East Timor

Constituent Assembly chooses presidential election date

UNTAET Daily Briefing - November 28, 2001

The Constituent Assembly today approved a motion recommending that East Timor's first presidential election be held in the first or second week of April 2002, and that the voting process be universal, direct, and secret.

The assembly also affirmed that the formal transfer of powers and sovereignty from the United Nations to democratically elected East Timorese institutions on 20 May 2002. The recommendations were approved by 68 of the 88 assembly members. Two members voted against the proposals, and there were nine abstentions.

The Independent Electoral Commission's Chief Electoral Officer, Carlos Valenzuela, addressed the assembly before today's vote to outline the modalities the assembly would need to determine quickly so that the election can be organized within a short timeframe. These modalities include the criteria for the registration of political parties and voter participation and the type of electoral system (simple or absolute majority) to be employed.

Valenzuela said the assembly would need to determine these and other issues no later than 15 January in order that the Independent Electoral Commission have sufficient time to organize the process. Valenzuela recommended that a "simple majority" system be employed so that no potential second round run off be necessary. Any run off would likely coincide with East Timor's 20 May independence.

East Timor marks anniversary of independence declaration

Associated Press - November 28, 2001

Dili -- With East Timor due to become the world's newest nation in six months, hundreds of people rallied Wednesday to mark the territory's first declaration of independence 26 years ago.

Waving East Timorese flags, about 500 people listened to speeches by leading politicians before raising their fists in salute East Timor's largest political party, Fretilin.

The anniversary marks the day Fretilin leaders declared East Timor independent -- November 28, 1975 -- following the withdrawal of Portuguese colonizers. However, independence was to be short lived. Nine days later, neighboring Indonesia invaded to begin a 24-year long brutal occupation.

Indonesia ruled East Timor until its people voted overwhelmingly for freedom in a UN-sponsored referendum in August 1999. The United Nations, which now administers the embryonic nation, has said East Timor will become fully independent on May 20, 2002.

Meanwhile, East Timorese independence leader Xanana Gusmao met with about 1,000 East Timorese refugees in Indonesian West Timor on Wednesday and encouraged them to return home.

"I call on all the refugees to come home to East Timor peacefully," he said. "We have to build our country together."

About 50,000 refugees are still in West Timor after fleeing their homes amid the post-independence ballot violence in 1999. About 200,000 others have already returned.

AIDS spectre looms over Dili

The Age - December 1, 2001

Jill Jolliffem Dili -- Just a block away from the imposing United Nations building that dominates the Dili waterfront, two East Timorese girls are soliciting outside Tom's Place, a recently opened Australian bar. Some off-duty UN policemen stroll by, stop to consider the offer, then walk on.

Officially, East Timor's UN administration does not admit that a local sex industry is flourishing to serve its personnel. When a row erupted with the Northern Territory Government in June over accusations that UN staff visiting Darwin were responsible for a sharp upturn in AIDS, the world body went into denial mode. The resulting compromise was a coy exhibition at the UN building in Darwin where personnel confirm their flights, suggesting it is desirable to use condoms when on holidays.

First warning that an AIDS time bomb might be ticking in Dili came when United States doctor Dan Murphy asserted that 12 UN peacekeepers had been diagnosed seropositive.

Soon afterwards Jan Savage, head of the NT Health Services' AIDS clinic, warned that there was a spiralling rate of infection linked to visitors from East Timor. In absolute numbers the NT has very few cases -- there were two cases in 1999. By mid-2001 there were 10 new cases, including a woman infected by a UN soldier.

Dr Savage compared the situation to Cambodia, where there was not one reported case of AIDS when UN forces arrived in 1991. It has since surpassed Thailand as Asia's AIDS capital. Her concern, she said, was that if the statistics had risen so sharply in Darwin, East Timor could well face a major epidemic.

No figures are publicly available in Dili, but one informed source said a test sample of 500 locals had suggested East Timor was a zone of "high AIDS prevalence". But, the source warned, the testing was not reliable. "It could have false positives, so we cannot use it".

Maureen Magee is an Australian social worker who works with Dr Murphy, tracing partners of patients with venereal infections. Her work has revealed an impoverished Timorese mother who has sex each weekend with three African policemen for $4 a time, and a group of women who are paid by a household of Pakistani policemen to have regular sex with them. These are tales from the suburbs, leaving aside the brothels hidden around Dili.

Ms Magee's greatest frustration is that there is neither testing, counselling nor treatment for potential HIV-AIDS sufferers. "If we see someone who looks like they've got AIDS and we can't test them, then we can't counsel them either," she said, "because it would be unethical."

At a sanctuary for Dili street kids, a working bee is under way, making red ribbons for World AIDS Day. Justino Santos, 20 and "Epi" Maria Pinto, 19, are two youngsters whose image could not be more distant from that which the phrase "AIDS activist" evokes in our society.

They have never met a person with AIDS, let alone a person dying of the disease. They are fresh-faced youngsters from a church group, yet are more worldly than they appear. They spend their evenings rounding up street kids in a bus to get them away from the dangers of the night. In describing their talks with the Catholic church, Epi declares solemnly: "Only the condom question is unresolved" [the church still opposes condom use].

Threat of militia violence in East Timor decreases: UN

Associated Press - November 30, 2001

Dili -- The threat of violence from pro-Indonesian militias opposed to East Timor's independence has decreased significantly, raising hopes that thousands of peacekeepers may soon be able to go home, a U.N official said Friday

UN peacekeeping spokesman Lt. Col. Jan Fredrik Drangsholt said militia activity on the border with Indonesia's West Timor province had practically ceased over the last 12 months. "The problems we now have on the border are illegal markets and smuggling," he said in East Timor's capital, Dili. "This is a matter for police and customs to deal with, not the military."

There are currently around 8,000 peacekeepers in East Timor, of which 2,000 are based along the border with West Timor.

An Australian-led international force first arrived in East Timor in September 1999, after Indonesian troops and their proxy militia bands laid waste to the country following its overwhelming vote for independence from Indonesian rule. UN troops drawn from several countries, including Australia, New Zealand and the territory's former colonial power Portugal, arrived shortly thereafter.

The militias, along with around tens of thousands of refugees, fled to Indonesian West Timor from where they continued to launch sporadic raids. Two peacekeepers were killed last year in border incidents. East Timor is being governed by a transitional UN administration until it gains full independence in May.

Drangsholt said peace initiatives to encourage former militia to return to East Timor to face justice had reduced tension. This week, independence leader Xanana Gusmao traveled to West Timor to appeal for reconciliation and persuade refugees to come home. Returning militiamen in Dili have said that the Indonesian army is no longer providing them without finance or weapons to continue their campaign.

The reduction in violence has prompted hopes that peacekeepers will be able to leave by 2004. "Peacekeepers will not move out of the country until the East Timorese can take over and run things smoothly, but they would like to leave as soon as possible," Drangsholt said.

The UN force has already begun to withdraw in the central and eastern areas of the country. By May, the force is expected to be reduced to 5,000 soldiers. Planners expect it will be down to 2,500 by January 2003.

International experts are training East Timor's nascent defense to take over security duties in the county when peacekeepers leave. The first of two active battalions of East Timorese troops is due to graduate this weekend.

The defense force will also include an independent infantry company based in the isolated enclave of Oecussi, along with two reserve battalions and logistics and communications units. A small naval component equipped with two patrol boats is also planned.

Timor militia gangs a 'spent force'

The Australian - November 29, 2001

Don Greenlees, Jakarta -- Militia groups opposed to East Timor's separation from Indonesia are a spent force, incapable of presenting a military threat across the border from West Timor, according to Western diplomats and military officers.

The decline of militia power coincides with evidence of a tougher approach to armed civilians, instigated by Indonesian Army commander Major-General Willem da Costa. Western diplomats believe the erosion of militia influence is so great the UN and Indonesia will be able to demilitarise the border area within two years. This will allow the withdrawal of more than a battalion of Australian troops -- the biggest overseas deployment since Vietnam.

Peacekeeping force commanders in East Timor say there has been no exchange of fire with any militia groups since June 14. In the past 12 months, there have been 30 militia sightings, with nine of those confirmed. "We don't regard the militia members in West Timor as a threat to East Timor anymore," Lieutenant-Colonel Jan Fredrik Drangholt, of the peacekeeping force, said yesterday.

The improved security climate has become increasingly apparent since Major-General da Costa launched aggressive sweeps of refugee camps to disarm civilians, and warned civilians seen in possession of weapons they risked being shot, say military analysts.

They say Major General da Costa, an ethnic East Timorese from the Oecussi enclave, removed senior officers seen as sympathising with militia and has discouraged hardliners, such as former Dili militia commander Eurico Guterres, from spending time in West Timor in recent months.

With less room to manoeuvre politically, ex-commanders of the militia units raised and sponsored by the Indonesian military to prevent East Timorese voting for independence in the 1999 referendum have started reaching out to former enemies in East Timor in the hope of making a peaceful return.

During a visit to West Timor by independence leader Xanana Gusmao this week, militia chief Joao Tavares said pro-independence and pro-Indonesian East Timorese needed to "live in peace, side by side". "We want to hand peace down to our children," Mr Tavares said after a meeting with Mr Gusmao in the West Timor capital, Kupang.

Indonesian authorities estimate 136,000 East Timorese refugees remain in West Timor more than two years after Indonesian military and militia groups carried out a scorched-earth policy in retaliation for their defeat in the referendum. Western officials say the figure is probably below 100,000.

The weaker bargaining position of militia leaders has encouraged refugee returns, with two prominent militia figures, Cancio Lopes de Carvalho and Joanico Cesario Belo, signalling a willingness to return along with their followers. About 5000 East Timorese have already returned under Lopes de Carvalho's direction.

Lieutenant-Colonel Drangholt said security concerns on the border centred more on smuggling and customs problems than militia activity. Peacekeeping force and foreign military officers, however, caution that militia groups still have about 400 modern weapons hidden in West Timor.

Indonesia, Australia to form tripartite forum on East Timor

Antara - November 28, 2001 (abridged)

Canberra -- Indonesia and Australia will set up a tripartite consultative forum to help East Timor solve problems that may arise in its transformation into an independent state, Indonesian Foreign Minister Hasan Wirayuda said here Wedensday.

Hasan made the statement at a press conference after concluding a meeting with Australian Foreign Minister Alexander Downer who also attended the press conference. Hasan said the first meeting of the tripartite consultative forum was expected to be held early next year. He said similar consultative meetings between Indonesian and East Timorese officials had already taken place in the recent past. However, a tripartite meeting involving Australia would give more benefit to all parties, he said.

Downer, meanwhile, said the Australian government hailed the Indonesian proposal for the setting up of the tripartite forum. "I hope relations between the three neighbouring countries will develop well In the future," he said. He said he would discuss the matter with east timor's foriegn minister Ramos Horta next week.

Hasan said the question of Indonesian assets in East Timor had been discussed at a meeting between Indonesian and East Timorese officials. He said Indonesia would provide scholarships for East Timorese people who wished to study in Indonesia. "we will form a foundation with the help of the ford foundation that will provide bigger financial resources for the academic activities of East Timorese students," he said.

Milita leader, Xanana agree to end hostility

Jakarta Post - November 28, 2001

Yemris Fointuna, Kupang -- East Timor's charismatic leader Jose Alexandre "Xanana" Gusmao and former pro-Jakarta militia leader Joao Tavares agreed on Tuesday to end their hostility and to work together for peace in East Timor through reconciliation.

Xanana and Tavares reached the agreement in a closed-door meeting in Kupang, East Nusa Tenggara.

Xanana arrived here on Monday for a three-day visit with his main mission being reconciliation with East Timorese refugees and pro-Jakarta East Timor leaders in the province. He was accompanied by his wife, Kirsty Sword Gusmao, and son, Alexandre Sword Gusmao, during his visit.

Xanana said that his meeting with Tavares was part of a reconciliation effort to achieve a holistic repatriation. "I and Tavares talked about reconciliation. I also underlined that reconciliation would only work if there was a legal system. And Tavares agreed with this idea," he said.

Tavares concurred, saying that he and Xanana had agreed not to sow the seeds of warfare and hatred in the children of East Timor. "Hostility and strife will not end if there is no reconciliation," he said. "I and Xanana talked about how to bring peace to East Timor. We also agreed to end our conflict."

They agreed to support the process of repatriation of the East Timorese refugees now living in camps in West Timor in Indonesia's East Nusa Tenggara province.

Xanana said that he hoped that his visit would encourage refugees to return to their villages in Timor Lorosae (East Timor), especially after the establishment of a reconciliation commission. "We hope that refugees returning to their villages can live in peace together with their brothers under the supervision of the commission, even though they previously had different political views," he added.

On his talks with Archbishop Mgr. Petrus Turang Pr., Xanana said that he expressed his gratitude to the bishop for the service he had done for the East Timor refugees living in East Nusa Tenggara province. "I personally ask the Kupang bishop to pray for us, the East Timorese people, so that we can live in and enjoy peace. I also appeal to the bishop to help facilitate the repatriation process," Xanana said.

Bishop Mgr. Petrus Turang said the Kupang diocese fully supported the efforts to create peace in East Timor. "I pray for true and lasting peace for the people of East Timor" he said.

Meanwhile, Nani Kosapilawan, spokesman for the East Nusa Tenggara provincial administration, said the passenger ship Patricia Anne Hotung belonging to the UN Transitional Administration in East Timor (UNTAET) would arrive in the city on Wednesday to transport more than 100 East Timorese families back home. "Governor Piet A. Tallo has ordered officials of the relevant agencies to accompany the refugees to board the ship on Wednesday," he said at his office on Tuesday.

He said the 100 families had decided to go back home after being influenced by Xanana's visit to their camps in the province. Nani hailed Xanana's peace mission at this time of year, just before Christmas and New Year.

"Many East Timorese refugees were impressed by Xanana's good intentions to create peace in East Timor," he said, adding that many local people came out in the city to greet Xanana and his family on Monday and Tuesday.

He said a majority of more than 143,000 East Timorese refugees were expected to follow suit and return after Xanana's reconciliatory visit, which was aimed at persuading them to return to their home land

Extradition pact 'invalid to Jakarta'

The Age - November 27, 2001

Jill Jolliffe, Dili -- Indonesian authorities say they do not regard last year's Memorandum of Understanding between East Timor and Indonesia on transfer of prisoners as valid, East Timor's new Prosecutor-General has said.

The UN Transitional Administration in East Timor has made requests for Indonesians accused of crimes in East Timor during the 1999 referendum to be handed over, but all have been rejected.

Prosecutor-General Longuinhos Monteiro made his first official visit to Indonesia last week for talks with Attorney-General Muhamad Abdul Rachman. He said the two sides agreed to meet in Bali next month to draft a new accord.

"Indonesia says the agreement of April 6, 2000, is not legally binding because it was not approved by the Indonesian Parliament," he said.

Indonesian deputies say the memorandum, signed by the Wahid government, does not conform with an October, 2000, law specifying that all agreements on foreign dealings be endorsed by parliament.

Mr Monteiro said he was told that "no Indonesian citizen will be released" for trial in East Timor.

The UN administration last week filed its fourth indictment for crimes against humanity over the Liquica massacre in April, 1999. Those charged include Lieutenant-Colonel Kusumawandi, a district commander and the highest-ranked Indonesian formally accused.

Mr Monteiro said he also discussed the case of the five Australian journalists killed at Balibo in 1975. In March, the UN administration asked to question 19 Indonesians about the killings, without success. The prosecutor then asked Indonesia's Human Rights Commission to conduct a preliminary investigation.

Mr Monteiro said Mr Rachman had told him "they are still preparing investigations, and are thinking of setting up a joint team with people from the Attorney-General's office and one or two police, to start work in January or February".

He said he expected four more UN indictments for 1999 crimes against humanity to be filed next month.

His special adviser, Tanzanian lawyer Mohamed Othman, said the UN was examining other ways to carry out judicial decisions where extradition was not granted. "We are in contact with Interpol to disseminate arrest warrants on behalf of the East Timor Government," he said.

21 charged with Timor massacre

The Australian - November 24, 2001

Don Greenlees, Jakarta -- United Nations prosecutors in East Timor have lodged an indictment against 21 people, including senior Indonesian military, militia and government officials, over the massacre in the Catholic church in the town of Liquica in April 1999.

During the April 6 assault, militiamen backed by Indonesian military and police killed at least 50 civilians with machetes and guns. Although only five bodies were recovered, witnesses have testified victims were thrown in nearby lakes and buried in mass graves under directions of military and militia leaders.

The indictment, filed with the special crimes panel of the East Timor supreme court, names the Liquica district military commander Lieutenant-Colonel Asep Kuswandi and his deputy, Captain Purwanto.

Other high-ranking officials listed in the 36-page indictment include the mayor, Leoneto Martins, the commander of the Besi Merah Putih (Red and White Iron) militia, Manuel Sousa, and the local police chief, Lieutenant-Colonel Adios Salofa. Of the 21 named, prosecutors say nine were serving members of the Indonesian army at the time.

They are charged with 18 counts of crimes against humanity. The indictment, which covers a variety of crimes by pro-Indonesian forces in Liquica between April and September 1999, cites acts of murder, extermination and forced deportation.

But the filing of the indictment highlights the constraints on UN prosecutors in bringing the perpetrators of human rights abuses under Indonesian rule to justice. Of the 21 accused, only two low-ranking participants in the April 6 massacre are in custody in East Timor.

The UN authorities in East Timor have signed a memorandum of understanding with Indonesia on extradition, but there is strong resistance in Jakarta to fulfilling extradition requests.

But even if the main culprits remain beyond the reach of the East Timor courts, the indictment may still serve some purpose. Law enforcement officials in Indonesia have promised prosecutions over the Liquica massacre, and included three senior figures on the list of suspects, including Lieutenant-Colonel Kuswandi and Mr Martins.

According to the latest timetable issued by the Indonesian Attorney-General's office, the first of five cases of human rights abuses in East Timor will be taken to a new human rights court next month.

The results of the investigation in East Timor, which is based in part on testimony from returned militiamen and ethnic East Timorese members of the Indonesian army, could assist, and put pressure on, Indonesian justice officials and encourage the Attorney-General's office to increase the number of people facing prosecution.

Ultimately, this is likely to reach retired armed forces commander General Wiranto.

Peace nears in East Timor, says Ramos Horta

Australian Associated Press - November 23, 2001

Paul Osborne Brisbane -- The problems of East Timorese refugees in West Timor and the disarmament of militia should be resolved within three months, the emerging nation's foreign minister Jose Ramos Horta said today.

Dr Ramos Horta, who visited Brisbane today for a financial planners' conference, said Indonesia and Australia had important roles to play in the lead-up to the handover of sovereignty to East Timor on May 20 next year.

"I believe in the next three months the problem of refugees in West Timor will be completely resolved and the problem of the militias will be completely resolved," Dr Ramos Horta told AAP.

"The Indonesian government has made genuine efforts in supporting the repatriation of refugees and genuine efforts in disarming the militias and dismantling their operation in East Timor." Dr Ramos Horta said the militias knew they were a "spent force" and a number had agreed to face court for crimes committed in 1999.

The 52-year-old Nobel Peace Prize winner said one of the keys to a secure East Timor would be setting up a trilateral dialogue between the foreign ministers of Australia, Indonesia and East Timor. "I hope to meet with Alexander Downer in Adelaide next week after his return from Jakarta [to meet with the Indonesian foreign minister], to follow up on his discussions on the idea of a trilateral dialogue," Dr Ramos Horta said.

He said the agenda for such a meeting should include cooperation on maritime surveillance to avoid illegal migration, piracy issues, and maritime boundaries.

The re-election of the Howard government would ensure continuing good relations between Australia and East Timor, Dr Ramos Horta said. "The Howard government has been very supportive of the reconstruction and development efforts in East Timor and has pledged to continue support on the security front to ensure the defence of East Timor," he said. "We know that if the election had turned out differently with a Labor victory, Labor would also continue the policies."

He said he was particularly happy Alexander Downer had been reappointed Australian foreign minister, as they had a personal rapport. "I have in him a real friend of East Timor," Dr Ramos Horta said.

He said he expected the new East Timor constitution would be voted on in January, with presidential elections in April followed by a major celebration of the country's sovereignty handover on May 20. "There will be a feeling of absolute joy," he said of the celebrations.

Timorese refugees no longer feel they have leaders

Antara - November 23, 2001 (slightly abridged)

Kupang -- A top military officer here said East Timorese refugees in East Nusa Tenggara province no longer feel they have leaders. The sentiment now prevailed among the refugees because those claiming to be their leaders had never paid attention to their fate, Chief of Udayana regional military command Major General Willem da Costa said.

Those leaders include Eurico Guterres and those coming from the East Timorese Knights Union (Untas), he said. "If they want to remain acknowledged as leaders, they should not let the refugees suffer alone," da Costa told reporters after meeting with Australian Ambassador to Indonesia Ric Smith at El Tari airport here early this week.

He said the refugees living in camps in the province, which directly shares a border with East Timor, would lose their balance if their wish to return to East Timor through "official gates" was frustrated. "We [the Indonesian military] urge them to return to their homeland, and they [refugees] enthusiastically and sincerely welcome the calls."

However, the calls on the refugees were not warmly welcomed by the East Timorese leaders living outside the camps, and they describe the calls to return to East Timor as intimidation and coercion by the Indonesian military, he said. "Eurico Guterres accuses me of terrorizing the refugees who want to return to East Timor," he said. "Thus, for him and the other members of the East Timorese political elite, I want to confirm whether it is true that I have done the intimidation or not because none of the refugees report it to Untaet [if it is true]," da Costa said.

During the repatriation process of the refugees who chose to return home, none of the Untas' political elite was seen on the border line but kept staying in Jakarta and shouting from the capital city, he added.

Labour struggle

Employers objects the increase of workers' minimum wage

Jakarta Post - November 30, 2001

Annastashya Emmanuelle, Jakarta -- Workers' hopes of enjoying a 38.7 percent increase in the minimum wage here next year will likely not materialize as employers have rejected the hike.

The Indonesian Employees Association (Apindo) even threatened to sue Jakarta Governor Sutiyoso at the Jakarta State Administrative Court for issuing a decree increasing the provincial minimum wage from Rp 426,250 to Rp 591,266, starting next year.

Not only did they reject the decree, they also claimed that they had never approved the increase during the meeting between labor unions, employers and officials from the Ministry of Manpower.

Representatives from Apindo and the Jakarta Chamber of Commerce and Industry (Kadin) who were present at the meeting said they did not sign any agreement on the proposed increase, and therefore the decision was made without their consent.

"In the meeting, we stuck to our proposal of Rp 490,000 per month, and didn't sign anything. The new minimum wage was decided entirely by the government and the labor unions," Anita Gizelle, from the Jakarta Chamber of Commerce and Industry told employers from various business sectors in a gathering convened by Apindo and Kadin.

An executive of the Indonesian Retail Merchants Association said last week that employers represented in the city's wage committee only approved the steep wage increase due to the limited time allowed for negotiations with the other parties involved.

According to the gubernatorial decree on the provincial minimum wage, the increase is to take effect on January 2002.

Labor unions had proposed the sum of Rp 600,000, which they arrived at based on results of a basic needs survey.

According to the deputy chairman of Apkindo, Haryadi Sukamdani, the reason for taking the case to court was to stall the scheduled implementation of the decree early next year, thus buying time for further negotiation until the court reached a verdict.

"We will file the suit as soon as possible since January is very near ... meanwhile, we'll also review our participation in the committee. As we have often been disregarded, we are considering withdrawing from the committee," Haryadi told reporters on the sidelines of the discussion.

Meanwhile, businesspeople at the gathering agreed to oppose the new ruling on the grounds that the economy had not yet recovered. "In time, this would kill the manufacturers in Jakarta and with that comes massive unemployment," said Toto, from the Electric Cable Manufacturers Association.

Another businessman said that the government was unable to accommodate the interests of all sides and often failed to take into account the situation of employers. "Perhaps this kind of proposal could be considered if the government was willing to postpone the increase in fuel and electricity rates which will also take place next year," Asima Sitorus from the Association of Synthetic Fiber Producers commented.

Sutiyoso had earlier rejected the review of the decree on the 2002 minimum wage, but allowed employers who could not afford the hike to file an objection and send in their financial reports.

Dita Sari released

Green Left Weekly - November 21, 2001

Dita Sari, chairperson of the Indonesian National Front or Labour Struggles (FNPBI) was released from police custody on the evening of November 9. She had been arrested, along with 30 workers, earlier in the day when police violently dispersed a 1000-strong rally in Jakarta by striking department store workers.

The police accused Dita Sari and seven FNPBI leaders of organising an illegal rally. However, the police later dropped the charges and all eight FNPBI leaders were released. Violent dispersal of workers actions and short detentions of union leaders is becoming a pattern in the current handling of labour disputes by the police.

Bukit Asam workers reject new board of directors

Jakarta Post - November 29, 2001

Bahrul Ilmi Yakub, Palembang -- More than 200 workers of state- owned coal company PT Bukit Asam held a demonstration at the South Sumatra legislative building in Palembang on Tuesday, demanding the central government annul the appointment of the company's new board of directors.

The workers said they would not return to their workplace unless Minister of State-owned Enterprises Laksamana Sukardi met their demand for the appointment of new directors to be recruited from within the company.

"It is demeaning for the company that the minister hired executives from other state companies to replace the company's board of directors. We have professionals who well understand the company's financial and labor conditions," said Iskandar Maliki, spokesman for the workers in a meeting with the legislature.

Iskandar said the workers were aware of the company's status as a state-owned company but that the central government should listen to their demands in line with the implementation of regional autonomy in the province.

"The appointment of the company's board of directors should not be a matter of like and dislike but that of professionalism. We reject the appointment of Ismet Jailani, Sutrisno and Abdullah Azis from PT Semen Padang because they are responsible for the recent take-over of the cement factory by an angry mob. We fear that they will also give up if local people in Tanjung Enim take over Bukit Asam's management," he said.

Iskandar said workers have also received accurate information about the three's poor track record during their assignment at Semen Padang. "We do not want our company to be a target of extortion by corrupt officials. Bukit Asam must be managed professionally to make it financially healthy and to protect workers' interests," he said, citing that the members of the board of directors were appointed without any fit and proper test.

The new board of directors led by Ismet Jailani was installed at the company's headquarters in Tanjung Enim, some 200 kilometers south of Palembang last week.

Nur Iswanto, chairman of Commission D on economic and state company affairs, pledged to convey the demonstrators' aspirations both to the governor and the state minister. He acknowledged the demonstrators' concerns, saying it was a new step for workers of state-owned companies to promote professionalism and to fight against corrupt and collusive practices.

"It is no longer a secret that most state-owned companies cannot achieve good results because of the lack of professionalism and the corruption and collusion within the bureaucracy," he said, adding that privatization would be a better alternative to make the companies more professional and accountable.

Workers struggle to survive

Jakarta Post - November 26, 2001

Muninggar Sri Saraswati, Jakarta -- Life could not be harder for minimum wage earners in the capital. They are forced to struggle to make both ends meet with the current minimum monthly wage of Rp 426,250 (about US$40).

One might wonder how they could survive earning such a low amount of money while the prices of goods keep on increasing.

Jefri, 43, an office boy working for a state enterprise on Jl. Jend. Sudirman, Central Jakarta, said that in addition to his Rp 400,000 monthly salary, he also received meal allowances amounting to about Rp 100,000. "Fortunately, my wife runs a small shop at our house in Pamulang," said Jefri, who has two children.

Unlike Jefri, however, Sutrisno is the only breadwinner in his family. As a security guard for a foreign company on Jl. Jend. Sudirman, he receives a Rp 475,000 basic salary plus Rp 150,000 meal allowance each month. "Actually, my salary is not enough to feed my family, especially at the moment with the prices of everything increasing. However, we have to be able to manage the money," said the 30-year-old father of one.

Sutrisno and his family live in a rented one-room home in the Bendungan Hilir area, Central Jakarta, for which they pay rent of Rp 125,000 a month. He catches a bus to his workplace every day. The bus fare is Rp 900 and in a month he spends about Rp 50,000 on transportation. He hands over the rest of his income to his wife for the purchase of the family's basic necessities including, of course, food.

The family rarely has meat or fish as part of their daily diet because they can not afford it, said Sutrisno, whose wife does not work. "We have to spend the money very carefully, otherwise it won't be enough for one month," he told The Jakarta Post on Saturday.

He hopes that none of his family fall ill because he has never allocated money for health care. "If one of us gets sick, we will buy medicine sold at street stalls. But if the illness gets worse, we will go to a puskesmas [community health center]," Sutrisno said, adding that he borrows money from his neighbors or relatives to pay the medical expenses.

Currently, the monthly minimum wage here is set at Rp 426,250. The amount is based on several factors, including the inflation rate, the cost of basic staples and consumer goods, as well as minimum living needs, or Kebutuhan Hidup Minimum (KHM). KHM, a main element used to calculate the minimum wage, has components including food, clothing, housing and transportation.

Earlier this month, Jakarta Governor Sutiyoso issued a decree on the new minimum wage for 2002, which was set at Rp 591,600. The decree does not regulate transportation fees and meal allowances.

Many must be happy with the 38 percent wage increase, though some have responded to the move with a degree of skepticism, predicting that the cost of all goods and transportations will in turn also increase.

Wanda, a cashier at a Matahari department store in Blok M, South Jakarta, said: "It will be like the previous year when we had a pay hike, but it was not worth it at all because the prices of all items increased too." Even with a such huge increase, the wage will barely be enough to make both ends meet.

Students/youth

Students want rerun of gubernatorial election

Jakarta Post - November 27, 2001

Yongker Rumthe, Manado -- An alliance of student associations in Gorontalo and North Sulawesi has called on the central government to annul the results of the recent gubernatorial election in Gorontalo on the grounds that they were not legal.

The Student Solidarity for Anti-Establishment (Gasak), the Forum for Gorontalo Students (FMG) and the Gubernatorial Election Supervisory Committee said the Gorontalo provincial legislative council should hold another gubernatorial election because the previous one was not valid.

Rusliyanto Monoarfa, spokesman for the student associations, said Minister of Home Affairs Hari Sabarno should annul the results of the recent gubernatorial election, saying it had not been run according to the law.

"Most people in Gorontalo do not know Fadel Muhammad and he did not present his vision and mission and the legislative council did not examine whether Fadel and other candidates met official and administrative conditions required by the law. Fadel has lived in Jakarta for a long time and does not know the province's real condition," he said in a press conference here on Monday.

The central government has yet to decide whether to accept Fadel's victory in the gubernatorial election or not, as eleven legislators from the local chapters of the Indonesian Democratic Party of Struggle (PDI Perjuangan) and the Golkar Party have called for a new poll.

The chairman of the provincial legislature, Amir Piola Isa, has called on the home affairs minister to swear in Fadel as the first governor of the province to avoid confusion among the local people.

Rusliyanto said the recent gubernatorial election breached Government Regulation No. 151/2000, which requires gubernatorial candidates to meet all legal and administrative requirements and to present their vision and mission to the provincial legislature before a gubernatorial election can be conducted.

"Besides, it was political engineering when the provincial legislature made several changes to its internal rulings to allow it to conduct the gubernatorial election," he said.

He said the students would continue to hold demonstrations both in Gorontalo and Jakarta to demand another gubernatorial election if the central government accepted Fadel's victory.

He added the students had sent their objections to the conduct of the election to the home affairs minister, the Supreme Court and the House of Representatives' Commission II on legal and home affairs.

Aceh/West Papua

Five more killed on eve of GAM anniversary

Jakarta Post - November 30, 2001

Ibnu Mat Noor, Banda Aceh -- At least five people were killed and five more seriously injured in separate, violent incidents in the strife-torn province of Aceh on Wednesday, separatist movement and military sources said here on Thursday.

Spokesman for the local military Lt. Col. Firdaus said that two rebels were killed and two others were in a critical condition after gunfights between the military and the Free Aceh Movement in Geunteng Timu and Pasie Lhok villages in Pidie regency and in Lambadeuk village near Banda Aceh.

The gunfights occurred when the military carried out routine patrols in the villages, he said, adding the military had also seized three guns from the rebels.

Firdaus said Chief Pvt. Sarbaini was shot by two gunmen on his way home to Paloh Pineung village in Lhokseumawe on Wednesday. Tengku Jamaika, GAM's spokesman in Lhokseumauwe, said GAM had been responsible for Sarbaini's killing.

In South Aceh, a handmade bomb exploded in a village in Tapaktuan, killing a nine-year-old child instantly and leaving two others seriously injured. The injured children, who are in a critical condition, are still undergoing intensive medical treatment in the Tapaktuan general hospital. Chief of the Tapaktuan police precinct, Adj. Sr. Comr. Agus Mandarwanto, said the bomb exploded while the children were playing football with it, having found it at a public health center in the village.

In East Aceh, a local trader was found dead after being severely burned. "The victim went missing on Tuesday when he went shopping in Langsa," Zulkifli Usman, a relative of the victim, said on Thursday.

Meanwhile, Muhammad Yusuf Puteh, a human rights activist, said unidentified gunmen had kidnapped six passengers on a Anugrah bus in East Aceh on Monday night and they had yet to be released. Amri Abdul Wahab, commander of GAM's military wing, denied responsibility for the kidnapping, saying GAM never abducted civilian people. "We checked with our network in East Aceh. The abduction may have been committed by gunmen loyal to the local military because the incident occurred near a military checkpoint in the regency," he said.

On the eve of GAM's 25th anniversary (December 4, 2001), both the local police and military have intensified their security operations in an attempt to prevent GAM from staging a celebration. Firdaus asked local and foreign journalists not to cover the celebration of GAM's anniversary for security reasons. "We do not want media employees to be targeted by GAM," he said.

Indonesia says to step up Aceh military campaign

Reuters - November 29, 2001

Jakarta -- Indonesia warned rebels in Aceh on Thursday that it would soon step up military operations in the restive province, saying the government's willingness to compromise was ebbing fast.

Chief Security Minister Susilo Bambang Yudhoyono accused rebels of the Free Aceh Movement (GAM) of exploiting the Muslim fasting month of Ramadan to launch attacks on security forces.

"We will definitely take firm action and in the coming months, the steps will be more intensive and coordinated. It's about time we stopped compromising to protect Indonesia's sovereignty," a grim-faced Yudhoyono told reporters.

Yudhoyono gave no precise details of an increase in military action, but security forces and GAM already engage in frequent clashes that are increasingly taking civilian lives in the province on the northern tip of Sumatra island.

A military spokesman said this week that Indonesia planned to rotate almost half its troops through Aceh and Papua, the country's other separatist province in the remote east. But the spokesman said that did not mean they would all be stationed in the two resource-rich regions at the same time. It was not clear how many soldiers are already in Aceh or Papua.

While no foreign governments support independence efforts in Aceh or Papua, key partners have urged Jakarta to show restraint. During a visit to Jakarta this week, US Admiral Dennis Blair, commander of American forces in the Pacific, cautioned against counter-insurgency tactics so harsh that they generate more rebels than the number they destroy.

Yudhoyono said Aceh rebels had showed no sign of accepting a special autonomy package recently offered to give the province greater control over its affairs. GAM has long ruled out anything but independence for the province of four million people, home to key gas fields.

Many analysts believe President Megawati Sukarnoputri's uncompromising stance on the country's boundaries strikes a chord of approval among Indonesia's military, which has been struggling to repair its image, damaged by past abuse of human rights.

Irian Jaya protestors blame Jakarta, army for They's death

Agence France Presse - November 29, 2001

Jakarta -- Some 30 people from Indonesia's rebellious Irian Jaya province rallied peacefully outside the UN mission here on Thursday, accusing the military of being behind the murder of separatist leader Theys Hiyo Eluay.

"Theys Eluay's death is a conspiracy between the government and the TNI [Indonesian armed forces]," said a poster held up by a young Irianese boy. Another sign read: "The government is responsible for the death of Theys Eluay." The protestors, some wearing tribal costumes, performed a traditional dance.

Eluay, 64, who headed the pro-independence Papua Presidium, went missing on November 10 while driving home from a ceremony at a base of the Kopassus special forces in the provincial capital Jayapura. His driver had told Eluay's family in a brief mobile telephone call that they had been abducted by a group of non- Irianese. Eluay's body was found the following day in his crashed car.

Top security minister Susilo Bambang Yudhoyono was quoted as saying in the Jakarta Post that a team of military and police had been formed to investigate the death despite doubts over whether such a team will be independent. "The government is committed to investigating the murder," Yudhoyono said.

Irianese religious leaders have asked the National Commission on Human Rights to set up an independent investigation and refused to accept any involvement by the military and police.

Rebels have been fighting sporadically for an independent Melanesian state since the former Dutch colony bordering Papua New Guinea became an Indonesian province in 1963. Independence supporters say a 1969 UN-sponsored plebiscite, which reaffirmed Indonesian sovereignty over Irian Jaya, was flawed.

Juggling fire and gasoline: Theys Hiyo Eluay

Asia Times - November 23, 2001

Alan Boyd, Sydney -- Don't play with fire near gasoline, Theys Hiyo Eluay once warned Indonesia of its ruthless efforts to assimilate the 225 tribal groupings and hundreds of languages and dialects of Irian Jaya.

Linked by little more than their fraying Melanesian roots and an imported religion, Irian Jayans have a fierce communal allegiance that defies ethnic or cultural categorization. There is no binding system of government, whatever Jakarta or its nationalist rivals might say to the contrary. Village law prevails and tribal chiefs hold all of the political aces that matter. This is why the renegade province is unlikely to over-react to Eluay's violent death last week, even if allegations of a conspiracy by Indonesian security forces are substantiated.

Eluay was one of the few nationalists who managed to negotiate Irian Jaya's tribal maze and still plug the enigmatic theme of self-determination within a unified state. But he was, first and foremost, a leader of the Sentani tribe and that was how he was perceived by most Irian Jayans. True, he did have a high profile through his leadership of the Papuan Presidium Council (PPC), the most prominent pro-independence grouping. Yet this was also a burden, as it brought him into contact with the most hated symbols of Indonesia's jurisdiction over Irian Jaya. Few were surprised that Eluay's own nationalist allies, heavily divided on tribal lines and reportedly ambivalent over his accommodating approach to Jakarta, were rumored initially to have ordered his execution.

Like many of the PPC hierarchy, Eluay was a product of Indonesia's colonial patronage, benefiting from its schooling programs and gaining a position of trust with administrators while still in his 20s. He represented the province for more than three decades in Indonesia's national assembly and until his death remained a regular guest at military and government functions. Most significantly, Eluay was one of the 1,025 tribal chiefs who in 1969 were fatefully chosen to decide Irian Jaya's destiny in a ballot organized by the United Nations on behalf of the population of 800,000.

Though he would later renege on the decision, Eluay opted for integration with Indonesia, as did most of the other delegates, thus condemning Irian Jaya to decades of a bitter struggle for self-determination. Eluay argued for years afterward that he was intimidated. Nevertheless, the die was cast, and his part in these dark events has been a permanent stain on the PPC and its efforts to forge a common front against Jakarta.

Some nationalists were also upset at Eluay's indiscriminate choice of business pals, including a gaggle of black marketeers, smugglers and minor crime bosses. The PPC secured cash in return for lending its political clout, but also devalued its local and international standing. At least one financial ally, the paramilitary Pemuda Pancasila, is also known to have had links with former president Suharto, and is routinely hired by security agencies to forment riots that can be conveniently blamed on the PCC.

Jakarta, with some justification, cited the links as evidence that the pro-independence movement was in the hands of thugs and racketeers and did not deserve to be treated as a legitimate liberation organization. None of this would have bothered Eluay, a tough-skinned campaigner, who believed that pragmatism was an essential part of any activists' vocabulary. But it may well have cost him his life, and could deeply hurt his cause.

Tragically for Irian Jaya, there is no-one else with the charisma and grass-roots following to take his place, or to prevent the looming power struggle from playing squarely into Jakarta's hands. For Eluay did at least have unmatched access to the inner circles of Indonesia's power elite, which he was able to use to the benefit of both sides when it came to defusing periodic communal tensions.

But perhaps his biggest mistake was to allow these ties to dictate his political judgement in the vortex of constantly shifting allegiances in Jakarta. In a meeting with former president Adurrahman Wahid last year, Eluay was persuaded to host a regular series of PCC congresses that would act as a conduit for improving relations with Indonesia. Wahid promised a greater degree of autonomy and apparently gave a verbal assurance that Irian Jayans would no longer be prosecuted for flying their banned Morning Star flag, the most visible symbol of the independence campaign.

Portions of the security apparatus evidently didn't agree, as they clamped down as soon as the flags appeared, taking hundreds into custody and reportedly razing entire villages to the ground. Then, Eluay and his four closest lieutenants were arrested in June last year and charged with sedition for organizing the PCC congresses, which had quickly become a rallying point for independence calls. Discredited in Jakarta and encircled by hardline opponents of self-rule in the province, Wahid issued a denial that any deal had been brokered with the PCC. However, this only served to reinforce concern over Eluay's leadership within the Irian Jayan community, and left him isolated when he was in most need of influential friends.

The fire has now turned on its mentor, and there was little doubt as to who had supplied the gasoline.

Freedom movement leader cleared of charges

Green Left Weekly - November 21, 2001

Max Lane -- On November 11, a panel of three judges in Banda Aceh handed down their findings after two weeks of hearings in the case brought by the Indonesian National Police against Kautsar, a central leader of the Acehnese freedom movement.

Kautsar, who is chairperson of the Acehnese Peoples Democratic Resistance Front (FPDRA) was arrested in July when a police roadblock found leaflets in his car calling for a mass boycott of taxes and for the closure of the ExxonMobil operation in Aceh. He was charged with distributing leaflets that spread hatred against the legitimate government.

In a brief statement, the judges found Kautsar innocent of all charges and ordered he be released immediately. The statement surprised the packed courtroom, who broke into cheering "Long live Kautsar! Long live the people!" Kautsar is the first political prisoner found not guilty since political trials began in 1965.

In a bizarre ruling, the judges stated that the prosecution had not proved that Kautsar had handed out the leaflets. They cited the fact that the police had not seized the leaflets from Kautsar's hands in the act of distribution but had taken them form other people who were distributing them.

The judges chose to ignore the fact that Kautsar repeatedly affirmed that he was responsible for drafting and typing the leaflets and organising their distribution.

At the same time, the judges attacked Kautsar's summary speech as being a purely political statement inappropriate for a courtroom. They stated he may have carried out criminal acts but that the prosecution's charges were inappropriate. The prosecution declared that it would appeal the verdict.

Meanwhile, another Acehnese political prisoner, Teungku Nashiruddin Ben Ahmed, refused to attend the first hearing in his trial. Along with five colleagues, he was arrested on July 20 in Banda Aceh. All five are members of the negotiating team representing the Free Aceh Movement (GAM) in official talks with the Indonesian government.

Ben Ahmed is refusing to cooperate with the court, stating that the Indonesian government is breaking an international agreement with GAM that Jakarta would guarantee the security and safety of all members of the negotiating team.

Two rebels killed in attack on police outpost in Irian Jaya

Agence France Presse - November 28, 2001

Jakarta -- Two rebels were killed and two wounded when some 100 members of the separatist Free Papua Movement attacked a police outpost on Wednesday in Indonesia's easternmost province of Irian Jaya, a report said.

Police reinforced by soldiers drove off the separatists who attacked the post at Kimaam in the southern district of Merauke, Irian Jaya deputy police chief Brigadier General Raziman Tarigan told the Antara news agency.

He said police had been tipped off that the Kimaam police post was a target and called in military reinforcments.

The two wounded rebels are in hospital under strict guard. The Merauke district police could not immediately be reached for comment.

The Free Papua Movement, made up of small, poorly-armed groups spread across the vast resource-rich province, has been fighting for a free state since the 1960s. Jakarta has ruled out independence but approved a new autonomy package last month in efforts to head off pressure for independence.

The province will be renamed Papua and will get a larger shares of revenues from its natural resources when the legislation takes effect on December 22. Pro-independence campaigners have already rejected autonomy, saying people want independence.

Mystery death stirs secession sentiment

San Francisco Chronicle - November 27, 2001

Ian Timberlake, Jakarta -- The mysterious death of charismatic leader Theys Eluay threatens to inflame desires for independence in Irian Jaya, the vast province occupying the western half of the island of New Guinea.

Eluay's death comes at a time when President Megawati Sukarnoputri's government has agreed to grant wide-ranging powers to Irian Jaya, Indonesia's easternmost province and a resource- rich region also known as West Papua.

Eluay, 64, was reportedly kidnapped November 10 after attending a dinner party at the headquarters of Kopassus, the army's special forces, in the provincial capital of Jayapura. He was found dead the next day on the edge of a ravine.

Eluay appeared to have been strangled -- his face was darkened, and his tongue was sticking out -- by assassins who tried to make the murder look accidental by pushing his car off a remote road. His driver, Ari Masoka, is still missing.

Although Eluay did not enjoy mass support before his death -- many Papuans were suspicious of his past ties to the political party that backed the longtime ex-dictator Gen. Suharto -- he received a hero's funeral. Thousands followed his coffin draped in the banned Morning Star separatist flag. Many shouted "Free Papua" -- the local name for Irian Jaya -- and demanded that Megawati bring his killers to justice.

Eluay, who was known for a wild shock of gray hair and a fondness for plaid pants, had chaired the pro-independence Papua Presidium Council since its formation last year to negotiate a solution to the many grievances voiced by the province's 2 million residents. Irian Jaya has been effectively part of Indonesia since 1963, a status confirmed by a United Nations-supervised vote in 1969, which was widely viewed as a sham.

"He has become a hero for the Papuan people," said Lukas Karl Degey, a Papuan and vice chairman of Megawati's Indonesian Democratic Party of Struggle.

Anum Siregar, Eluay's attorney, said solving the murder was a test of Megawati's credibility. "The government must determine who did this and why," he said in a telephone interview from Jayapura, about 1,700 miles east of Jakarta.

But the Indonesian police have a poor track record regarding high-profile cases. They have repeatedly failed to catch the masterminds behind recent bombings believed to be linked to security forces or Suharto's fugitive son, Hutomo Mandala Putra. Known popularly as Tommy Suharto, the son disappeared nearly a year ago after a court convicted him of corruption.

The Eluay case is complicated by widespread suspicion that the murder was committed by members of Kopassus, whose officers were believed to be irate over Eluay's plans to hoist the Morning Star flag this Saturday, on a key anniversary date for the pro- independence movement. They are also said to be willing to provoke Papuan rage to justify a crackdown. Kopassus has a long history of human rights abuses and executions of independence figures during the Suharto dictatorship.

"From the experience that we have had, a lot of people, including me, think the army's behind it, especially Kopassus," said Tom Beanal, the vice president of the Papua Presidium.

Maj. Gen. Mahidin Simbolon, the army commander in Irian Jaya, denied on local television that the military had anything to do with Eluay's death. He said the separatist leader had probably died of a heart attack. An autopsy showed that Eluay had died from a lack of oxygen, but it did not say what had caused the lack of oxygen.

Last week, Janner Pasaribu, a senior police official in Jayapura, said Eluay had been murdered, citing preliminary evidence gathered from witnesses. Jayapura Police Chief Daud Sihombing agreed. "We think the death isn't natural," he said, expressing optimism that the killers could be apprehended in the coming weeks.

But an informed source in Jayapura, who asked not to be named, expressed doubt: "The killing of Theys was very professional and skilled. It's difficult for the police to investigate."

Eluay's death followed two months of renewed tension in Irian Jaya. There have been renewed clashes between the military and separatist rebels, and Eluay and four other Presidium members were facing possible sentences of life in prison on charges of subversion for demanding independence. They had been free on bail.

In May, Eluay was interviewed at his home the day the trial began, sitting under a large picture of Jesus Christ. Unlike Muslim Malays, who make up the majority of Indonesia's 210 million inhabitants, most Papuans are Melanesians and devout Christians. Eluay said he was ready for whatever fate awaited him. "I'm ready not just for prison but death," he said.

Speculation on the reason for Eluay's slaying centers on his opposition to recently passed legislation granting wide-ranging autonomy to Irian Jaya. The new law, enacted October 22, officially changes the province's name to Papua, creates a special legislature to safeguard the rights of Papuans and reduces the flow of revenues from natural resources to Jakarta. Papua will now keep from 70 to 80 percent of those revenues, much of which come from the huge copper and gold mine run by US firm Freeport McMoRan.

But because Indonesia's repression and resource drain in Irian Jaya have been so egregious, Eluay and many other local leaders do not trust Jakarta's promises; they say nothing short of independence will be satisfactory.

Megawati, who firmly opposes any attempt by Indonesian provinces to break away, is expected to visit Irian Jaya on December 22 to present the new law and talk to local leaders.

A successful resolution of the Eluay case would ease tension and help cool independence sentiment, said a recent editorial in the Jakarta daily Suara Pembaruan. "It can almost be assured that if the killing is not quickly and thoroughly resolved, the situation will trigger a demand for independence," said the editorial.

Historic Papua vote a whitewash, says former UN official

The Age - November 24, 2001

Slobodan Lekic, Jakarta -- Wracked by separatist struggles across its vast chain of islands, Indonesia is being especially haunted by a referendum 32 years ago that former United Nations officials now admit was a sham.

The region in question is Papua, formerly known as Irian Jaya, Indonesia's easternmost province, and the referendum legitimising the Dutch colony's annexation is proving to be a source of intensifying separatist fervor.

UN officials who conducted the 1969 vote by tribal chiefs now say most citizens of the province covering the western half of New Guinea island were intentionally excluded from the process.

"It was just a whitewash. The mood at the United Nations was to get rid of this problem as quickly as possible," said Chakravarthy Narasimhan, a retired UN undersecretary-general who handled the takeover. "Nobody gave a thought to the fact that there were a million people there who had their fundamental human rights trampled."

The ballot immediately sparked an uprising in the region. Indonesia's army has failed in repeated attempts to crush the rebellion, and support for independence has strengthened since president Suharto, Indonesia's former dictator, was forced from office in 1998.

In the past, bloody protests have erupted on December 1, the anniversary of Papua's 1961 independence proclamation. So Indonesian security forces are bracing for more trouble next Saturday, the 40th anniversary of the proclamation.

Independence activists have been further galvanised by the UN- supervised referendum in 1999 that allowed nearby East Timor to break away from Indonesia and become independent after years of fighting Indonesian forces.

They are demanding a similar plebiscite for Papua. The killing of Theys Eluay, a prominent pro-independence politician, on November 10, has added to tensions. Indonesian police confirmed on Wednesday that Mr Eluay was kidnapped and murdered.

Opposition to rule from Jakarta appears almost universal among Papuans. But the Indonesian Government is adamant about holding the region, the nation's biggest and home to rich natural resources.

When the Dutch originally granted independence to the Indonesia archipelago in 1949, they retained control of Papua, arguing it had no ethnic, linguistic or cultural links with the other islands.

Unlike Indonesia's mainly Malay inhabitants, Papuans are racially distinct Melanesians. While 85 per cent of Indonesians are Muslims; Papuans are either Christians or animists.

The Netherlands announced it would grant statehood to Papua and set up a local legislature December1, 1961. Indonesia reacted by launching a series of cross-border incursions. The invaders were easily routed by Dutch marines. But the US administration of President John F. Kennedy feared a military defeat could drive Indonesia into the communist bloc and pressured the Dutch to hand over the colony.

The Dutch eventually agreed, and in 1962 the UN was brought in to prepare a "one man, one vote" referendum for self-determination by 1969. Within a year, however, the world body relinquished administration of the region to Jakarta, and left Mr Suharto's military dictatorship in charge of preparing for a democratic plebiscite.

Indonesia, sensing overwhelming opposition to the takeover, decided to canvass only 1025 hand-picked supporters. The result, not surprisingly, was a unanimous vote for integration.

AJI office in Jayapura attacked

Jakarta Post - November 26, 2001

Jakarta -- The Jayapura-based offices of the Irian Jaya chapter of the Independent Journalists Alliance (AJI) were attacked and damaged by an unknown person or group on Sunday, a report said.

"The attackers smashed the office's ten glass windows with stones," chapter chairman Fritz Ramandey was quoted by Antara as saying.

Ramandey said he still had no idea of the motives behind the attack but two policemen from the South Jayapura police precinct said the perpetrators might be drunks.

Ramandey called on the locals to protect journalists and their organizations from all forms of intimidation because they worked to promote democracy and justice in the province. Local police officers continue to investigate but have so far made no arrests.

Five die in new violence in Aceh province

Agence France Presse - November 26, 2001

At least five people were killed in the Indonesian province of Aceh where separatist rebels are fighting government forces, military and rebels said Saturday

Gunfight broke out Friday in the Krueng Sabee area of West Aceh between military soldiers and Free Aceh Movement (GAM) rebels, killing a soldier and three rebels, said military spokesman Lieutenant Colonel Firdaus.

Local GAM commander, Teungku Ridwan, claimed responsibility for the attack, saying his troops had initiated the skirmish. Meanwhile, a pregnant woman was killed by stray bullets in a separate skirmish on Friday between troops and GAM rebels in Rantau Selamat subdistrict in East Aceh, said police spokesman Agus Dwiyanto.

A two year-old girl was also wounded in the incident, Dwiyanto said.

GAM spokesman Ishak Daud said his group had attacked the troops because they were "causing a lot grief for residents in the area with their unjustified military operations."

The Free Aceh Movement has since 1976 waged a guerrilla war for an independent state in Aceh, an oil and gas-rich province on the north of Sumatra island.

Pro-independence sentiment has been fueled by Jakarta's draining of the province's natural resources and harsh military operations in the last decade. More than 1,600 people have died this year alone.

Eleven killed in restive Aceh province

Agence France Presse - November 23, 2001

Eleven people, including seven separatist rebels, have been killed in Indonesia's violence-torn Aceh province, the military and civilians said.

Some 20 soldiers raided a base of the Free Aceh Movement in the Gunung Rotan hills of South Aceh district on Wednesday and killed seven rebels, said district military chief Lieutenant Colonel Agus Permana. The rebels could not immediately be reached for confirmation.

Rebels ambushed a military convoy in the Krueng Sabee district of West Aceh and shot dead a soldier on Thursday, said military spokesman Lieutenant Colonel Firdaus.

In the provincial capital Banda Aceh on Thursday three civilians and a policeman were wounded after two unidentified men riding a motorcycle threw a grenade into a police car, said district police chief Sayed Hoesaini.

Troops shot dead two teenagers riding a motorcycle in front of a military base in the town of Bireuen on Thursday, a witness told reporters.

A 15-year-old boy was shot dead for running away after he became scared by a military search for rebels in the Delima area of Pidie district on Thursday, residents said.

The Free Aceh Movement has since 1976 waged a guerrilla war for an independent state in Aceh, an oil- and gas-rich province on the north of Sumatra island. More than 1,600 people have died this year alone.

Government & politics

Minister urges regions to sort out overlapping regulations

Agence France Presse - November 26, 2001

Jakarta -- Indonesia's Home Affairs Minister Hari Sabarno on Monday urged local authorities to revoke dozens of regional regulations deemed to hinder the flow of goods and capital.

The finance ministry has proposed to the home affairs ministry that it scrap 71 regulations. "We do not want the government to use the old paradigm, using power to act at will. If it [the decisions] can be taken in the regions, it would be much better," Sabarno said.

He urged provincial and district administrations to consider the interests of the nation and not just their own areas. Overlapping levies by regions on goods, services and capital would make products unecessarily expensive, Sabarno was quoted by the Detikcom online news service as saying.

A senior finance ministry official said last week the proposal to scrap the regulations was in line with a demand from the International Monetary Fund (IMF), which is coordinating a five- billion-dollar aid package for the country.

The IMF has singled out some 100 regulations which it says overlap with regulations issued by other regions or by the central government and which hamper investment and trade.

An autonomy law which took effect in January gave regions more powers including revenue-raising. Critics have said its hurried application has given rise to many problems including overlapping authorities and rivalries.

Investors have complained of local regulations and taxes which run counter to central government policies.

Corruption/collusion/nepotism

Government loses 3.8 billion from import under-invoicing

Jakarta Post - November 30, 2001

Jakarta -- The Indonesian Importers Association (Ginsi) estimated on Thursday that the government has been losing at least Rp 40 trillion (US$3.8 billion) a year in revenue from import duty, value added tax (VAT) and income tax due to the widespread practice of under-invoicing import prices.

Still more damaging is the market distortion caused by under- invoiced imports and unfair competition imposed on Indonesian products, the association's chairman, Amirudin Saud, said, when he released the results of an import data investigation conducted by his organization.

Using data from the Central Bureau of Statistics and revenue figures from the state budget, Amirudin said the government should have collected Rp 52.7 trillion from import duties, VAT and income tax from non-oil imports in 1998, Rp 43.4 trillion in 1999 and Rp 57 trillion in 2000.

"However, actual state revenue amounted to just Rp 2.3 trillion in 1998, Rp 4.1 trillion in 1999 and Rp 3.4 trillion in 2000," he added.

Amirudin said his estimates of the revenue losses were based on an average import tariff of 10 percent, 10 percent VAT and 2.5 percent income tax on non-oil imports valued at Rp 234.5 trillion ($24.6 billion) in 1998 (Rp 9,500 to the dollar), Rp 193 trillion ($20.3 billion) in 1999 and Rp 253.5 trillion ($26.6 billion) in 2000.

According to the study, actual state revenues from imports should amount to at least 22.5 percent of the total import value. "Even though more than 75 percent of our imports consist of industrial raw materials that are subject to zero or very low tariffs, more than 5,345 categories of imported goods, or 78 percent of the total number of tariff classifications listed in the 2001 Indonesian Import Tariff Book, are still subject to import tariffs ranging from 5 percent to 20 percent," he pointed out. "Under-invoicing on such a scale could not have occurred without collusion between importers and customs officials," Amirudin alleged.

He acknowledged, though, that part of the problem should be blamed on the 1985 Customs Law, which applies a self-assessment system, meaning that customs officers are required to accept whatever prices are submitted by importers as long as they are validated by legitimate sales/import contracts.

"This system has often been abused by importers who ship their imports in from Hong Kong and Singapore in collusion with customs officials," he added. The government urgently need to reapply the pre-shipment inspection system for non-oil imports, like what was in effect from 1985 to 1995, at least at selected ports of origin, Amirudin added.

The conclusion of the study validates the findings made earlier this year by a World Bank-sponsored diagnoses on corruption in Indonesia that the customs service was one of the most corrupt public institution, alongside the traffic police and judiciary.

The customs service performance at detecting the under-invoicing of imports and outright smuggling has been so poor that an increasing number of businesspeople have urged the government to strengthen the customs and excise duty directorate general with an independent import inspection mechanism.

The corruption-infested customs service was stripped of its import inspection authority in 1985 but it regained that authority in 1995 under a new customs law.

Ade Sudradjat, secretary general of the West Java Textile and Garment Association, disclosed recently that every month almost 1,500 containers of textiles from China, Vietnam and South Korea were being smuggled into Indonesia through Surabaya's Tanjung Perak port and Jakarta's Tanjung Priok port.

This smuggling, Ade added, has adversely affected domestic textile companies, particularly because their exports have already been hit badly due to the gloomy outlook of the world economy.

Golkar legislators foils investigation of Akbar

Jakarta Post - November 29, 2001

Bambang Nurbianto, Jakarta -- Legislators from the Golkar Party successfully foiled attempts on Wednesday to create a House of Representatives (DPR) committee to examine alleged corruption involving House speaker and Golkar party Chairman Akbar Tandjung.

During a meeting of the House Consultative Body (Bamus), Golkar lawmakers employed a filibuster tactic by focussing the issue away from a possible investigation through lengthy debates on the interpretation of the new House regulations regarding Bamus membership.

Golkar legislator Hajriyanto Y. Thohari argued that there were significant differences between the old and new DPR regulations. "In the new House regulations, there are no substitute members like in the old regulations, while the factions in the House, with the exception of Golkar, still observe the old regulations," he told The Jakarta Post. He said the new rules went into effect on October 16.

Because of the different interpretations of the internal DPR rules, Bamus agreed to adjourn the meeting until December 6 to give ample time for representatives of all factions to discuss and resolve differences in interpreting the new regulations.

Wednesday's meeting was originally convened to decide on a motion to create an investigatory committee, which was filed earlier by over 50 legislators during the House's plenary session. The motion, filed prior to the House recess in October, called for the creation of a House special committee to investigate alleged misuse of 40 billion rupiah (about US$4 million) from State Logistics Agency (Bulog) funds by Akbar.

Akbar, is accused of possibly funneling the Bulog money into Golkar campaign activities, using his position as minister/state secretary under former president B.J. Habibie in 1988 and 1999. The Attorney General's Office has summoned Akbar twice recently for questioning in its ongoing investigation. Akbar has denied any wrongdoing in the case dubbed Buloggate II.

Ali Masykur Musa of the National Awakening Party (PKB) and Panda Nababan of the Indonesian Democratic Party of Struggle (PDI Perjuangan) expressed disappointment over the delay.

Ali Masykur blamed the House secretariat for placing the Buloggate issue as the fourth item to be debated during Wednesday's meeting, after discussing the nomination of Comr. Gen. Da'i Bachtiar as National Police chief, the nomination of Bank Indonesia deputy governors and new members of Bamus.

"We agreed on November 22 that the issue would become the top priority in today's meeting. I don't know why it was put down to fourth," Ali said, adding that it was an obvious delay tactic by Golkar.

DPR Deputy Speaker Tosari Widjaja told the press after the meeting that the decision on when Buloggate II would be debated during a plenary meeting will be decided on December 6, at the next Bamus meeting.

Another PKB legislator Amin Said Husni said the Bulog scandal had been discussed in Wednesday's meeting, but only PKB and PDI Perjuangan factions had expressed their views, while other factions would have to wait until December 6. Amin said his faction still hopes that the formation of the House special committee would be decided by the plenary session before Idul Fitri which falls on December 16 and 17.

Legislators from PKB, a party founded by former president Abdurrahman Wahid, have taken the lead in the formation of a special committee to investigate the Bulog scandal.

Abdurrahman lost his hold on power when members of the DPR in July essentially gave him a no-confidence vote. Most of the legal moves in his ouster began with speculation that he also allegedly was linked to missing Bulog funds. He was later exonerated of any wrongdoing.

Parties back down from plan to investigate Akbar

Straits Times - November 29, 2001

Devi Asmarani, Jakarta -- Several of Indonesia's political parties appear to be backing down from a plan to investigate a financial scandal allegedly involving House Speaker Akbar Tandjung, following reports that several political parties might have also received funds from a state agency.

This latest development may spare Mr Akbar, who chairs the second-largest party in government, Golkar, from a potentially damaging parliamentary probe team, which has already succeeded in unseating former president Abdurrahman Wahid over the misuse of the State Logistics Agency (Bulog) funds.

Several parties, including President Megawati Sukarnoputri's Indonesian Democratic Party-Struggle (PDI-P), the United Development Party (PPP) and the Crescent Star Party (PBB), also misused Bulog funds to finance political campaigns, said Mr Agus Miftach, a former head of the General Election Committee, an independent institution.

A Golkar source also told The Straits Times that former president B.J. Habibie gave out money to 23 parties to block Ms Megawati's attempt to become president and to aid his re-election. In the end, Mr Habibie did not contest the 1999 presidential election after the national assembly rejected his accountability speech.

The source said: "The money could have come from anywhere, Bulog or some other state agency, but it didn't come from his own pocket." All the parties denied the allegations.

The latest scandal, under investigation by the Attorney-General's office, involves 40 billion rupiah (S$7.6 million) from Bulog's non-budgetary funds. Mr Akbar had claimed that the money was disbursed by the state secretary, under the order of Mr Habibie, to provide food for the poor in 1999. He added that the money was channelled to Raudatul Jannah, a Muslim foundation which reportedly bought food for poor villages.

But documents splashed in media reports here showed that the identification cards and signatures of Golkar executives Fahmi Idris and Muhammad Hidayat were used to cash Bulog cheques. The two Golkar men claimed that the signatures and ID cards were forged.

Despite incriminating testimonies against Mr Akbar, few parties in parliament are keen to pursue the case as they did with the last president, saying that the "irregularity" took place in the previous government. PPP deputy secretary-general Bachtiar Chamsyah told The Straits Times: "This case should be in the hands of the judicial process, not political."

While opinion is divided within the PDI-P, its executives have been distancing themselves from the case. "We will not prevent our members from voting for the setting up of the special team, but we are not taking the initiative," said a PDI-P executive.

Jakarta loses 40% of regional money to graft

Straits Times - November 28, 2001

Marianne Kearney, Jakarta -- As a parliamentary body yesterday reported that up to 40 per cent of funds meant for regional governments were lost to corruption, President Megawati Sukarnoputri expressed shock that some officials and legislators had refused to comply with an anti-corruption law.

The head of parliament's budget committee, Mr Benny Pasaribu, told legislators and Finance Minister Boediono that up to 40 per cent of funds targeted for welfare programmes had been misused.

In some cases, the money was used to buy luxury cars and houses for local legislators. In other cases, they were used for inappropriate projects such as upgrading government offices, he said, adding that the government should conduct an audit of the spending of such funds.

Under the government's decentralisation plan, the central government this year earmarked 60.15 trillion rupiah (S$11.4 billion) for infrastructure and community development in poorer provinces.

However, the head of a new government anti-corruption body questioned how parliament could curb corruption among regional governments when national legislators and even Cabinet ministers had failed to comply with an anti-corruption law.

Under the law, all government officials, ministers and legislators are obliged to declare all their assets and to be audited every year by the newly established State Officials Wealth Audit Commission.

"All of the parliamentarians have to set a good example. How can the government help fight KKN if 40 per cent of legislators have not yet followed the law," said Mr Jusuf Syakir of the commission, referring to corruption, collusion and nepotism.

To address the situation, he met Ms Megawati on Monday and asked the President to apply tougher sanctions against officials who refused to comply with the new law.

According to Mr Jusuf, only 60 per cent of national parliamentarians, and less than 30 per cent of regional parliamentarians, had completed the mandatory wealth audit report.

"The President was shocked when she heard the news," he said, adding that the Indonesian leader had agreed in principle to impose fines and jail sentences on those failing to comply with the audit body.

Mr Jusuf proposed fines ranging from 100 million to 500 million rupiah for legislators who refuse to be audited, and two-year jail sentences for anyone who lied about their financial assets.

"The parliament has to give the number one example in combating corruption," he said, noting at the same time that party faction leaders would duck the issue when confronted.

While applauding tougher sanctions for officials, Corruption Watch, a non-governmental organisation, said the government should empower the State Officials Wealth Audit Commission to properly investigate and prosecute corrupt offenders if it was serious about eradicating corruption among the country's officials and legislators.

Politicians not serious in handling Akbar scam

Jakarta Post - November 26, 2001

Bambang Nurbianto, Jakarta -- The House of Representatives is playing for time and lacks seriousness in its plan to investigate the alleged involvement of its speaker, Akbar Tandjung, in a Rp 40 billion (US$4 million) corruption case, analysts say.

They charge that the politicians are exploiting trivial procedural errors as a pretext for postponing a debate on the formation of a special investigating committee.

The schedule has already been put back from November 22 to this Wednesday on the grounds that not all House leaders had obtained copies of a petition by 50 legislators demanding the establishment of such a special committee.

"Everything [about Akbar's involvement] is crystal clear," said A.S. Hikam of the Indonesian Institute of Sciences (LIPI). "They were very eager to set up an investigating committee when Gus Dur [former president Abdurrahman Wahid] was allegedly involved in a similar case. There are inconsistencies here," said Hikam, who was minister of research and technology during Abdurrahman's 20- month administration until it fell in July 2001.

Abdurrahman was impeached by the People's Consultative Assembly for misusing Rp 35 billion obtained from the State Logistics Agency (Bulog).

Akbar has been questioned by the Attorney General's Office for allegedly siphoning off Rp 40 billion in non-budgetary funds from Bulog to his Golkar Party in 1999 when he was minister/state secretary under then president B.J. Habibie. Akbar has sworn that the Bulog funds were distributed in the form of staple foodstuffs to help the poor during the economic crisis in 1999.

Hikam is skeptical that the House will set up an investigating committee into the "Buloggate II" affair, as the scandal has already been dubbed. He said it was an intricate case that many politicians from different parties would want to see covered up in their own interests.

People in the political elite were protecting each other, he said at a seminar organized by the Indonesian Christian Participation (Parkindo) organization over the weekend.

Mulyana W. Kusuma, a member of the General Elections Commission (KPU), said that the way the House was handling Buloggate II had only reinforced his skepticism about the government's commitment to combating corruption. He pointed out that the government would face serious difficulties in trying to investigate cases of corruption, collusion and nepotism committed in the past as the old political players still had clout in the corridors of power.

Although the Attorney General's Office has interrogated many allegedly corrupt cronies of former president Soeharto, less than 10 percent of some 80 high-profile corruption cases have been taken to court, he said. Mulyana said the many laws, People's Consultative Assembly decrees and other regulations had yet to be enforced as part of the effort to punish corruptors.

"There is no correlation between the number of regulations and the effort to fight corruption. Whether the effort to fight corruption will succeed depends very much on the political will of the powerholders," he added.

Jimmy Palapa of the Jakarta-based Bung Karno University said that the creation of a Buloggate II House special committee would be a challenge for the Indonesian Democratic Party of Struggle (PDI Perjuangan), the largest faction in the House. The Akbar case would become a litmus test for the Megawati administration's seriousness in combating corruption, Jimmy said.

Regional/communal conflicts

Five killed in fresh Poso communal conflict

Jakarta Post - November 29, 2001

Badri Djawara, Poso -- At least five people were killed and five others were injured when two rival sectarian groups clashed in the Central Sulawesi riot-torn town of Poso late on Tuesday.

The clash between the Muslim Laskar Jihad (holy war fighters) and Christian fighters occurred in Tabalu, Betalemba and Patiunga villages in Poso Pesisir district, Poso Regency. The clash was apparently a continuation of a riot between the two rival groups in Betalemba village on Tuesday afternoon.

Sources at the Poso Police precinct said that two of the dead were identified as 29-year-old Abdullah and 14-year-old Masudin from Laskar Jihad and 26-year-old Saad from the same group, who suffered gunshot wounds. The sources said the other three dead and four wounded were from the Christian side. The sources, however, did not identify them.

At least 76 houses, one church and one elementary school building were burned during the clash in Betalemba village. In Patiunga village, ten houses were also burned in the riot.

The tragic clash prompted a wave of people to leave their home villages for safer areas. Some of them left for the provincial capital Palu and others to nearby villages.

Chief spokesman of the Central Sulawesi Police, Adj. Sr. Comr. Agus Sugianto said that the three villages had been plagued by renewed religious tension when 800 to 1,000 people crowded the villages on Tuesday afternoon.

Poso police, he said, had deployed dozens of officers from the police elite Mobile Brigade to the troubled villages. "By [Wednesday], the police had managed to control the situation," he said.

Agus said that they had not yet been able to arrest any member of the rival groups involved in the clash. "Besides we were outnumbered, the group members were very quick to flee into the jungle to avoid the police," he said.

He also said that chief of the provincial police Brig. Gen. Zainal Abidin was in Poso to monitor the situation.

Tension high after church bombed in eastern Indonesia

Reuters - November 27, 2001

Jakarta -- A church in the eastern Indonesian city of Poso has been bombed and burnt to the ground, a policeman said on Tuesday, and an aid worker said the area was gripped with renewed religious tension.

The policeman in the Sulawesi island town, where hundreds of people died two years ago in clashes between Christians and Muslims, said the church was attacked early on Monday but there were no casualties.

"Based on our findings, the church was bombed and caught on fire," he told Reuters by telephone from Poso, some 1,670 km east of Jakarta. "But there were no clashes and the church was empty when the attack happened," the policeman said.

The bombing came amid renewed tension between Christians and Muslims in Poso following the arrival of Muslim paramilitaries called Laskar Jihad, said an aid worker who just returned from Poso to Jakarta.

He told Reuters that while the authorities subsequently imposed tighter security, the situation remained uneasy.

The same group has fought Christians in the Moluccas, not far from Poso, during three years of religious bloodshed which has claimed thousands of lives and forced tens of thousands to flee to neighbouring parts of Indonesia.

Communal conflict has plagued parts of Indonesia's outlying regions since the downfall of autocratic President Suharto in 1998. Earlier this year, hundreds of people, mostly settlers from Madura island, died in a fierce ethnic battle between the indigenous Dayaks and the Madurese in the vast island of Borneo.

Human rights/law

Bagir delays ad hoc tribunal against rights violators

Jakarta Post - December 1, 2001

Tiarma Siboro, Jakarta -- Despite pressure to bring to justice high-ranking officials suspected of involvement in a number of human rights violation cases, Chief Justice Bagir Manan said on Friday that the ad hoc human rights tribunal would be delayed until early next year due to the long holidays.

"It is something that we had failed to foresee, that there would be such a long holiday in December -- Idul Fitri, Christmas, and the New Year. "Many people, including court officials, will be on leave during the holiday season, so we decided to start the trial next year," Bagir told reporters at his office.

When asked whether the long-awaited ad hoc tribunal would start in January 2002, Bagir said: "God willing, we hope to try these cases as soon as possible."

Justice Benyamin Mangkoedilaga, head of the team in charge of screening the judges for both the ad hoc and permanent tribunals, had previously given assurances that the ad hoc tribunal would start sitting in December after being delayed several times.

The ad hoc tribunal is being set up to try people suspected of being involved in human rights violations in the 1984 bloodshed at Tanjung Priok, North Jakarta, and the 1999 post-ballot violence in East Timor. The permanent tribunal is set to try rights abuses committed after November 2000.

To ensure impartiality, the Supreme Court has said there would be no police or military officers appointed as judges.

The Attorney General's Office has thus far declared three high- ranking military officers as suspects in the East Timor mayhem. They are former Udayana Military Commander Maj. Gen. Adam Damiri and former Wiradharma Military Resort commanders Brig. Gen. Tono Suratman and Brig. Gen. A. Nur Muis.

Meanwhile, the senior Army officers who have reportedly been named as suspects in the Tanjung Priok incident are former Armed Forces chief Gen. (ret) Benny Moerdani and former vice president Try Sutrisno.

Bagir further said he had handed over 30 names to be appointed as ad hoc judges to President Megawati Soekarnoputri for approval. "Soon after the President issues the decree appointing these 30 as ad hoc judges, we can proceed with the trials," Bagir said.

Judiciary's next step an acid test of its credibility

Straits Times - November 30, 2001

Robert Go, jakarta -- The arrest of Hutomo "Tommy" Mandala Putra on Wednesday capped a year-long manhunt by the police, but now the government faces its real test -- putting former president Suharto's youngest son behind bars.

Prosecutors have four separate chances to do this after Coordinating Politics and Security Minister Susilo Bambang Yudhoyono's announcement yesterday that Tommy faced charges of murder, weapons-possession, bombing and fleeing from the law.

Indeed, senior government officials were quick to hail the arrest as proof of how far Indonesia's efforts to combat corruption and reform its legal system have progressed.

But analysts said yesterday that far from going to jail, they doubted if Tommy would even face trial. National legislator Alvin Lie, also a ranking member of the National Mandate Party, said: "I'm afraid the arrest is his window for re-entry into the society as a legitimate free person."

Prominent Jakarta lawyer Frans Winarta, a long-time advocate of investigations into the Suharto family, said: "What we want to see is how much further Tommy can be prosecuted for other crimes. Without that, there is little hope for Indonesia's justice system." He added that based on Indonesia's track record, there were few reasons to believe that the authorities would actually move to prosecute Tommy.

Mr Suharto himself faced corruption charges but was declared too sick to stand trial by a team of doctors and judges. Tommy's original graft conviction and 18-month jail sentence were also overturned by the Supreme Court two months ago.

Mr Ibrahim Assegaf, editor of legal portal Hukumonline.com, criticised police for behaving unprofessionally, pointing out that top police officials were friendly towards Tommy moments after his house in South Jakarta was raided. Indonesian television on Wednesday night showed Jakarta police chief Inspector-General Sofyan Yakob embracing the prisoner, both of them smiling and laughing. "They are treating Tommy as if he is not a fugitive from the law," said Mr Ibrahim.

Analysts were also quick to dispel senior officials' claims that Tommy's capture should be viewed as a sign that Indonesia's judicial reform process was progressing well.

Mr Soedjati Djiwandono, an analyst at the Research Institute for Democracy and Peace, said: "We should not expect too much out of this. Supremacy of law is still a long way off for Indonesia." He added that a cornerstone of the government's judicial reform programme had to include prosecuting members of the Suharto family and other well-known members of the Indonesian elite for alleged corruption during Suharto's 30-year rule.

So far, only a grand-daughter-in-law of Suharto has been jailed for a drugs conviction. The rest of the family still lives in the exclusive Cendana complex in the heart of Jakarta.

Doubts hang over Tommy arrest

South China Morning Post - November 30, 2001

Chris McCall, Jakarta -- The fugitive son of former dictator Suharto was officially put behind bars yesterday after a night of questioning. But outside his cell, the questions about his arrest had just started.

For Tito Karvian, leader of the team that caught him on Wednesday, the capture of Hutomo "Tommy" Mandala Putra was a sign of the greatness of God. He and 24 other officers received swift promotions, while police got on with questioning those who had rented the Jakarta house where he was seized. But for all the self-congratulation, the police were under the spotlight as well.

For many Indonesians, Hutomo's sudden arrest after a year on the run was just too good to be true. Many suspect it was really just part of an elaborate back-room deal to get him off. "This has become a political commodity for political interests," said Eddy Sumarsono, head of the anti-corruption Indonesian Reform Advocacy Institute.

Hutomo looked anything but scared when put before a police press conference on Wednesday night. "He came in like a celebrity," Mr Sumarsono said.

More suspicious was the way Hutomo was caught. A son of a general, with ample military contacts of his own, Hutomo knew a thing or two about military strategy, Mr Sumarsono surmised. Normally he would have been guarded by dozens, if not hundreds, of bodyguards. They would operate in a paramilitary fashion and include five or six separate layers of security.

That the police should suddenly break through all of this protection and find Hutomo alone and unguarded was distinctly odd, he said. Furthermore, his arrest coincides with the appointment of a new national police chief, Da'i Bachtiar, to replace Suroyo Bimantoro. The appointment of Mr Bachtiar as police chief had been scheduled for yesterday. "It is difficult for us to take that as a coincidence," Mr Sumarsono added.

From the point of view of the youngest son of former president Suharto, his position could hardly be more delicate. Apart from the quashed 18-month jail sentence for corruption, which initially prompted his flight a year ago and which prosecutors are trying to get reinstated, Hutomo is now a suspect in a major murder investigation - the July shooting of Supreme Court judge Syafiuddin Kartasasmita, one of the panel of judges that originally sent him to jail. He is also a suspect for illegal firearms possession and has been linked to a series of bombings around Jakarta.

Yet prominent lawyer Hendardi, who chairs the Indonesian Legal Aid Association, said the police investigation had been inadequate. The mere fact of going on the run after a jail sentence had been imposed was itself a crime, Mr Hendardi said, but police had not yet drawn up any case related to that. "It is clear that the investigation this far has not been transparent enough," he added.

Piles of criminal cases await Tommy

Jakarta Post - November 29, 2001

Kurniawan Hari, Jakarta -- How the authorities deal with the subsequent legal processing of captured Hutomo "Tommy" Mandala Putra will, of course, depend on the ability of the National Police to obtain evidence of some of his crimes.

Two legal practitioners, Todung Mulya Lubis and Bambang Widjojanto, see no reason for Tommy to be freed, despite the recent Supreme Court review verdict that exonerated him of corruption, as there are other criminal cases linked to him.

They said Tommy's move to defy the 18-month jail sentence was contempt of court, and therefore, the police should use this as the first charge on which to hold the outlaw. "Tommy's move to defy imprisonment and go on the run should not be ignored without further penalty," Todung, director of the Jakarta Lawyers Club, told The Jakarta Post on Wednesday evening.

Tommy has been on the run since November 3, 2000 after he escaped serving 18 months' imprisonment for corruption.

Todung emphasized that the police should also find evidence of Tommy's alleged involvement in a number of criminal cases, including the murder of Justice Syafiuddin Kartasasmita and illegal ownership of firearms. Syafiuddin was the judge who sent him to jail.

The police also accused Tommy of having a role in a spate of bombings after they mounted raids in July on two Jakarta residences allegedly used by him. Police said they found weapons and explosives caches there.

According to Todung, Tommy could no longer be prosecuted for corruption in the land swap case involving his company Goro Batara Sakti and the State Logistics Agency because the Supreme Court had exonerated him on Oct. 1, regardless of whether it was controversial or not.

Meanwhile, Bambang Widjojanto from the Indonesian Legal Aid Foundation (YLBHI), warned that the National Police should not allow Tommy any special privileges, otherwise the long-time fugitive might have an opportunity to escape again.

Bambang also called on the National Police to disclose the network that had protected the youngest son of former president Soeharto.

He speculated that the arrest of Tommy might possibly have been prompted by the disappointment of the police over a deal with the fugitive. "Consequently, the police should also investigate anyone involved in any [possible] deal," Bambang said.

Fugitive showed up law as an ass

South China Morning Post - November 29, 2001

Chris McCall, Jakarta -- Hutomo "Tommy" Mandala Putra's ability until yesterday to evade the clutches of the law was as sure a sign as any that Indonesia had failed to put behind it the dark days of legal impunity for the rich and powerful.

And the Supreme Court's decision in October to overturn a corruption conviction against him, for many commentators, also ridiculed claimed attempts at judicial reform.

But a year after Hutomo went on the run, Indonesia's most wanted man was finally taken in by police in Jakarta.

City police chief Inspector General Sofyan Jacoeb hailed the arrest as the result of months of painstaking work. He ordered promotions for 25 officers involved. Police rejected claims from sceptics that it was an elaborate fix to save the playboy son of former president Suharto.

Hutomo, 39, jailed for 18 months last year over a land-swap scandal, is now also a suspect in a major murder investigation.

Police seized him in a late-afternoon raid on a house in the south of the city. Inspector Sofyan told a rowdy news briefing a few hours later that Hutomo was sleeping at the time on the first floor. He made no attempt to resist arrest, Inspector Sofyan said, and acted like a gentleman as officers took him in.

Looking pale and worn out, Hutomo sat in a T-shirt at his side and made no comment. Inspector Sofyan said Hutomo had handed the matter to his lawyer, Elza Syarief, and would clarify his situation at an appropriate time.

Police said the arrest came after two months of surveillance based on information from figures linked to Hutomo, plus phone taps and 10 days of monitoring the house. His legal status was a "suspect" and he was detained for the night by police.

The arrest brings to an end the nationwide manhunt. The feared favourite son of Indonesia's toppled strongman was turned into a political football by his flight, with two presidents urging police to pull out all stops to arrest him. A series of government officials hailed the arrest yesterday.

It started with a Supreme Court decision last year to sentence Hutomo to 18 months in jail over the land-swap scandal involving his firm, PT Goro Batara Sakti, and the state logistics agency Bulog. A cell was prepared for him in Jakarta's Cipinang jail and his partner, Ricardo Gelael, dutifully went to prison. But Hutomo had other ideas.

After a game of cat and mouse over his fate with former president Abdurrahman Wahid, Hutomo disappeared last November when Mr Wahid refused to issue a pardon.

Earlier this year, police posted wanted portraits of Hutomo as a bearded "Ibrahim" around Jakarta, after discovering documents they said showed Hutomo had tried to obtain false identity papers in that name. Two female associates were arrested and Hutomo was linked to a spate of bombings and the July gunning down of Supreme Court judge Syafiuddin Kartasasmita, one of a panel of judges that convicted him over the land-swap scandal.

Ironically, that conviction has since been controversially quashed. A few weeks ago the same Supreme Court that sent him to jail quashed the conviction through a judicial review.

But police yesterday said Hutomo was still considered a suspect in the judge's killing and firearms offences. Two men who have admitted carrying out the killing have said they did it on orders from Hutomo.

Antasari Azhar, the prosecutor who led the original case against Hutomo, last night said officials were still trying to have the quashing of the conviction overturned, on the basis that it was legally unsound.

Climate of impunity for torture in Indonesia: UN rights panel

Agence France Presse - November 23, 2001

Geneva -- The United Nations Committee against Torture said on Friday that it was concerned about a "climate of impunity" for torture committed by security forces in Indonesia.

In a summary of the Committee's findings following a review of Indonesia, the UN said it was also concerned about allegations of torture by paramilitary groups which were "supported by the military and sometimes reportedly were joined by military personnel".

The Committee also pin-pointed reports that abuses were sometimes committed by military personnel employed by foreign companies either for security or "to avoid labour disputes", but gave no details.

Its concerns focused on areas of conflict, such as Aceh, Irian Jaya, and the Moluccas. The Committee's 10 independent experts called on Indonesia to carry out prompt investigations into allegations of ill-treatment by police and other officials and to establish an "effective, reliable, independent" complaints system. It also urged the government to strengthen the independence of the National Commission on Human Rights and to ensure its effectiveness.

During its examination over the past week, the Indonesian government had said it was trying to train security forces to observe human rights. The Committee welcomed government attempts to reform the legal system and to set up Human Rights Courts, as well as recognition that torture was linked to overcoming a culture of violence in Indonesian society. The conclusions follow a review of Indonesia's record in applying the UN Convention Against Torture.

PRD activist denies anti-government charges

Jakarta Post - November 21, 2001

Ainur R. Sophiaan, Surabaya -- The chairman of the East Java chapter of the People's Democratic Party (PRD), Eusebius Purwadi, denied charges that he had circulated antigovernment pamphlets and incited local people to reject President Megawati Soekarnoputri's government.

Eusebius, 26, and four legislators from the Surabaya chapter of the National Awakening Party (PKB) are facing a maximum sentence of 10 and half years jail if convicted of defamation charges.

"The prosecutor's charges are really a slander to attempt to cover the government's weaknesses," Eusebius, 26, told a panel of judges at the Surabaya District Court on Monday afternoon.

Also attending the second court session, presided over by Harwoko, were 150 supporters of PRD. Purwadi, represented by lawyer Judhi Burhan, handed roses to the judges and the prosecutor.

The five were arrested by Surabaya police last August for allegedly circulating pamphlets rejecting the June Special Session of the People's Consultative Assembly, demanding the dissolution of the Golkar Party and calling on local people to oppose Megawati's government.

In the previous court session government prosecutor Wem said Purwadi had incited local people to reject Megawati's government by spreading resentment of her rule among the people.

Judhi told the judges that the prosecutor's charges were unclear and groundless. He questioned the prosecutor's motives behind the charges because the way he was charging his client was similar to the way the former New Order regime had treated activists. "Therefore, judges should turn down the prosecutor's charges," he said. The court session was adjourned until next Monday.

News & issues

Domestics a necessity for many Jakartans

Jakarta Post - November 26, 2001

Annastashya Emmanuelle, Jakarta -- To some, the thought of everyday life without the assistance of domestic helpers is unbearable. The fact that human labor is inexpensive, and, at times, taken for granted, means that the services of domestic helpers are accessible to most households in the city. It also enables the latter to live increasingly self-indulgent lifestyles.

As Idul Fitri approaches, the time when maids usually take a few weeks off to celebrate the religious holiday with their families in the villages, housewives begin to panic about how they will cope with having to deal with the laundry and dirty dishes.

For those who are obliged to entertain Lebaran guests at home, it can become even more horrifying. "I tried to persuade my maids by offering a bonus to the one who was willing to stay on at Lebaran. But they all insisted on going home," Minarti Saragih said in dismay. Her husband's colleagues and her children's friends usually pay her a visit on Lebaran, apart from her own relatives.

"All those dirty dishes and the housework ... I can just picture it all right now," she moaned, while adding that she had applied to take two weeks off from her office job in order to deal with her domestic situation.

Another housewife, Lydia Maria Sari, who resides in Bintaro, South Jakarta, said that during this time each year she became distressed, as her maid and baby-sitter would start asking for permission to return to their hometowns.

But this year, she was able to get help from the agency that had supplied her regular maid. The agency, acutely aware of the business opportunity, started a Lebaran maid-hiring scheme, under which temporary maids would receive a daily wage. "I find this very helpful. It will be difficult for me to handle everything on my own as I also have a small child," she told The Jakarta Post, adding that she was not too concerned about the trustworthiness of the temporary help as the agency provided a guarantee. "Just to be safe, whenever I plan to go out I will take her with me," she said.

At the Dwi Asih maid agency in Jl. Mampang Prapatan, South Jakarta, Iis, the agency's manager, said that many people had been calling to book domestic help since the beginning of Ramadhan. She is positive that her agency will place about 70 people this year, an increase from the 60 it assigned when it started the program last year. "We will remain open for the whole holiday season in anticipation of the demand," Iis said. So far, Dwi Asih has 10 confirmed requests, for maids to commence work on December 5.

At the Kasih Ibu agency, one maid who is on standby for Lebaran, Ida, said that she chose to work during the holiday mainly for financial reasons. "I can make one month's wages for working about two weeks during Lebaran," Ida said. Her agency charges Rp 25,000 to Rp 30,000 per day, in addition to the administration fee of Rp 250,000, to clients who wish to use its services. Usually, the recruitment fee is Rp 200,000.

'Gangsters' from Suharto era eclipsed by new-age thugs

Straits Times - November 26, 2001

Marianne Kearney, Jakarta -- Once the Permuda Pancasila comprised the strong arm of the ruling Golkar party. Its members ran everything from karaoke clubs to gambling and prostitution rackets. They inspired fear and loathing across the archipelago ruling not just the back alleys of Jakarta, but also ensuring that none of the government's opponents got out of line.

But now, these Suharto-era gangsters are being challenged on all fronts, even muscled out of their lucrative thugs-for-hire business by younger, more politically opportunistic groups such as the Islamic Defenders Front.

Their control of most of the illegal businesses in the old part of Jakarta and across Java -- prostitution, gambling and drug dealing -- is also slipping, said analyst and historian Dr George Aditjondro. "In the past you had monolithic political thuggery, but now it has branched out into secular groups such as the PDI- P's Satgas and into Muslim groups such as the Islamic Defenders Front," he said.

Dr Aditjondro was referring to the Indonesian Democratic Party- Struggle and other parties' civilian security force, or Satgas. "What has happened in Solo and Jakarta is that many have changed shirts and joined the Islamic Youth Movement or the Islamic Defenders Front," he said, referring to Islamic youth movements which are strong in Solo, central Java and Jakarta.

At their recent general meeting, held once every five years, hundreds of Pemuda Pancasila members kitted out in orange-and- black camouflage uniforms, some armed with knives, met to discuss the future of their 42-year-old organisation.

Many still believe it is an essential part of Indonesia's nationalist struggle. "We're trying to build up our organisation into a modern, professional organisation that is doing good, such as social-welfare projects," said chairman Yorrys Raweyei.

The group's energetic Riau commander, Mr Nasaruddin, added: "Before, Pemuda Pancasila had the stigma of being dirty and negative, but it's different now. Just as they have environmental associations in Europe, in Indonesia we have Pemuda Pancasila. We are like the Greenpeace of Indonesia."

While Pemuda Pancasila members do not admit their old turf has been taken over, they do admit to needing a new strategy -- and more money. In resource-rich Riau, the organisation is fulfilling its social mission and no doubt making money by providing protection for multi-national corporations and local businesses, said Mr Nasaruddin.

It also offers assurances to foreigners that they are safe from search-and-expel operations by Muslim groups opposed to American companies, he said. In West Papua, Permuda Pancasila has adapted itself to the local situation, providing some of the muscle for the pro-independence guard, Satgas Papua. In Kalimantan, members claim they are involved in building mosques and schools.

Local journalists say they are also involved in timber smuggling and mining, as well as the protection of local and regional governments.

One of Pemuda Pancasila's most notorious feats was the 1996 attack on then opposition leader Ms Megawati Sukarnoputri's Indonesian Democratic Party-Struggle (PDI-P) headquarters in which several people died. In 1999, the group is said to have masterminded the killing of more than 100 black-arts practitioners in East Java in a bid to destabilise Indonesia, according to analysts.

Environment

Minister promises clampdown on illegal logging

Agence France Presse - November 27, 2001

Jakarta -- Indonesia's forestry minister Tuesday promised a clampdown on illegal logging, which he called a "crime organized by many parties."

Muhammad Prakosa said World Bank reports indicated that forests on Sumatra island will vanish in 2005 if the government ignores or fails to slow down "the intensity of illegal logging." The minister also warned that tropical forests on Borneo island would disappear by 2010.

Prakosa, speaking at a press briefing after a ministerial meeting on security and forestry issues, said the government "pays very serious attention" to illegal logging. He cited recent police success in stopping eight ships -- three of which were China- based -- from smuggling stolen timber out of Jakarta's Tanjung Priok port.

Local officials have said that Indonesia's myriad economic problems, the lack of efficient security forces to impose order and the strong international demand for tropical hardwood mean combatting illegal logging is an uphill struggle.

Indonesia, home to some 10 percent of the world's remaining tropical forest cover, saw years of "rapacious deforestation" under former dictator Suharto, according to a report released earlier this year by the London-based Environmental Investigation Agency.

The World Bank has said Indonesian forests were reduced by an annual average of some 1.5 million hectares between 1985 and 1997. By December 1999, Indonesia had only some 20 million hectares of forests left.

The use of fire to clear Indonesian woodland for plantations has in addition contributed to a choking haze that has blanketed parts of Southeast Asia annually in recent years.

Religion/Islam

Little room for extremism in Indonesian Islam

Reuters - November 25, 2001

Dean Yates, Jakarta -- Indonesia's tolerant brand of Islam has passed the test of US attacks on Afghanistan largely intact despite images of burning American flags, proving the nation will not become a breeding ground for Muslim extremism.

Analysts said radical groups failed to generate support among mainstream Muslims for their small but vocal street protests -- which fizzled even before Washington scaled back its air strikes -- because Indonesians had little stomach for politicised Islam.

Since the Muslim fasting month of Ramadan began one week ago there has barely been a peep from the radicals. The chance they could achieve their aim of making Indonesia an Islamic state in the next few decades was almost nil, while a decades-old aim of imposing Islamic sharia law across the world's fourth most populous nation was just as unlikely, analysts said.

Radical Muslims also posed little threat to President Megawati Sukarnoputri because most Indonesians were sick of instability and did not object to being ruled by a woman.

"By and large I think Indonesia's Muslims as a whole have passed the test," Azyumardi Azra, rector of the State Institute for Islamic Studies in Jakarta, Indonesia's most prestigious religious learning institution, told Reuters.

Analysts said while tests of tolerance would recur and Muslim radicals would again exploit weak law enforcement, they pointed out that small hardline groups were hardly a new phenomenon in Indonesia, popping up then fading from view.

Talk Indonesia could become a base for pan-Islamic extremists was "a gross misinterpretation of Indonesian Islam", Azra said. Reports the al Qaeda network of Saudi-born militant Osama bin Laden had trained up to 3,000 multinational fighters in Indonesia also strained credibility, analysts said. Washington has blamed bin Laden for the September 11 attacks on the United States.

Asked if the world's most populous Muslim country could become an Islamic state in the decades to come, Harold Crouch of the Brussels-based International Crisis Group (ICG) and an Indonesian expert said: "It's not worth thinking about."

Islamic smiling face to remain

The noisy protests and hollow threats against foreigners did put Megawati in a bind, but she eventually criticised US action mainly in response to general Indonesian opposition to the raids.

There are many reasons why Indonesian Islam should retain its so-called smiling face. Islam was not imposed here by force but melded with local customs during centuries of contact with Arab traders -- especially on the main island of Java -- thus depriving radicals of a cultural base to exploit for hardline political purposes.

Since independence, issues such as an Islamic identity have never really held centre stage in national policymaking.

Despite their penchant for opportunism since the downfall of autocratic President Suharto in 1998, politicians in Jakarta have not exploited bloody conflicts such as those in the Moluccas islands that are now split along Muslim, Christian lines.

Indonesia's turmoil of the last four years has also created a large pool of disaffected youth, but only small radical groups have emerged and those have failed to attract a mass following.

About the only impact Islam has had on national policy in recent years has been on issues such as prostitution and whether bars can serve beer during Ramadan -- hardly major issues.

And an Islamic revival that gathered pace throughout Indonesia in the 1990s has manifested itself mainly through lifestyle changes such as greater attendance at the mosque.

The evidence? The three main exclusive Islamic parties won only 14 percent of the total vote in the 1999 general election from the last democratic poll in 1955 when the top Muslim party won 21 percent. Few expect much change at the next poll in 2004.

Acceptance of non-Muslims

Yet some foreign commentators had talked about the "Talibanisation of Indonesian Islam", Azra said.

Analysts blamed such fears on recent TV images of radicals on the streets. However, Jakarta also waffled over its response to the US raids while some moderate Muslim leaders stayed mum, perhaps because they were afraid of being branded unIslamic.

While most Indonesians were against the bombing, the crux is the vast majority do not want the nation run along Islamic lines. "... I think there is really a conscious and sub-conscious commitment to the unity of Indonesia and there is a fundamental acceptance by Muslims of non-Muslims here," said German-born Catholic priest Franz Magnis-Suseno, a philosopher who first visited Indonesia 40 years ago and became a citizen in 1977.

Radical Indonesian Islam is mainly fed by local issues. Even the head of the Islamic Defenders Front (FPI), which spearheaded the recent anti-American protests, said their overall campaign was to mainly purify the way of life in Indonesia.

He said the group wanted Indonesia to cut ties with Washington over its alleged interference in the country but added this demand existed before the Afghanistan attacks began. "Our disappointment with America has already been significant and existed for a long time," FPI leader Muhammad Rezieq said.

Analysts added the Moluccas conflict had to be viewed more as a product of local political and economic injustice than a war of religion, although it had since become drawn along those lines.

Crouch added there was no chance Muslim paramilitaries called Laskar Jihad, who have sent fighters to the Moluccas, could expand their influence to Java for example. "I remember writing to people in Brussels [the ICG] and said 'look if Laskar Jihad went into Java villages doing what they are doing in the Moluccas they would get chased out'," he said.

To Magnis-Suseno, Indonesia's religious inclusiveness was on display last week at the opening of an Islamic cultural centre. A Muslim intellectual at the Jakarta event who was asked impromptu to open the venue declined. So organisers representing 200 devout Muslims asked Magnis-Suseno to do the honours. "Where would this happen that a Catholic priest would open an Islamic culture centre and with great approval?" he said.

Armed Forces/Police

Indonesia's new police chief a controversial figure

Straits Times - November 27, 2001

Devi Asmarani, Jakarta -- Controversial police figure Commissioner General Da'i Bachtiar is set to become Indonesia's new police chief with the backing of President Megawati Sukarnoputri and the majority of Parliament, despite criticism over his past track record.

Following a hearing during which the general, currently chief of the National Coordinating Body for Narcotics, presented his "vision and mission" to the parliamentarian commission, it was announced that all factions of the government had given their stamp of approval to the sole candidate. He will be officiated in a plenary session of Parliament on Thursday.

Ms Megawati's Indonesian Democratic Party-Struggle, Golkar and the United Development Party are the three largest political parties that have supported him.

At the hearing, the general vowed to unify the splintered police force and to cleanse the corps of cut-throat rivalry among top- ranking officers.

Indeed, it is his "neutral" quality that had led the President to favour him over other candidates with more accomplishments, such as Jakarta Police chief Inspector-General Sofyan Yakob and East Java police chief Inspector-General Sutanto.

In the tense weeks preceding President Abdurrahman Wahid's removal last August, the general did not take sides even as tensions ran high within the police leadership. Many top officers had then defied the President's dismissal of their chief General Suroyo Bimantoro while some officers supported his presidency.

However, a source told The Straits Times that there were reservations within the police force over Gen Da'i's appointment. The country's fourth largest party, Mr Abdurrahman's Nation's Awakening Party, also opposed his nomination, questioning his records in the human rights department.

Gen Da'i was sacked as East Java police chief early this year after five of Mr Abdurrahman's supporters died in a clash with police troops. Human-rights groups have also alleged that he tried in 1998 to cover up the kidnap of student activists by members of the Army's Special Force (Kopassus), despite later testimonies by the victims.

Dozens of protesters grouped under the Commission for Missing People and Victims of Violence and the Victims of 1998 kidnappings yesterday rallied in the Parliament Building, calling on the legislators to reject Gen Da'i's nomination.

Mr Andi Arif, one of the kidnapped activists who participated in the rally, said: "We think that Megawati's government is accommodating those who perpetrated rights abuse in the past."

Other chiefs who caused a stir:

• Gen Dibyo Widodo: His biggest "sin" has been denying the role of the Army's Special Force (Kopassus) members in the kidnapping of activists in 1998 despite testimonies by the victims. Testimonies by other police officers revealed that he had full knowledge of the kidnapping when he ordered the Jakarta Police to accept three of the activists dropped off by the kidnappers.
• Lt-Gen Rusdiharjo: Appointed by President Abdurrahman Wahid in January 2000 but sacked eight months later. His hasty replacement by Gen Suroyo Bimantoro triggered tension with Parliament, as the law required the president to consult Parliament before appointing or firing a police chief.
• Gen Suroyo Bimantoro: History repeated itself again, when Mr Abdurrahman sacked Gen Bimantoro without first consulting Parliament. He was suspended in June after he refused to resign. But he showed up at work as he had the support of officers.

Jakarta to deploy more troops in troubled areas

Straits Times - November 27, 2001

Marianne Kearney, Jakarta -- In a bid to prevent separatist and ethnic conflicts from fragmenting Indonesia, the government plans to rotate up to 50 battalions through the restive provinces of Aceh and Irian Jaya and hotspots in Maluku, Sulawesi and West Kalimantan, security chief Susilo Bambang Yudhoyono said.

Military spokesman Rear Air Marshal Graito Usodo said yesterday the military and police had been asked to prepare 50 battalions, or approximately 32,500 men, for deployment.

"They will be sent to face rising problems in the field, especially those linked to national disintegration," he said.

While most of the troops would be deployed from the main island of Java, many would also be moved from adjacent provinces. Marshal Graito said the total figure would also include replacement of troops already serving in the hotspots.

Mr Susilo, Coordinating Minister for Political and Security Affairs, on Sunday told Media Indonesia that the new move was to assist in resolving conflicts particularly in those areas where separatist conflicts were being fought.

"This is solely to accelerate the process of a peaceful settlement to the conflicts, especially in Aceh and Irian Jaya," he said.

The move to reduce the concentration of troops in Jakarta and Java also suggests the government expects less outbreaks of violence following the peaceful presidential changeover in July, and the winding down of anti-American demonstrations.

However, political analysts have warned that the troop deployment could increase conflicts, particularly in both Aceh and Irian Jaya, where support for independence is high.

Commentators also expressed concern that troops would be ineffective or commit abuses if they were not trained for such conflicts or paid properly. One analyst said the military reports that it gives 20,000 rupiah (S$3.6) per soldier per day for daily living, but in the field troops report they only get 7,500 rupiah. So they sell ganja in Aceh, for instance, the analyst added.

Other analysts pointed out that troop deployments are already high in some hotspots. For example Aceh, where more than 1,600 people were killed this year, already totals 30,000 police and military troops. Another analyst said only army troops and not police should be sent to Aceh, where they were fighting armed rebels.

Police, he said, could be better deployed to prevent violence from erupting in areas such as Sambas, West Kalimantan, where residents were not already fighting a guerilla war.

While the government stressed it would continue to pursue political negotiations to resolve conflicts in Aceh and Irian Jaya, analysts fear that President Megawati Sukarnoputri, who has vowed to prevent the disintegration of Indonesia, will now focus on military force rather than negotiation.

"A peaceful process to solve the conflict must be in our mind together, we are ready for dialogue ... but it must be within the framework of unity of the nation," said Mr Susilo, who said Jakarta was still willing to talk to Aceh's rebel movement.

Suggested political and military analyst Ikra Nusabakti: "Rather than spend a lot of money and effort on sending thousands of troops, it is better to implement development policy. If we can't win on the battlefield it is better to win the hearts of the people," he said.

International solidarity

Australia must act for West Papua

Green Left Weekly - November 21, 2001

Pip Hinman, Sydney -- The November 10 assassination in Jayapura of West Papuan leader Theys Eluay drew condemnation from a wide range of public figures at a press conference in the NSW Parliament House here on November 15.

Otto Ondawame, a member of the Papua Presidium Council, said that the death of Theys Eluay heightened the need for a peaceful resolution of the West Papuan people's desire for self- determination. He said some 60,000 people marched through Jayapura the day after the well-known leader was found tied up in his car halfway down a ravine.

Ondawame called on the Australian government to sponsor talks between the Indonesian government and West Papuan independence leaders.

"There should also be an open and transparent investigation into the death of Theys Eluay", he said.

John Barr, the Uniting Church area secretary for Indonesia and East Timor, who has recently returned from West Papua, said that there was a fear throughout the community that "an East Timor may happen again in West Papua, and worse".

"There's a culture of militarism which has to be addressed", he said.

David Raper, NSW president of Amnesty International echoed calls for Eluay's killers to be brought to justice, as did Bruce Childs, formerly an ALP senator, while construction union leader Peter McClelland committed his support for an education campaign about West Papua.

Sister Margaret Jennings from the Australia West Papua Association spoke of a recently leaked document from the Indonesian military which described the overt and covert program to undermine the West Papuan people's struggle for independence.

Andrew McNaughton from the Australia East Timor Association warned of a "repeat of East Timor", saying the same Indonesian commanders overseeing the military campaign in East Timor were now in charge in West Papua.

Max Lane, chairperson of Action in Solidarity with Asia and the Pacific, and initiator of the meeting, said that Australian government silence on this assassination and the widespread repression being carried out by the Indonesian armed forces will inevitably lead to the break-up of Indonesia -- the very thing the government says it does not support.

"It is already obvious that a majority of the population of West Papua want independence, or at least an act of self- determination. The demonstrations in the last few days also indicate that there's a clear wish for an end to political violence."

Lane called on the Australian government to learn from East Timor and change its policy on West Papua. "If not, the Australian people will force this change, as we did over East Timor."

International relations

Military ties may resume at end of Indonesian visit

Australian Associated Press - November 29, 2001

Rob Taylor, Canberra -- Australia and Indonesia are set to resume military ties frozen in the diplomatic fallout from East Timor, following a two-day visit by Indonesian Foreign Minister Hassan Wirayuda.

But a half-hour meeting between Prime Minister John Howard and Dr Wirayuda in Sydney today resulted in no announcement on whether Mr Howard would meet with Indonesian President Megawati Sukarnoputri in Jakarta next year.

Dr Wirayuda, the first senior Indonesian MP to visit Australia since President Megawati's appointment, said the neighbours could soon resume what he called soft military contacts. But there would be no early return to the pre-East Timor era exercises involving Australian troops and Indonesia's elite Kopassus special forces battalion, he said.

He said the 1999 East Timor crisis and a subsequent militia rampage through the newly-independent territory had abruptly terminated a security treaty between the two nations.

But Jakarta was now seeking a period of stability in relations, including a gradual restoration of military links. "I think we can start on soft projects, exchange of officers, training and also perhaps exchange of visits," Dr Wirayuda said. "But not hard ... joint military exercises at this stage."

He said his visit, aimed at repairing relations battered by East Timor and a pre-election stand-off over asylum seekers on the MS Tampa, had already borne fruit. "This present visit to Australia has been extremely useful in instilling a new sense of urgency to nurture and to build on Indonesia-Australia bilateral ties," he said.

He also believed talk of a rift had been overblown. "Fortunately, they are more perceptions than reality," he said.

Dr Wirayuda held talks with Mr Howard this afternoon, canvassing in part a meeting between Mr Howard and President Megawati in Jakarta next year.

A spokeswoman for Mr Howard described the talks as friendly, with people smuggling and the US-led war on terrorism a focus.

But there was no announcement on whether Mr Howard would meet with President Megawati, after she refused his phone calls during the Tampa episode, bringing relations to a new low.

Dr Wirayuda yesterday secured Australia's agreement to co-host with Indonesia a regional summit on people smuggling after Canberra dropped its push for a bilateral approach to the problem.

Labor foreign spokesman Kevin Rudd, who met with Dr Wirayuda earlier, said the government had finally begun to restore a bilateral relationship ignored since the coalition's 1996 election. "But one single swallow doth not a summer make when it comes to a ministerial visit in the reverse direction," he told AAP.

Foreign Minister Alexander Downer said Australia wanted to rebuild defence ties with Indonesia. But there would be no return to the strong military links of the previous Labor government.

"We are not going to go back to the type of relationship that existed under the Keating government where the Australian Defence Force was required to train ... the Indonesian special forces and have that intimate relationship with the Indonesian military," he said.

Jakarta signals renewed military ties to Canberra

South China Morning Post - November 30, 2001

Roger Maynard, Sydney -- Indonesia and Australia signalled a significant thaw in their relations yesterday, after Jakarta's Foreign Minister suggested an early resumption of military ties between the two countries.

Speaking in Canberra during a two-day visit, Hassan Wirajuda said the two neighbours could begin with soft military contacts such as staff exchanges and training, but not full-scale exercises.

Indonesia and Australia ended military co-operation after the East Timor crisis, when Canberra sent peacekeeping troops to the newly independent state. Until then Australia had regularly participated in joint army and naval exercises and had contact with Indonesia's elite Kopassus special forces battalion.

But the security treaty between the two countries was torn up in l999 when gangs of Indonesian-backed militia rampaged through the streets of Dili and outlying areas, killing and wounding many residents. Political and diplomatic ties were left in tatters, a point Mr Wirajuda acknowledged yesterday.

"I think we should be realistic of the background of the problems and the sensitivity of the issues following the East Timor population consultations," he told an audience at the Australian National University. "But Jakarta is now seeking a period of stability in relations, including a slow restoration of military links through nation-to-nation talks on security.

"I think we can start on soft projects, exchange of officers, training and also perhaps exchanges of visits -- but not hard, joint military exercises at this stage. This present visit to Australia has been extremely useful in instilling a new sense of urgency to nurture and to build on Indonesia-Australia bilateral ties."

Playing down the deterioration in relations over the past two years, Mr Wirajuda said talk of a rift was overblown. "Fortunately they are more perceptions than reality," he insisted. "The reality is in fact continued and enhanced ties, certainly of burgeoning trade and people-to-people contacts."

The unexpectedly positive comments are the result of months of quiet diplomacy. Last night Mr Wirajuda was due to hold talks with Prime Minister John Howard in Sydney, paving the way for a meeting with Indonesian President Megawati Sukarnoputri in Jakarta early next year.

The Foreign Minister said Indonesia was keen to establish a regional forum of south-western Pacific nations including Australia, East Timor, Papua New Guinea, New Zealand and the Philippines. "Experience has shown that when we co-operate much can be achieved," he said.

It was a view shared by Australia's Foreign Minister, Alexander Downer, who said he was keen to build greater co-operation within the region.

US to widen demands for Indonesian military reforms

Straits Times - November 28, 2001

Susan Sim, Jakarta -- Frustrated that a seemingly unrepentant Indonesian military is still being given carte blanche authority to abuse human rights in Aceh and engage in illegal logging, among other sins, American lawmakers are already threatening to curtail the limited re-engagement initiated by the US military.

US President George W. Bush and his generals may be eager to keep Jakarta in the fold of his global counter-terrorist coalition in the wake of the September 11 attacks on America.

Not so the US Senate, which last month passed a Bill detailing three more conditions for Jakarta to meet to qualify for US military assistance and training.

The Senate version of the Foreign Operations Appropriation Bill for 2002, which is not yet law pending reconciliation with milder language used by the House of Representatives, requires Jakarta to demonstrate 'commitment to civilian control of the armed forces' by requiring the military to audit and report all its sources of income and spending.

The Indonesian government will also have to allow the United Nations and other human-rights workers and observers "unimpeded access to West Timor, Aceh, West Papua and Maluku", as well as release political detainees.

These are in addition to six conditions imposed by Congress last year demanding accountability for the murder of three UN workers, including one US citizen, in West Timor, and the razing of East Timor in 1999.

There is universal agreement that Jakarta has made poor progress in these areas, although there are different schools of thought on how to encourage compliance.

US Pacific Commander Admiral Dennis Blair, stopping by Indonesia on his swing through the region to foster greater multilateral efforts against terrorism, yesterday made his annual call on Indonesian generals to clean house while holding out the prospect of more aid.

US forces can now work with the Indonesian Defence Force (TNI) in multilateral missions, such as the campaign against terrorism, or joint patrols in the Straits of Malacca to protect the shipping lanes from pirates and terrorists.

But mere pledges by Indonesian leaders to reform the military were not enough. "I am convinced of the sincerity to reform, but I have not seen that sincerity translated into action. It is a case of turning the intention into investigations ... court martials," he told the National Resilience Institute, a military think-tank, yesterday.

Accounting for the actions of the military in East Timor was the primary legal criteria for resumption of fuller cooperation.

But, in a marked divergence in views with US lawmakers, he insisted that Aceh "was not part of the criteria". Safeguarding Indonesian territorial unity necessitated military action, he noted. Yet, Aceh could soon be the new benchmark, with human- rights groups ratcheting up pressure on Congress in recent months to punish Jakarta for military abuses in Aceh and Irian Jaya.

A Senate committee report recommending the tougher language in the new appropriations Bill noted that more than 1,000 people, mainly civilians, had died in Aceh so far this year.

Reflecting growing frustration and anger among American lawmakers, and the international donor community in general, with Jakarta's seeming disinterest in delivering justice and instituting rule of law, some clearly feel a more punitive approach is now necessary to ram the message home.

Not surprisingly, the Senate now also wants to take on "illegal logging, prostitution and contraband smuggling" that the TNI is allegedly involved in, hence the demand for full financial audit reports.

Also clearly uneasy with the Bush administration's efforts to re-engage the TNI, lawmakers are insisting on regular consultations. "It is the committee's understanding -- that the purpose of this modest effort to re-engage with the Indonesian military is to encourage reform.

"If, over the coming year, there is no convincing indication that the military is moving forward with serious reforms, even these limited activities could be curtailed," the Senate report warned.

New conditions:

• The military must audit and report all sources of income and spending.
• The UN and other human-rights workers and observers must have access to West Timor, Aceh, West papua, and Maluku.
• Release of political detainees.

Some existing conditions:

• Bring justice to killers of three UN workers.
• Presecute members of the armed forces and militia responsible for the 1999 East Timor violence.

Indonesia army must match words with deeds: US

Reuters - November 27, 2001

Jerry Norton, Jakarta -- The United States wants to return to full military cooperation with Indonesia but it must first match words with action in accounting for the violence in East Timor, US Admiral Dennis Blair said on Tuesday.

Washington slashed military ties after pro-Jakarta militia, many supported by the Indonesian army, went on a killing spree in East Timor when the territory voted for independence in 1999. The United States lifted an embargo on sales of non-lethal military items after initial support from Indonesia in the war on terrorism, but other restrictions remain.

"A higher level of cooperation would be in the interests of both our countries," especially given the anti-terrorism campaign, but depended on military reform linked to the East Timor issue, said Blair, commander of US forces in the Pacific.

He also cautioned against counter-insurgency tactics so harsh they generate more rebels than the number of militants they destroy. "Heavy-handed military tactics against insurgencies not only create international censure, but also are counterproductive -- they build local resentment ... increase support for insurgency and terrorism, and undermine public trust," Blair said in a speech to Indonesian military and police officers and civil servants.

Conflicts east and west

Jakarta faces conflicts at both ends of its sprawling archipelago -- armed separatists in the resource-rich province of Papua in the east and Free Aceh (GAM) rebels on the northern tip of Sumatra island near the strategic Malacca Strait. "You don't want to create more members of GAM than you remove," Blair said in answer to a question.

He was in Indonesia on a two-day visit that included meetings with President Megawati Sukarnoputri, ministers and officers in which the US-led war on terrorism was a major topic.

Blair -- whose own command takes in operations across more than 100 million square miles and includes over 300,000 military personnel -- said he saw a growing awareness in Indonesia "that force alone is insufficient to quell insurgency without political accommodation, respect for human rights and local economic development."

However, that view is not universally shared. Others say influential Indonesian elements still support harsh military measures to counter the Papua and Aceh rebellions.

The United Nations estimates more than 1,000 people were killed in the wake of East Timor's vote for independence but none of the military officers blamed for inciting the killings have been brought to trial.

Blair said the United States was "ready to resume the full range of bilateral cooperation, when the military reforms which the [Indonesian armed forces are] undertaking ... reach maturity". Establishing accountability in East Timor through actions like court martials would be the key measure of that, he said.

`Convinced of sincerity'

In his talks with Indonesian officials and military commanders Blair said he was "convinced of their sincerity and their commitment to reform but I also have not seen that sincerity translated into actions which give a full explanation and then accountability" for what happened in East Timor.

While US laws linked to progress on that issue prohibited full military cooperation with Indonesia, Blair told a news conference after the speech that didn't apply to the war against terrorism, and praised Indonesia's actions on that front.

Indonesia has been critical of the US bombing in Afghanistan but has also condemned the September 11 attacks against the World Trade Center and Pentagon and cooperated with the United States in the sharing of intelligence, moves to stop money laundering, and other areas.

Blair refused to be drawn on specifics of whether he thought terrorist groups like Osama bin Laden's al Qaeda were operating in Indonesia but said clearly Indonesia has to be concerned about the possibility given its size and past links of some Indonesian groups to Afghanistan.

Blair also said many nations had offered to participate in a Malacca Strait patrol, in cooperation with patrols of Indonesia, Malaysia and Singapore, to ensure terrorists could not attack shipping there.

"In fact we are allocating some navy assets to protect certain shipping that's important to us as it goes through these waters," he told reporters. Blair's Indonesian visit was part of a regional swing that has already taken him to Malaysia, the Philippines, Thailand and Japan. He was to leave on Tuesday for India.

US admiral urges military to account for East Timor mayhem

Agence France Presse - November 27, 2001

Jakarta -- The US military chief for the Pacific Tuesday said the Indonesian armed forces should account for the 1999 violence in East Timor before they can resume full military cooperation with Washington.

"We are ready to resume the full range of bilateral cooperation, when the military reforms which the TNI [the Indonesian armed forces] is undertaking reach maturity," Admiral Dennis Blair told students of Indonesia's military think-tank, the National Resilience Institute.

"The primary criteria [for the resumption] is the completion of the actions regarding accountability for the action of the TNI in East Timor following the referendum in 1999."

Military-nurtured militia groups embarked on an orgy of killing and destruction across East Timor after the territory voted for independence from Indonesia in a UN-held ballot on August 30, 1999.

"The action of the TNI as it was leaving East Timor resulted in the destruction of many parts of the cities and the injury or deaths to many citizens," Blair said. "The US has insisted that there be some sort of accountability procedures for those actions," he said.

Washington cancelled all military cooperation with the Indonesian armed forces following the post-ballot violence in East Timor and backed the deployment of UN peacekeepers. East Timor, a former Portuguese colony annexed by Indonesia in 1976, passed over to UN administration in October 1999 and is set for full independence on May 20.

Blair said he did not doubt Indonesian leaders' commitment to reforming the military. But he added: "I ... have not seen that sincerity translated into actions. So it is a case of turning the intention into investigations ... court martials or other cases," the admiral said.

The post-ballot violence forced an estimated half a million East Timorese to flee to Indonesian West Timor. Only about 188,000 have returned home so far. Many of those still in West Timor were members or supporters of the militias. They fled after the arrival of UN peacekeeping troops in East Timor in September 1999.

East Timorese independence leader Xanana Gusmao is now on a three-day visit to West Timor to meet government and military officials as well as pro-Jakarta militia leaders and representatives of the refugees.

His visit is aimed at promoting reconciliation with former militia enemies and encouraging the refugees to return home.

Economy & investment

Donor fatigue

Far Eastern Economic Review - November 29, 2001

Indonesia's brief honeymoon with the international donor community appears to be over. Barely four months after President Megawati Sukarnoputri won praise for choosing an economic team packed with reformers, many aid officials, diplomats and pundits have begun to doubt their ability to match rhetoric with action.

Her government's early successes -- getting a $5 billion International Monetary Fund programme back on track and passing a sober budget -- have begun to fade. Privately, diplomats from donor countries and multilateral agency officials moan that the chief economics minister, Dorodjatun Kuntjoro-Jakti, is not up to the job. They add that Laksamana Sukardi, the minister for state-owned enterprises, lacks the political savvy and bureaucratic skills needed to shepherd Jakarta's privatization programme.

"There's no leadership," says a Western diplomat involved with aid negotiations. "Someone has to sell this programme, and we don't see anybody out there."

Signs of impatience were evident at this year's meeting of the Consultative Group on Indonesia, which includes the World Bank, the Asian Development Bank and Japan, among others. In his opening remarks on November 7, Jemal-ud-din Kassum, the World Bank's top official for East Asia and the Pacific, bluntly warned that Indonesia had only a six-month "window of opportunity" to restore investor confidence.

The donors ended up pledging $3.14 billion for 2002, which was $1.7 billion less than last year. But a large chunk--$1.3 billion--will only be released if Jakarta steps up its lacklustre efforts to privatize state-owned assets, set up a legal system that works, and revive a stricken banking sector. "There's a clear signal that the international community is looking for substantial improvement in policy reform," says Vikram Nehru, the World Bank's lead economist in Jakarta.

Donor discontent is the last thing Indonesia needs. Next year alone it expects about $7 billion in loans and debt rescheduling to help rein in the fiscal deficit and free up money for badly needed schools, hospitals and roads. Earlier this year, former President Abdurrahman Wahid's lengthy public spat with the IMF became a symbol of his government's economic mismanagement and contributed to his downfall in July. Megawati must find a way to square her cautious instincts with the demands of donors tired of hearing hollow promises of reform.

Meanwhile, a slowing world economy and the September 11 terrorism attacks in the United States add to the uncertainty. But, says Catherin Dalpino, an Asia expert at the Brookings Institution in Washington, this does not mean Indonesia will fall off the aid map. According to Dalpino, Megawati's successful visit to the US in September, American concerns about Southeast Asia as a potential breeding ground for terrorism, and the bureaucratic skills of Ralph Boyce, the new US ambassador to Indonesia, will ensure that the aid flows don't dry up.

But geopolitics alone won't be enough to relieve pressure on Indonesia to deliver its side of the bargain. A recent World Bank report notes that the country is yet to receive more than $9 billion worth of aid pledged since 1998. Most of this is stuck because of failure to push through reforms.

The failure to kickstart the country's privatization programme and the sale of assets owned by the Indonesian Bank Restructuring Agency will hamper the relationship with the IMF. Indonesia needs the IMF's seal of approval to ensure gentle treatment from the Paris Club of 19 creditor nations, as well as to show that economic reforms are on track. Meanwhile, the government's plan to sell Bank Central Asia, once Indonesia's top private bank, is two years behind schedule. A potential windfall of $520 million from the sale of a state-owned cement company to Mexican multinational Cemex has also stalled.

Unless Jakarta can find a way to repair its ties with donors, Megawati's first year in office may not end up being much better than Wahid's last.

Indonesia sees current account surplus falling in 2001, 2002

Agence France Presse - November 26, 2001

Jakarta -- The Indonesian government expects the country's current account surplus to fall significantly this year mainly due to lower oil prices, and to narrow further in 2002 with exports likely to remain weak, a document showed Monday.

In a draft letter of intent to the International Monetary Fund (IMF), the government blamed poor exports on the difficult world economic outlook. Some pickup in imports is projected with a strengthening in domestic activity.

"We expect net private capital outflows to slow in 2002, reflecting the more stable political backdrop and our commitment to improve policy implementation," it said. "The program is also based on a moderate accumulation of external reserves sufficient to ensure that net interest reserves fully cover the short term debts. This would be equivalent to about six months' exports," it says.

To allow time for the effects of economic reforms fully to take hold, the government is seeking further exceptional balance of payments support in 2002 and 2003.

On fiscal policy, the draft letter said this year's budget deficit is expected to come in below the budget target of 3.7 percent of gross domestic product.

The government was faced late in the year with a significant financing shortfall, mainly in the areas of privatisation and external government financing, it said.

Some measures have been taken in response, including cuts in lower-priority spending and increasing cash transfers from the Indonesian Bank Restructuring Agency. However a significant shortfall remains, and the government has reached agreement with key state enterprises to delay some budgeted payments until 2002 in order to cover the budget, the document said.

"Given the short time available to meet the 2001 privatisation target following the political transition, the government has focused its effort on a few key enterprises."

The letter said Jakarta will complete the disposal of its stake in PT Telekomunikasi Indonesia before the end of next year. The letter contains Indonesia's reform pledges to the IMF in return for continuing financial aid. It was agreed last week and will be sent to the IMF board for approval.