
"Companies who feel unable to raise their workers's wages in accordance with the new decree can apply for exemptions but they have to secure the agreement of their workers, " he said. He urged all companies that were not severely hit by the economic crisis to give the mandated wage increases.
Under the current manpower law, failure to pay the minimum wages is punishable by up to three months imprisonment and a fine of Rp 100,000. But in the new manpower law which will come into effect in October the maximum punishments have been raised to two years imprisonment and a fine of Rp 200 million.
Representatives of trade unions and employers gave the news a lukewarm welcome yesterday. Wilhelmus Bokha, deputy chairman of the Federation of the All Indonesian Workers Unions, said his organization had proposed an increase of at least 30 percent. "It's better than nothing. We could not force employers to meet our demand because of the economic crisis," he said.
Poerbadi Hardi Prajitno, secretary-general of the Association of Indonesian Employers (Apindo), said that since representatives of both employers and unions were consulted, both should give their support to the wage increases. "Apindo backs the government's decision reached through democratic deliberations involving representatives of workers, employers and the government," he said. Poerbadi regretted that the decision to increase the minimum wages by 15 percent across the board did not take into account regional differences.
The economic conditions and consumer prices in Yogyakarta were different from those in Batam, so that the increase in minimum wages should also have been different, he said, citing an example. "The increase in Batam should have been higher than in Yogyakarta. This was actually reflected in the original proposals submitted by provincial governors."
Poerbadi suggested that employers who could not award pay hikes because of the economic crisis should make their books more transparent to ensure workers could accept their reasoning and prevent them from going on strike.
| Human rights/law |
Jakarta -- Leading human rights campaigners have dismissed a bill on street protests as the government's bid to restrict citizens' rights to freely express ideas rather than a serious effort to respect freedom of expression.
They insisted yesterday that the bill, which the government has yet to submit to the House of Representatives for deliberation, was a setback and against the burning spirit of political reform.
Rights activists contributing their opinions in separate interviews with The Jakarta Post were Hendardi of the Indonesian Legal Aid and Human Rights Association (PBHI), Bambang Widjojanto of the Legal Aid Foundation and Marzuki Darusman of the National Commission on Human Rights.
The bill, sponsored by the military, regulates, among other things, the number of demonstrators, venues of protests and the necessity to obtain permits from the police. It was presented Wednesday by Minister of Defense and Security Affairs/Armed Forces Commander Gen. Wiranto to President B.J. Habibie.
"The bill is fraught with restrictions and it maintains the spirit of the repressive New Order government (under former president Soeharto)," Hendardi said. Hendardi said the so called "Freedom of Expression" bill was paradoxical. He urged the government to change its perspective in deliberations of the bill with the House of Representatives. "They should stress more on how to control the security forces rather than how to control the public."
In a statement made available to the media, PBHI stressed that security forces' authority was safeguarding the protest and nothing else. The security forces should not intervene or even try to ban protests, it said. "In case of criminal offenses such as rioting and looting, the security forces should do what the Criminal Code prescribes."
PBHI said the authorities should never be given the right to disperse or detain protesters unless they have undisputed evidence that the demonstrators have committed criminal offenses.
Sharing Hendardi's ideas Bambang said the future law should also regulate the use of force by security personnel. "The government should regulate more the security forces' code of conduct and the use of firearms in street protests," Bambang said. He urged the government and the House to involve nongovernmental organizations and the public before they deliberate the bill.
Marzuki said the rights body had found that the bill focused on restrictions rather than on facilitation of the implementation of human rights and the freedom of speech. "The whole philosophy of enforcing order is based on prohibition rather than on facilitating procedures and the means to allow the public, individually and collectively, to express opinions and to assemble. So we do have reservations," Marzuki said.
Marzuki noted a great need for socializing the bill and having it debated in public before the government tried to push it through the House. Marzuki also noted that there was a contradiction between the intention of the law and the actual formulation of certain clauses, which have the effect of restricting the enjoyment of exercising political rights.
"For example, it is almost impossible to limit the number of protesters to 100 when there is widespread dissatisfaction," Marzuki said. Marzuki, a former House member from the Golkar faction agreed, however, that the exercise of the freedom of speech does need regulating. "The principle of regulating freedom of speech is not contrary to the right of free speech but the regulation should be in the spirit of democracy," he added.
Chairman of the Center for Information and Action Network for Reform, Halim Hatta, said the bill was a contradiction to Wiranto's promise for democratization.
Jakarta - The Indonesian military has apologized for shooting at and wounding students during a pro-independence demonstration in the remote province of Irian Jaya, witnesses and press reports said Saturday. Local military commander Colonel Samuel Josef made a public apology Friday in the provincial capital of Jayapura, where the shooting took place, the Kompas daily said.
One university student was in a critical condition and a high- school girl recuperating from a gunshot wound to her knee, Kompas said, adding that a police agent was also hospitalized in critical condition.
Steven Suripatty, who Friday was reported to have died in the shooting, was still in coma in the intensive care unit suffering serious injuries, a hospital source told AFP by telephone Saturday from Jayapura. "Steven was shot right below his ear. The bullet went through his head," said Etty, a nurse at Jayapura General Hospital.
Witnesses said shooting began after students beat up police sergeant Dahlan (eds: one name) in front of the Cendrawasih University campus assembly hall. They also threw rocks at a truckload of troops sent to the campus after the sergeant was taken to the hospital. The students fled to safety after the first shots range out.
Louise Williams, Jakarta -- Indonesian soldiers were involved in the disappearances of pro-democracy activists earlier this year, the Commander of the Armed Forces, General Wiranto, has conceded after months of official denials that the military was linked to the abductions, torture and illegal detentions.
General Wiranto, who is also Defence Minister, said yesterday that the interim results of an internal military investigation had found that troops -- acting outside of military procedures -- were involved in the kidnappings.
"So far the [military] fact-finding team has tried to get inputs from the victims and we have also co-operated with human rights organisations and visited suspicious places linked to the kidnapping process," he said. "The interim findings are that it can be assumed that in this case there are some military personnel involved who have acted outside the procedure." He said the military would "intensify" its co-operation with the Indonesian Human Rights Commission to produce a "transparent" result of the inquiry.
The existence of a secret interrogation centre where torture was being used against the political opponents of the then Soeharto government was first revealed in evidence to the rights commission by activists who had been forcibly taken there. Nine activists are still missing.
[On July 3, the Jakarta Post reported ABRI spokesperson, Maj. Gen. Syamsul Ma'arif, as saying the military police had questioned 40 ABRI members for their alleged involvement in the abductions. He did not mention the names, ranks or units of the suspects. The report said that human rights groups believe that ABRI has already identified the perpetrators and where they were detained. According to the Commission for Missing Persons and Victims of Violence at least 12 are still "missing" - James Balowski.]
| Politics |
Jakarta -- President BJ Habibie has recalled 41 People's Consultative Assembly (MPR) members, part of whom were former high-ranking government officials in former president Soeharto's administration. MPR Deputy Speaker Abdul Gafur told newsmen here Tuesday, there calls were provided for in Presidential Decree No 172/M, 1998 dated June 29 and affected 41 members of the Golkar (Functional Group) faction (FKP).
Among the recalled MPR members, who concurrently held executive positions in former president Suharto's government, were R Hartono (former Information Minister), Fuad Bawazier (former Finance Minister), Muhammad Hasan (former Trade and Industry Minister), Sudrajad Djiwandono (former Bank Indonesia Governor), Yogie S Memet (former Home Affairs Minister) and Singgih (former Attorney General). Other individuals on the list included Achmad Tirtosudiro, noted ulema KH Zainuddin MZ, Anthony Salim (son of business tycoon Sudono Salim), Djiteng Marsudi, Faisal Abda'oe, Rinto Harahap and Amalia Sianti Wiranto, a daughter of the ABRI (Indonesian Armed Forces) commander.
The president also appointed prominent experts and critical figures to replace most of the recalled MPR members. The replacements included noted economists Christianto Wibisonoand Didiek J Rachbini, Fachry Aly, Hariman Siregar, Dewi Fortuna Anwar, Salim Said, Marzuki Darusman, Parni Hadi, Ismail Sunny and Sayidiman Surjohadiprodjo. Gafur said the 41 MPR seats involved in the replacements were part of the 100 which under existing laws are the president's authority to empty or fill. "The replacements are in accordance with laws No 16/1969 and No5/1995," Gafur said noting that the new members were figures free from corruption, collusion and nepotism.
[According to a report by Dow Jones, on July 3 the Attorney General's office brought former trade and industry minister and Suharto crony Mohamad "Bob" Hasan in for questioning over the handling of funds from the Indonesian Wood Panel Association. Officials said that the investigation was launched after the department received reports of misuse of funds through a public information box - James Balowski.]
Jakarta -- Indonesia's parliament Monday approved a proposal to hold a special session of the People's Consultative Assembly (MPR) to change electoral laws and set the date for general elections. The proposal was made by President B.J. Habibie.
The 1,000-member MPR, the country's top decision-making body, will relax restrictions on the number of political parties and bring in other changes in electoral laws before announcing new general elections which are likely to be held next year, the government has said. The parliament however did not set a date for the MPR session.
Two of Indonesia's leading political figures are likely to join hands before the elections, the Indonesian Observer newspaper reported on Monday. The newspaper quoted Muslim leader Abdurrahman Wahid as saying he would help set up a nationalist party which would include opposition leader Megawati Sukarnoputri and other leading political figures. He did not give details and Megawati was not available for comment.
Indonesia currently recognizes only three political parties -- the ruling Golkar, the United Development Party (PPP) and the PDI. But this is likely to be changed under political reforms planned in the wake of the resignation of long-ruling president Suharto last month.
Many other political figures are also likely to set up new political parties. Another key Muslim leader, Amien Rais, is believed to be ready to throw his hat into the ring but has yet to make any announcement. Others likely to contest the general elections include Sri Bintang Pamungkas, a former PPP legislator and one of the first political prisoners released when Habibie took power, and dissidents within Golkar. Habibie has said the MPR will be re-constituted after the parliamentary elections and will choose a president and vice- president by the end of 1999. He has said he will not stand.
[According to a June 29 report by Dow Jones Newswires, Habibie, who was speaking with Muslim students at the palace, said he didn't rule out another candidacy saying it was up to the Indonesian people. On June 4, Republika reported home affairs minister, Syarwan Hamid, as saying that in order to participate in elections, new parties must have supporters in 14 provinces totaling 1% of eligible voters and that they must be open to people from all ethnic, religious, racial and gender groups. He specifically cited the recently formed Women's Party which excludes men from its membership - James Balowski.]
| Arms/armed forces |
Jakarta -- Minister of Defense and Security Affairs/Armed Forces Commander Gen. Wiranto admitted yesterday he is still personally close to former president Soeharto but insisted the relationship did not influence Armed Forces decision-making.
He told journalists at the Armed Forces' Merdeka Barat headquarters in Central Jakarta that the Armed Forces (ABRI) had no structural relationship with Soeharto anymore. "ABRI does not receive direct orders or instructions from former president Soeharto," he said. "All of the accusations that ABRI is under his control are untrue".
He, however, admitted that he could not avoid maintaining a "cultural relationship" with Soeharto. "I admit that as a former adjutant, I'm personally close with pak Harto," he said.
He said that as an Indonesian, who adheres to an Eastern culture, he could not simply discard past good relations with Soeharto just because the latter is no longer president. "Why should we be afraid or unwilling to meet the former president, " he asked.
While he holds no official position since stepping down on May. 21, speculation continues to circulate that Soeharto retains influence over ABRI's top brass. During most of his public appearances, which have been very few and usually centered around Friday prayers, Soeharto has been seen accompanied by a senior ABRI officer.
On June 5 Soeharto performed Friday prayers at the Taman Mini Indonesia Indah in East Jakarta, accompanied by outgoing Jakarta Military Commander Maj. Gen. Sjafrie Sjamsoeddin. On June 12 he held Friday prayers at the ABRI's Cilangkap headquarters. Last Friday Soeharto attended prayers at the Army's headquarters in Central Jakarta and met Army chief of staff Gen. Subagyo Hadisiswoyo.
[On July 1, the Indonesian Observer quoted the commander of the Military Police, Major General Syamsu Djalal, as denying they were involved in the kidnapings. In response to an accusation by the independent Commission for Missing Persons and Victims of Violence, that the military police abducted People's Democratic Party activist Mugiyanto, Syamsu said he was detained by the Duren Sawit regional military command after which had no knowledge of his whereabouts - James Balowski.]
| International solidarity |
The recent success of Pauline Hanson's racist One Nation party in the Queensland elections presents new challenges for the progressive movement. Her repeated lie that the "white Anglo- Saxon male" is the most oppressed sector of Australian society is a statement which is inherently racist and anti-woman. Such a statement is also intended to lay the blame squarely upon Asian migrants and Aborigines for the economic and social problems created by the economic rationalist policies of Labor and Liberal governments.
One Nation's reactionary politics are a major concern for organisations involved in solidarity with the peoples' movements of the Asia-Pacific. This party's racist and protectionist ideology represents a block to the efforts of activists and organisations building people-to-people links and regional campaigns for human rights, social justice and democracy.
For organisations in solidarity with the campaigns for an independent East Timor and democracy in Indonesia, the response to One Nation is of crucial importance.
Hanson's pre-election press release,"Indonesian bailout should be linked to East Timorese pullout", poses this more sharply. This statement, a populist statement which points to the bankruptcy of both major parties in relation to East Timor, contains anti- Indonesian inferences and Australian nationalist references to "the obligations we have to our own defence". Some individuals in the East Timor solidarity movement have opted to promote this single statement on East Timor by Hanson as a positive development for the campaign for an independent East Timor.
ASIET strongly rejects this assertion. Such an association with One Nation by the East Timor solidarity movement can only serve to severely undermine support from migrants, Aboriginal people, women, gays and lesbians and other social groups scapegoated by Hanson.
Hanson's opposition to Asian immigration means she does not support the more than 1500 East Timorese refugees seeking asylum in Australia. Hanson is opposed to the provision of aid programs to developing nations in the Asia-Pacific for racist reasons. Hanson also believes that Australia should not abide by United Nations conventions and resolutions (as this supposedly threatens Australian "sovereignty"), many of which the East Timorese resistance believes will play an important role in the steps towards self-determination.
ASIET calls upon all activists and organisations in the East Timor solidarity movement to resolutely oppose One Nation and cooperate closely with those groups campaigning against its racist and reactionary agenda.
| Economy and investment |
Sander Thoenes, Jakarta -- Indonesia will need to use taxpayers' money to bail out some of its banks, further depleting a budget already saddled with an 8.5 per cent deficit, according to a senior International Monetary Fund official.
Hubert Neiss, director for Asia-Pacific at the Fund, said public funds would be needed both for recapitalising troubled banks that have been taken over by the bank restructuring agency and for banks that are relatively healthy but could go illiquid for lack of capital.
Any public bail-out of private banks is bound to be costly and controversial as many of the banks are linked to former President Suharto and close associates, who used much of the deposits to fund their own projects. Foreign banks have been invited to invest but few are likely to do so soon. "I'm sure public capital will be needed," Mr Neiss said. "It's a price worth paying for a functioning banking sector." Mr Neiss said the government could also offer matching funds for any outside capital, most likely foreign, that would be injected into viable banks.
It is unclear where such funds would come from. Outlines of a draft budget, approved by the IMF on Wednesday, already allow for Rp15,000bn (#633m) this year alone to pay interest on government bonds that should finance some Rp144,000bn in central bank loans extended to banks. That Rp15,000bn equals 1.6 per cent of gross domestic product, and this figure could easily rise if, as expected, banks fail to pay back their loans. This could boost the forecast budget deficit of 8.5 per cent of GDP, which the IMF is trying to finance with foreign loans.
Mr Neiss said funding for much of this deficit had already been provided for in funds promised earlier to Indonesia, but added that the IMF was still seeking to obtain another $4bn to $6bn in loans. He said Indonesia could not dip further into its useable reserves, already down to $12bn. Mr Neiss said the IMF expected the central bank and the bank restructuring agency, which have been slow to move against banks they have been supporting with loans, to act on the first six audited banks by mid-July by suspending operations, merging banks or bailing them out. Audits on other banks should be completed by August.
The suggestion by Mr Neiss came as the government started revealing the dismal results of audits on the first six of 54 banks that have been put under the bank restructuring agency. It said last week that Bank Umum Nasional, linked to a close associate of Mr Suharto, had overvalued its assets by 38 per cent. Earlier leaks of audit data indicated substantial misreporting among other banks as well, boosting the cost of the rescue of Indonesia's banking sector.
Government officials have been coy on announcing any pending closures, following runs on banks that were caused in part by misinformation. They have only committed to closing banks which fail to meet a capital adequacy ratio of 4 per cent by the end of the year. But using taxpayer money to rescue banks that have been used as cash cows by a handful of wealthy and well connected entrepreneurs will be hard to sell.
Jakarta -- Government officials and entrepreneurs involved in corruption, collusion and nepotism are parking their money overseas, a newspaper here has reported.
The Merdeka, in a report last week, said the capital flight phenomenon was no longer dominated by citizens of Chinese descent. It cited a banking observer, Mr Thomas Suyatno, as saying that those with money, particularly government officials, were now as a group taking out their deposits from banks in Indonesia. After changing their currency into US dollars, they were putting the money in banks abroad. "That means they are engaging in capital flight," he said.
The newspaper said Mr Suyatno, who is also the Rector of Atmajaya University, had declined to identify the officials involved. A source in Hongkong estimated that, in recent weeks, funds amounting to about US$20 billion (S$32.6 billion), had been sent out. Part of this money was kept in Singapore, Hongkong and Taiwan, the report said.
During the first few months of the economic crisis, there were rumours that there was about US$100 billion in Indonesian funds parked abroad. Markets Post, a Hongkong publication, had reported that the capital flight was due to the uncertain situation in Jakarta.
This was especially so after the government showed that it was going to exercise tight control to prevent capital flight. "However, these rumours are hard to believe," said the publication.
Bank Indonesia Governor Sjaril Sabirin had not too long ago clarified that the central bank would continue to apply the free money exchange regime. This was because Indonesia's previous experience with controls over foreign-exchange transactions showed that these had proved ineffective. "If one wants to take capital abroad, there are actually many ways of doing it, for example, through import-export trade. There's a lot of ingenuity here," he was quoted as saying.
According to Mr Suyanto, government officials were parking their savings overseas mainly because of the mounting demands by students, as well as the public, for investigations into their wealth. "Because they are concerned about the safety of their wealth, these officials are taking measures which in fact cause harm to Indonesia," he said.