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Indonesia News Digest 36 – September 24-30, 2007
Jakarta Post - September 28, 2007
Jakarta – Senior education expert Mochtar Buchori told the
Central Jakarta District Court on Thursday the city
administration failed to help residents during February's flood
disaster and in the aftermath.
He was testifying as a victim in a lawsuit on flood negligence
filed by non-governmental organization Jakarta Residents Forum
(Fakta) against the Jakarta governor and the Jakarta
administration.
Mochtar said during the February flood, his official residence in
the complex of the Indonesian Institute of Sciences on Jl. Widya
Chandra, South Jakarta, was three-meters under water.
"During the flood, I was evacuated by my son-in-law, who used his
own dinghy. I received no help from district officials," he said.
The 81-year-old, who served as deputy chairman for the institute
before retiring in 1992, later moved to his daughter's house
after his was ruined by floodwaters.
"My house became uninhabitable after the flood and had to be
repaired. I didn't have enough money to repair it, so I decided
to hand it back to the institute and stayed on with my daughter,"
he said.
He added the flood not only damaged his house, where he had lived
since 1981, but also ruined many of his books. "My books are my
most valuable possessions and many of them, as well as precious
documents, were destroyed."
Mochtar said February's flood was the biggest since the last
major one, which hit his home in 1996. "My house is located just
meters from a small river. As far as I am concerned, the only
flood preventive measure taken by the government was dredging the
river... but that was a long time ago, in 1994."
The court had earlier heard from expert witnesses Erwin Iskandar,
a head researcher from Trisakti University in West Jakarta, and
Sumiyati, another flood victim. The hearing was adjourned until
next week when the court will hear from defense witnesses for the
accused.
Tempo Interactive - September 27, 2007
Ninin Damayanti/Sutarto, Jakarta – As many as 13 trade unions
have sent letters rejecting the Government Draft Bill on
Severance Pay being passed, to President Susilo Bambang
Yudhoyono, Vice President Jusuf Kalla and Manpower Minister Erman
Soeparno.
The trade unions include the All-Indonesia Workers Union
Confederation (KSPSI); the Indonesian Workers Union Committee
(KSPI); the Metal, Electronics and Machinery Workers Trade Union
Federation; Cigarette, Food and Beverage Labor Union, Indonesian
Muslim Trade Union and the State-Owned Enterprises Trade Union.
"These letters emphasize our rejection of the Severance Pay Draft
Bill. We're ready to take action if the draft bill is still
passed," said KSPSI Chairman, Sjukur Sarto.
In the Severance Pay Draft Bill it states that the workers who
have the right to obtain severance pay through guarantee
organizations are those who have wages below five times the Non-
taxed Income (PTKP) of Rp5.5 million. As regards the amount that
a company must pay this is three percent of the worker's wages
per month.
According to Sjukur, the policy to limit PTKP to five times is
different from the mandate of the Manpower Decree no. 13/2003. In
the decree, the concept is minimal protection, not maximum as in
the Severance Pay Bill. Workers and labors unions also viewed the
amount of three percent as insufficient for workers' severance
pay.
In connection with third parties which will manage the company's
reserved funds as the severance pay compensation, said Sjukur,
workers and labor unions prefer a multi-provider.
Minister Erman Soeparno once mentioned PT Jamsostek, Dana Pensiun
and Jiwasraya as the parties competent to manage the funds.
Workers and labor circles also regretted the government's closed
attitude, refusing to announce the draft's final contents before
it is issued.
Vice President Jusuf Kalla is of the opinion that the rejection
was only a misunderstanding. Therefore the government still
continues the plan to pass the Severance Pay Draft Bill. However,
the Severance Pay Draft Bill will be discussed again with
entrepreneurs and workers.
Demos, actions, protests...
Aceh
West Papua
Human rights/law
Gender issues
War on corruption
Islam/religion
Elections/political parties
Economy & investment
Opinion & analysis
News & issues
Education expert regrets government handling of floods
13 trade unions threaten demonstration against draft bill
Indonesia to file suit against US to World Trade Organisation
Tempo Interactive - September 24, 2007
RR Ariyani, Jakarta – The Indonesian government will file a lawsuit against the United States at the World Trade Organization (WTO), following a similar measure by China last week.
The report was related to the US measure that is regarded as unfair. The Uncle Sam country accused Indonesia carrying out dumping and protection with regard to paper products. The US then began charging antidumping import duties and anti-protection import duties on paper products from Indonesia.
"Actually we want to be the first to file such a lawsuit," said Martua Sihombing, Director of Trade Security at the Trade Department, last weekend in Jakarta.
According to him, being the first or second party allows Indonesia to be more outspoken in voicing an objection of unfairness. "We can also argue. But being a third party is only sitting without giving statements," he said.
Previously, the US had already made the accusation that coated free sheet paper from Indonesia had received subsidy prices amounting to 21.24 percent and a dumping price of 15 percent.
Two major Indonesian lined-paper exporters, PT Tjiwi Kimia and Sinar Mas, then preferred transferring their exports to the Asian region in response to the US accusation.
The unfair measure of the US was considered to be due to fabricated reasons. The program of industrial forest estates, which for instance gave interest rate relaxation, was considered as a form of covering up subsidies.
Furthermore, the US accused that the market segment absorbed by Sinar Mas' paper products in the US had reached four percent.
The US applied a very tight schedule for filling questionnaires and the questioned items were very wide (Koran Tempo, May 21). In addition, Martua said the department still continued studying the possibility to bring charges against the US.
The government is still considering about collaborating with China or going forward alone.
However, Martua acknowledged he was pessimistic. Indonesia's effort to bring this matter to WTO appears to be difficult.
In addition to expensive fees for hiring a lawyer, either in the US or Geneva, there are a lot of pressures of not dealing with the superpower country.
| Demos, actions, protests... |
Detik.com - September 30, 2007
Ramdhan Muhaimin, Jakarta – Around 50 people from Humanist Solidarity for Myanmar (SKUM) held a demonstration in Bali on Sunday October 30 against the violence by the military junta in Myanmar.
The action, which was attended by a number of organisations including the Indonesian Legal Aid Association (PBHI), the Denpasar Indonesian Journalists Alliance (AJI), the Balinese Television Journalists Association (IJTI) and students from the Udayana University, was held on Jl. Sudirman in the provincial capital of Denpasar.
The demonstrators, many of whom were wearing red shirts, held a long-march from the Udayana University campus towards the intersection on Jl. Sudirman. They also brought posters condemning the violence by the Myanmar military junta with messages such as "Stop the Myanmar military junta", "Military arrogance kills democracy" and "Don't shoot journalists".
In a speech, action coordinator Wayan Suardana called for an end to the violence in Myanmar. He also urged the Indonesian government – as the largest country in ASIAN – to be at the forefront of supporting a peace process in Myanmar. "The Myanmar issue is no longer a domestic issue rather it has become a global issue", he said.
A representative from AJI Denpasar, Muhammad Ridwan, said that the death of a Japanese journalist while on duty in Myanmar represents a hindrance to the freedom of the press. "If [there is no press] freedom then the people's voice will fade away," he said. (rmd/nrl)
[Translated by James Balowski.]
Jakarta Post - September 28, 2007
Jakarta – More than 500 residents blockaded the entrance to Koja container terminal in North Jakarta on Thursday, hampering activities at the terminal owned by state port operator PT Pelindo II.
The residents demanded compensation from the state enterprise for land acquired in 1994 to build the terminal.
One landowner, Siregar, said the land was only valued at Rp 100,000 (around US$10) per square meter when the company relocated as many as 4,200 families from the 92-hectare plot of land 13 years ago.
"They paid a low price because they said we did not possess legal land certificates, claiming the land still belonged to the colonial government. But, some of us had the (land ownership) certificates," he said as quoted by Tempointeraktif news portal.
Jakarta Post - September 26, 2007
Jakarta – Non-governmental organization International Animal Rescue held a demonstration in front of the Japanese Embassy on Tuesday, urging its government to protect the dolphin.
In observance of International Dolphin Day, around 20 members of the group protested outside the embassy against the killing of dolphins for food.
Sudarno, the rally's coordinator, said that Japanese fishermen killed around more than 2,000 dolphins and whales each year, mostly around the Taiji coast.
"Before being slaughtered, the dolphins are taken offshore, where they are stabbed to death and their necks are cut, leaving the offshore water red with blood," he said. "We hope that the Japan government can immediately stop this brutal killing." In the protest, the activists performed a theatrical show displaying the way the dolphins were being killed. The demonstration, which took an hour, ended peacefully. The embassy did not respond to the protest.
Detik.com - September 24, 2007
Ramadhian Fadillah, Jakarta – Opposition to Draft Bylaw No. 8/2007 on Public Order established by the Jakarta provincial government is continuing. Around 200 buskers, beggars, transsexuals, street peddlers and 3 in 1 jockeys descended upon the Department of Home Affairs building on Monday September 24.
Led by the Urban Poor Consortium (UPC), they were calling on the department to reevaluate the bylaw. Wearing red head bands with the writing "Reject Bylaw No. 8/2007", they gave speeches and sang songs.
"We demand that the Department of Home Affairs not approve Bylaw 8/2007", said action coordinator Edi Saidi from UPC during a break in the action on Jl. Medan Merdeka Utara in Central Jakarta. Saidi said that workers in the informal sector will suffer a huge financial loss with this regulation. Never mind that it makes no sense.
"How can those using the services of or buying from a street peddler be subject to a jail sentence, it doesn't make sense. Conceivably a fine of 5-20 million rupiah, then six months jail. This doesn't makes sense. Furthermore we feel as if all avenues will be closed off [to us]", said Saidi.
Saidi promised that they would continued to hold demonstrations until the Department of Home Affairs agrees not to approve the law. The demonstration that began at 10.30am ended at around 12.20pm.
Representatives of the protesters were also able to meet with the secretary general of the Home Affairs Department. The department promised it would study the bylaw taking into consideration the concerns of informal workers who work on the streets. (umi/nrl)
[Translated by James Balowski.]
| Aceh |
Jakarta Post - September 27, 2007
Nani Afrida, Banda Aceh – Deputy Governor of Nanggroe Aceh Darussalam Muhammad Nazar is upbeat regarding the implementation of sharia law in Aceh, denying it hindered reconstruction efforts and development in the region.
"I urge all stakeholders in Aceh to think clearly. Possibly there are a number of Muslims who still think rather conservatively, but it has nothing to do with the implementation of sharia law," he said.
"Aceh is open to anybody. But anyone entering Aceh has to abide by local regulations," Nazar said, adding there were many foreign investors doing business in Aceh. "The ratio of Muslim and non- Muslim investors in Aceh is about 50:50. This underlines the fact that Aceh is open to anybody."
Nazar's remarks were made in response to a statement about the implementation of sharia law made by Kuntoro Mangkusubroto, chairman of the Agency of the Rehabilitation and Reconstruction for Aceh and Nias (BRR), during a visit to The Jakarta Post's office in Jakarta on Sept. 20, 2007.
Kuntoro said during the visit many heads of government and donor states and international businesspeople questioned the implementation of sharia law in Aceh at a time when investment in the province had not been able to help solve unemployment and poverty.
BRR's communication director Juanda Djamal said in Banda Aceh on Wednesday that Kuntoro's statements to the Post had nothing to do with the implementation of sharia law. "There is no obstacle in connection with the implementation of sharia law and development in Aceh," Djuanda said, as quoted by Antara.
However, Rahmad Djailani, an activist from the Aceh People's Party, said the implementation of sharia law had not supported investment growth in Aceh.
"This is due to a kind of brutality from groups who claim to be supporters of sharia law through their actions. Sweepings, dispersing people who are enjoying recreational activities and the like have caused public unrest," Rahmad said.
"Historically, sharia law involved political bribes from the military during Aceh's period of fierce conflict. This does not answer the problems arising among Acehnese now," he said.
Student Riqki Salam said Aceh had implemented a politicized sharia law. "Many things have been forcefully applied in the implementation of sharia law in Aceh," Riqki said.
He said, however, the implementation of sharia law had not hindered development in Aceh. "Aceh is open to anybody. The proof is that there are still many investors from Middle Eastern countries who are more devout Muslims than the Acehnese."
Jakarta Post - September 24, 2007
Ridwan Max Sijabat, Jakarta – An Aceh-linked organization that advocates for environmental issues demanded that the Aceh-Nias Rehabilitation and Reconstruction Agency (BRR) apologize for implicitly blaming the slow reconstruction work on sharia in Aceh province.
Greenomics Indonesia was responding to the statement of BRR chief Kuntoro Mangkusubroto, who on a visit to The Jakarta Post on Thursday said that the implementation of sharia had "hindered" the development programs in the province, which enjoys special autonomy.
"Kuntoro's statement on sharia is intolerable and has offended Acehnese people's religious beliefs. He must withdraw it and make an apology to the Acehnese," Greenomics executive director Elfian Effendi told the Post over the weekend.
Elfian argued the sluggish reconstruction work had nothing to do with sharia. He said the BRR should not try to scapegoat sharia for the lack of accountability and slow pace of the reconstruction work.
"Up until August, only 25 percent of its 2007 budget had been spent and, according to World Bank data, only 43 percent of the BRR's rehabilitation and reconstruction programs have been finished. But all this has nothing to do with sharia," he said, adding that BRR should reevaluate its competence and capabilities in carrying out the programs.
During his visit to the Post, Kuntoro said that the ongoing reconstruction and rehabilitation projects must also be accompanied by efforts to attract foreign investors to Aceh.
"Otherwise, it will be difficult to activate the development programs in the province," he said. He also said: "Security has been the most frequent question asked by foreigners. But the application of sharia has also been of concern to them."
Greenomics and the Indonesian Corruption Watch (ICW) have filed a report with the House of Representatives after the BRR established a trust fund established with unused budgetary funds.
Kuntoro said that the trust fund had been approved by the Finance Ministry. The fund is to be used to acquire land for the "American Highway", a US-funded highway linking Banda Aceh and Meulaboh.
| West Papua |
Reuters - September 27, 2007
Rob Taylor, Canberra – Australia secretly deported five separatist asylum seekers from Indonesia's Papua province, in what rights groups said on Thursday was an attempt to appease Jakarta and avoid embarrassing its powerful military.
The men were sent to neighbouring Papua New Guinea from where they had set off in a banana boat and were intercepted near Saibai Island, to Australia's north, on August 21.
"This is an issue which raises humanitarian responsibilities that should be dealt with openly and fairly, not with secrecy and unjust laws," minority Australian Democrats Senator Andrew Bartlett said after the government admitted the incident.
The five men, who had sought asylum as refugees, were taken to a PNG refugee camp on September 18 after the Port Moresby government agreed to re-admit them under a 2003 asylum agreement between Australia and PNG.
Independence activists in Papua – which is made up of two provinces on the western half of New Guinea island – have waged a campaign for more than 30 years to break away from Indonesia, while a low-level armed rebellion has also simmered for decades.
Rights groups accuse the Indonesian military of using heavy- handed methods to put down the revolt.
The arrival of a separate group of 43 Papuans on Australia's Cape York peninsula in January last year prompted a furious diplomatic exchange between Jakarta and Canberra.
Indonesia's government said Australia's decision to give refugee visas to all 43 amounted to backing for Papuan separatist claims of oppression by Indonesian troops and police. Jakarta ordered its Canberra ambassador home in protest.
To defuse the row, Australian and Indonesia last year signed a security pact in which Canberra said it supported Indonesian sovereignty over Papua.
A spokeswoman for Australia's Immigration Minister Kevin Andrews said the latest group were ineligible for protection because of new laws barring refugee applications from people landing on Australian islands.
"It was standard routine. They can have a claim processed in PNG, because PNG is a signatory to the refugee convention," she said. The men were held in detention for three weeks and two received medical treatment before being deported.
Refugee and Immigration Legal Centre spokesman David Manne said the return of the men to PNG was scandalous.
"There are serious questions about whether Australia has acted in violation of our international obligations to protect refugees," he told the Australian newspaper.
Bartlett accused the government of sweeping their case under the carpet to avoid a fresh row with Indonesia.
"The federal government's enthusiasm for operating under a veil of secrecy is the modus operandi for regimes the world over who treat basic human rights as an optional extra," he said.
Australian Associated Press - September 27, 2007
David Crawshaw – Australia broke international law and endangered the lives of five Papuan asylum seekers by secretly sending the men back to Papua New Guinea, refugee advocates say.
In a move critics allege was designed to appease Indonesia, the Federal Government today admitted deporting the five Papuans, who sailed from PNG to reach Saibai Island, in Australia's Torres Strait territory, on August 21.
The men were unable to claim asylum in Australia because the Howard Government has excised Saibai Island from the country's migration zone.
Immigration Minister Kevin Andrews said the men were transferred from Saibai Island to a customs facility on Horn Island on August 24, from where two were flown to Cairns Hospital for medical treatment. All were returned to a PNG refugee camp on September 18.
"There's no reason for them not to be sent back," Mr Andrews' spokeswoman said. "They raised some protection issues, but because they arrived at an excised offshore island they couldn't make a claim, so we've returned them to PNG where they can."
It would be up to the PNG Government to decide what to do with the men if they were found to be refugees. The Australian Government was confident the men were not in danger in PNG, Mr Andrews' spokeswoman said.
There have been reports of Indonesian forces using violence against Papuan independence activists since Indonesia seized control of the province in the early 1960s. Many Papuans have fled the violence into neighbouring PNG.
Rights group A Just Australia said it was unacceptable for Australia to breach its legal obligations to people in need of protection, "particularly as it is not for border security but simply to appease a foreign government".
"Without doubt, the removal of these asylum seekers is a breach of international law, and puts Australia at the bottom of the class in human rights terms," the group's national coordinator Kate Gauthier said.
Asylum Seeker Resource Centre coordinator Pamela Curr said there had been recent moves in Port Moresby to evict Papuan refugees from their settlements on the edge of the PNG capital.
"What choices are open to them? Go back to West Papua and face the brutal Indonesian military... (or) try to negotiate somewhere else to stay in PNG?" she said. "If this cannot be achieved – set off in search of another country of safety."
Refugee groups queried whether returning the men to PNG was designed to prevent a repeat of last year's spat between Canberra and Jakarta stemming from Australia's decision to accept 43 Papuan asylum seekers as refugees. Mr Andrews' spokeswoman dismissed the idea as "predictable conspiracy rubbish".
Greens senator Kerry Nettle said the Papuans had sought refuge in Australia because they clearly did not feel adequately protected in PNG. Labor maintained its cautious approach to immigration issues ahead of the election.
Asked today to comment on the case, Opposition Leader Kevin Rudd said: "I have not seen that report. I'd like to be fully briefed on it before making any substantive comments."
Kompas - September 27, 2007
Jakarta – The terrorisation of the Papuan chief representative of the National Human Rights Commission or Komnas HAM, Albert Rumbekwan, could have an impact on Indonesia's image as a member of the United Nations Human Rights Commission. Moreover, Amnesty International has sent a letter to the president raising questions about the case.
Komnas Ham coordinator Yosep Adhi Prasetyo said on Wednesday September 26 in Jakarta that Komnas HAM has received a copy of the letter from Amnesty International addressed to the president in relation to the intimidation experience by Rumbekwan, which was passed on by the State Secretariat.
According to Prasetyo, Komnas HAM has been asked to assist in responding to the letter because the intimidation can be seen as a reflection of the government's lack of seriousness in protecting human rights workers and activist in Indonesia. Prasetyo also said there has been a positive response by the Papua regional police to a letter from Komnas HAM and Rumbekwan is now being protected by police.
Separately, Vice President Jusuf Kalla said he was not aware of the letter from Amnesty International to President Susilo Bambang Yudhoyono raising questions about the intimidated against Rumbekwan by unidentified persons.
Aside from checking the letter, Kalla will also be requesting a report on the case from those responsible for security in Papua. "I will check and ask them to report", said Kalla following a face-to-face meeting with the National Construction Service Development Institute board of directors at the Vice Presidential Palace in Jakarta.
Many parties have declared their concern about the intimidation experienced by Rumbekwan because as the chief representative of Komnas HAM in Papua, he is a state official and cannot be harassed when carrying out his duties.
As has been reported, last week Rumbekwan's residence in the Papuan capital of Jayapura was broken into by an unidentified individual. In addition to this, over the last four months Rumbekwan has received threats and been terrorised (Kompas, 24/9). The intimidation began after he met with Hina Jilani, the Special Representative to the United Nations General Secretary. (jos/har)
[Translated by James Balowski.]
Kompas - September 26, 2007
Jakarta – In relation to his duties and responsibilities as a representative of the National Human Rights Commission or Komnas HAM in Papua, Albert Rumbekwan is a state official and cannot be harassed when carrying out his duties.
This was raised by Komnas HAM coordinator of Yosep Adhi Prasetyo on Tuesday September 25 when contacted from Jakarta. Prasetyo, who is currently in Aceh, said that Komnas HAM is concerned about the intimidation against Rumbekwan. "Albert Rumbekwan is a state official executing the mandate of Law No. 39/1999 on Human Rights. He cannot be harassed [like this]", said Prasetyo.
As has been reported, last Sunday Rumbekwan's resident in the Papuan capital of Jayapura was broken into by unidentified individuals. In addition to this, Rumbekwan has frequently received threats and been terrorised over the last four months (Kompas, 24/9).
Prasetyo suspects that the intimidation began after Rumbekwan met with United National Special Representative for Human Rights Hina Jilani. Because of this therefore, Komnas HAM will be sending a letter to the police in Papua and be meeting with the national police chief in Jakarta.
In Jayapura, Papua regional police chief Inspector General Max Donald Aer said he regretted that Rumbekwan had not reported the incidents that have befell him directly to the police. "For the last four months, we have assigned police officers to guard Rumbekwan. Why didn't he immediately contact the nearest police [office]?", said Aer.
Rumbekwan felt terrorised during a blackout when unidentified individuals entered his house. "According to testimonies, his neighbours said that there was a person in the vicinity of the house. This a subjective feeling right, feeling terrorised. If there were people in the vicinity of Rumbekwan's house, what were they doing? We're speaking in legal terms here, is there is there not evidence of a (criminal) act", said Aer.
Aer said that the police are still investigating the incident last Sunday. (JOS/ROW)
[Translated by James Balowski.]
Jakarta Post - September 26, 2007
Markus Makur, Timika – More than half of the population of Mimika regency, Papua, live below the poverty line and lack access to health care, education, proper clothing and food, an official said Tuesday.
As many as 28,000 of the 45,000 families in Mimika, where the giant PT Freeport Indonesia gold mine is located, are poor, according to Mimika Statistics Agency (BPS) head Amin Nazar in the regency capital of Timika.
Nazar said that while the official 2007 statistic were still being compiled, it was known that a significant increase had taken place.
A high migration rate has seen the population of Mimika explode in recent years and the rise of poverty as a serious local issue.
The BPS measure poverty by judging how basic needs are met – such as the average required calorie intake for a human, 2,100 – with an inability to meet them indicating poverty.
A family's monthly spending ability is also taken into account, with those who have less than the local average per capita budget being below the poverty line.
Papua Vice Governor Alex Hesegem recently said his office had pledged to carry out a rural-to-urban development program to improve Papuan standards of living.
Hesegem said 2,000 kampongs in 116 districts in Papua would receive Rp 100 million (US$11,100) each to develop their areas and improve the welfare of poor people. He added that the provincial administration was committed to realizing the program. One of the options is to build an effective telecommunications network reaching rural areas so as to provide people with information on economic development.
Besides setting up a cellular phone network, the administration will also establish radio stations in remote areas to empower Papuans in the telecommunications sector.
Apart from the Rp 100 million in assistance from the provincial administration, Hesegem said regency administrations across Papua would also set aside funds for rural development, such as Mimika regency, which has allocated Rp 100 million to rural communities in 12 of its districts.
"The Papua provincial administration will disburse Rp 400 billion to implement the rural-to-urban development program. The funds, derived from the provincial budget, will be intended for rural areas, where most of the residents live in mountainous and swampy areas," he said.
Most of the people in Mimika live in the mountainous, coastal and remote areas of the regency, such as Amar, Kawar, Manuare, Kokonao and Ipaya villages in West Mimika district.
Housing in Timika city, as well as in Kwamki Lama village, Karaka Island and Asmat village in East Mimika district, is often unsuitable to live in. Mimika is one of the biggest mining areas in the world, but its people are still categorized as poor.
Mimika regency has been provided with special autonomy funds, royalties from PT Freeport Indonesia and funds from the provincial and regency budgets, but still lacks infrastructure development.
The Indonesian Military, through its Rural Civic Action Program, this year constructed bridges and piers for fishing boats, focussing its activities on Kokonao, capital of West Mimika district.
The military will later conduct integrated community services financed by the government, which will be concentrated in Jita, one of its 12 districts. It will prioritize building clean water facilities for residents, bridges and piers for fishing boats and renovating homes.
It will also assign its officers to teach in schools which have been abandoned by their teachers for months.
Kompas - September 24, 2007
Jayapura, Kompas – The residence of the chairperson of the Papuan Representative office of the National Human Rights Commission or Komnas HAM, Albert Rumbekwan, was broken into by unidentified individuals on Sunday September 23.
Earlier, on Monday last week, a group of unidentified individuals entered the Kondios Abepura Public Building claiming they were searching for Catholic priest Yohanes Djonga Pr. Prior to the arrival of the individuals, over the last four months Rumbekwan as been terrorised by death threats sent by SMS and having his car tailed.
The intimidation began after Rumbekwan met with United Nations Special Representative for Human Rights Hina Jilani in June. "Jilani left Papua on June 10, since June 11 I have experienced various forms of intimidation", said Rumbekwan.
On Sunday night at around 12.30am there was an electricity blackout in Jayapura. Rumbekwan placed two candles in front of his house but they were extinguished a short time later.
One of Rumbekwan's neighbours, Rio Katmo, who was in front of his house claims to have seen a person extinguishing the candles. "Several minutes later, the candle was lit again", he said. Another neighbour, Jack Komboy, also said that he had seen a number of unidentified individuals prowling around Rumbekwan's house. (row)
[Translated by James Balowski.]
| Human rights/law |
Jakarta Post - September 29, 2007
Desy Nurhayati, Jakarta – Following the recent release of 13 Navy officials involved in the May shooting spree of villagers in Pasuruan, East Java, Indonesia's main NGO human rights group Imparsial has demanded the case be re-opened.
The 13 Navy officials held as suspects were freed on September 17 by the Navy Military Police due to an expired detention period.
The May 30 shooting spree in Alas Tlogo village, Pasuruan, left four people dead and eight wounded. The clash occurred after a dispute between villagers and Navy officials over a plot of land.
The Indonesian Human Rights Monitor group (Imparsial) told the National Commission on Human Rights Commission the shooting was a gross violation of human rights.
"The commission should take strict measures against the 13 navy officials by conducting a thorough investigation and bringing the case to the ad hoc rights court," Imparsial's human rights research coordinator Bhatara Ibnu Reza said Friday.
"We should not let the case go to the Military Court because it will lead to impunity. The suspects might be backed by high- ranking officials."
Bhatara alleged the Navy men were released because military investigators did not extend their detention period and then decided to end investigations.
The Alas Tlogo villagers were angry because an agriculture company, backed by the Navy officers, had crossed into their land borders. The Navy officials clashed with the protesting villagers and in the process, fires were shot.
The Navy justified their actions, saying it was absolutely correct to open fire on the residents and the Navy officials had performed their duties professionally.
They denied allegations the incident was a gross human rights violation. "The military has shown no guilt," Bhatara said. "They see the incident as an ordinary case. That has been proven by the release of the Navy suspects before they were brought to trial."
Given the high number of land disputes in Indonesia, Imparsial said the government should establish a joint investigation body comprising the Defense Ministry, National Land Agency, Human Rights Commission, agrarian law experts, farmers associations and NGOs.
Imparsial's researcher Cahyadi Satria said the investigation body should be mandated to settle land dispute cases nationwide.
Cahyadi said cases involving civilians and the military must be solved using an analysis of environmental and human rights impacts.
"The military should not also be allowed to determine their territories by themselves without approval from the Defense Ministry," Cahyadi said. "Otherwise more disputes will occur."
He also said the military should comply with the International Humanitarian Law that ensures a buffer zone between military territories and residential areas.
Jakarta Post - September 28, 2007
Jakarta – The AGO handed over Thursday the dossiers of former Garuda Indonesia president Indra Setiawan and former secretary to Garuda's chief pilot Rohainil Aini to the Jakarta Central District Court. Both men are suspects in the 2004 murder of rights activist Munir Said Thalib.
"We have named Nur Rachmat and Arif of the Central Jakarta Prosecutors' Office as respective prosecutor for each case," Attorney General's Office spokesman Thomson Siagian told detik.com.
Thomson said both Indra and Rohainil would be charged with article 340 of the Criminal Code and article 56 (2) for providing assistance in the murder of Munir, who died of arsenic poisoning on his way to the Netherlands on Sept. 7, 2004. Both articles carry a maximum penalty of 20 years imprisonment.
Jakarta Post - September 28, 2007
Irawaty Wardany, Jakarta – The National Commission for Human Rights last week established a new ad hoc team to investigate the 1989 shooting at Talangsari village, Lampung, a commission member said Thursday.
The Talangsari incident occurred on Feb. 7, 1989, and saw a battalion of soldiers equipped with assault rifles from the Garuda Hitam Military Resort Command launch an attack on the village.
Johny Nelson Simanjuntak, who chairs the new ad hoc team, spoke to a group of university students visiting the commission's office Thursday. The students wore tapes across their mouths to imitate the commission's silence around the case.
Johny told the group the new team would investigate results from the previous team chaired by Zoemrotin K. Soesilo, which had summoned some 60 people. He said the new team was also in the process of arranging a schedule to summon 32 more people to testify, but he refused to reveal who they were.
"We are expecting to finish the investigation on the Talangsari case in November and hopefully we can come to a conclusion in December," he said.
The two teams previously investigating the Talangsari incident had reportedly not made any progress.
Talangsari village was the center for a Muslim preaching group led by Warsidi – a group known for its scathing criticism against the then-powerful New Order regime.
A local students' organization said the fatalities reached as high as 246 people. The Commission for Missing Persons and Victims of Violence said 47 people were identified and 88 others went missing.
Student representative Hari Purwanto said the commission had not been doing its job seriously, especially on three major human rights violations, including the shootings of university students in Semanggi in 1998 and 1999, the Talangsari incident, and the murder of prominent human rights activist Munir said Thalib.
Hari said even though the public could guess who the intellectual actors behind the cases were – "still the commission has failed to uncover them".
He said Col. A.M. Hendropriyono, the Lampung military commander at the time the Talangsari incident took place, was an example. "We are afraid there is some kind of political contract between high officials in the commission and the government."
Kompas - September 26, 2007
Jakarta – Transsexuals are opposing the Jakarta regional government bylaw on public order that will soon be coming into effect. They say that the bylaw is discriminative and will criminalise the poor and particular social groups, including transsexuals.
"Transsexuals are a group that up until now has suffered as a consequence of discrimination. This new bylaw will just increase discrimination against transsexuals, particularly poor transsexuals", said Ienes Angela, the head of the campaign and networking division of Arus Pelangi (Rainbow Current) on Tuesday September 25.
Kompas received the statement a short time before Arus Pelangi held a press conference yesterday to convey its official position with regard to the bylaw. According to Angela, Arus Pelangi is a group that is active in advocating for and defending lesbians, gays, bisexuals, transsexuals and transgender people.
Angela conceded that they don't know when Bylaw No. 9/2007 on Public Order will come into effect. However the bylaw, which was revised on September 5, has been agreed to by the Jakarta Regional House of Representatives.
In its efforts to have the bylaw revoked, Arus Pelangi plans to organise more peaceful demonstrations and hold an audience with the Minister of Home Affairs, the Minister for Justice and Human Rights and the National Human Rights Commission. "Letters requesting an audience have already been posted. We are waiting on a reply", explained Angela.
As reported by Kompas on September 25, last Monday a number of transsexuals demonstrated against the bylaw at the Department of Home Affairs on J. Medan Merdeka Utara in Central Jakarta. The demonstration was joined by around 300 or so poor people including vagrants, beggars, buskers and street peddlers. (muk)
[Translated by James Balowski.]
Jakarta Post - September 25, 2007
Jakarta – The Home Affairs Ministry says it will study the newly endorsed contentious public order bylaw which, among others, bans beggars and buskers from working the city's streets.
Janirudin of the ministry's legal bureau said Monday his office would examine whether the bylaw contradicted a higher law, the Constitution or public interest.
"If it opposes a higher law or public interest, the ministry has the right to ask for a revision of the bylaw or ask the president to annul it," he said at a meeting with representatives from the Poor People's Alliance.
Having been endorsed by the City Council, the bylaw, which was passed earlier this month, was submitted to the ministry to be registered; prior to registration, the city administration cannot enact it.
Outside the ministry's building, more than 200 buskers, beggars, street children, transvestites and street vendors from the alliance, held a rally to protest the bylaw, saying it violated their constitutional rights as citizens.
The bylaw bans street vendors from operating business on sidewalks, pedestrian bridges and other communal areas without official permission from the governor. It also prohibits people from donating money to beggars, buskers and street children with a maximum Rp 20 million (US$2,128) fine or a 60-day jail term.
Edi Saidi from the Urban Poor Consortium said he believed the ministry would not endorse the bylaw. "These people work in informal sectors in order to survive. If the government thinks they aren't well-organized, then provide regulations for them instead of banning them (from making a living)," said Edi.
The Jakarta administration endorsed the bylaw in an effort to create a tidier city; beggars, buskers and street vendors who operate in public spaces are regarded as a disturbance to public order.
One busker said he never intended to earn money by singing on public transportation vehicles or in public spaces. "But I have to. I'm trying to survive. This bylaw is like playing God (because) it doesn't give us a chance to earn a living," he said.
Another busker, a widow with five children, said she did not know any other way to earn money to feed her children.
"Like every mother, all I want for my children is to see them become great people who have decent jobs. I don't want them to become like me. If the government doesn't want us to busk on public transportation, then please tell us where to go to earn a living," she said.
She added many people were now reluctant to give buskers money since the city administration endorsed the bylaw earlier this month. "Previously I was able to earn around Rp 30,000 (US$3.2) per day, but lately I have only been able to get about Rp 12,000 per day," she said.
Activist Edi said the ordinance could not be implemented well and therefore was prone to corruption and manipulation as people would try to bribe public order officials to evade the bigger fine. "If the city administration forces the implementation of this bylaw, we will oppose it," Edi said.
| Gender issues |
Tempo Interactive - September 27, 2007
Ninin Damayanti, Jakarta – The Committee to Eliminate Discrimination against Women (CEDAW) urged Indonesia to regulate that the female circumcision ban be included in a state decree.
According to Meutia Hatta, State Minister for Women's Empowerment, some cultures in Indonesia in fact still allow the practice of female circumcision. The hereditary habit, she said, is very detrimental for women as the vital organ is harmed.
"This is despite there is no beneficial reason medically," she said during a press conference in her office yesterday (26/9).
She explained the result of the 39th Session of the Committee in New York early August.
In addition to discussing Indonesia's periodic report, CEDAW discussed the periodic reports of Belize, Guinea, Honduras, Hungary, Singapore, Jordan, Estonia, Brazil, Liechtenstein, Kenya, South Korea, and Norway
According to Meutia, CEDAW also asked that the female circumcision practice no longer receive a medical practice license.
The Health Department has actually issued a circulating letter that prohibits female circumcision medically. "But there are in fact several cultures which permit this," said Meutia.
In addition to female circumcision, the fate of housemaids is one of the issues of CEDAW's concerns. This is because Indonesia's housemaids are not yet protected under the Manpower Decree.
CEDAW, according to Meutia, also listed 29 state decrees that are gender-biased or not yet taking the side of women. These include the Marriage, Citizenship, Manpower and General Election state decrees.
According to her, CEDAW is also concerned over bylaws that are discriminative against women.
Jakarta Post - September 27, 2007
Jakarta – Laws that permit polygamy for a man experiencing an infertile marriage or insist on the arrest of a woman seen outside after 7 p.m. because she is considered a prostitute are just two of 29 gender-biased laws Indonesia has been asked to revoke by an international anti-discrimination convention in New York.
The recent 39th meeting of the Convention on the Elimination of All Forms of Discrimination Against Women (CEDAW) in New York has recommended Indonesia should revoke all its regulations that are biased against women.
As one of the countries that ratified the convention 23 years ago, Indonesia was given the chance to present its opinion on the implementation of the 28-year-old convention during the CEDAW New Yorkk meeting on July 27.
"There are currently 29 laws which are gender-biased and we have suggested the related ministries amend them," Indonesia's delegation head for the New York meeting Meutia Farida Hatta Swasono said.
"I have heard that they are still evaluating them." She cited the 1974 marriage laws, which contain articles that permit polygamy in the case of infertility.
Meutia, who is also the State Minister for Women's Empowerment, said her ministry had not yet received a response from the Religious Affairs Ministry, the leading sector for the amendment of the marriage laws.
She said the July meeting had also expressed concerns around the impact of the regional autonomy policy, which had created discriminative regulations against women.
The 2005 bylaw around Sharia implementation in Tangerang, Banten, stipulates any women in public after 7 p.m. would be considered a prostitute and arrested.
Meutia said the meeting also criticized the Indonesian government for its failure to fully integrate the CEDAW convention into Indonesian laws. The minister said this was because the CEDAW convention had yet to be familiarized among the government institutions.
She said the New York meeting also criticized the State Ministry for Women's Empowerment for its inability to play a significant role in imposing the CEDAW convention. "This relates to the ministry's limitation in human resources as well as financial sources." She said this could be settled if each related ministry realized the importance of a women's role in every sector of the government.
All criticisms from the meeting would be followed up gradually because they involved all sectors of the government, Meutia said.
Despite all the weaknesses in CEDAW implementation in Indonesia, the meeting appreciated several steps taken by the Indonesian government in implementing the convention.
"They noted some improvements like the issuance of the 1999 Law on Human Rights, the amendment to the 1945 Constitution, the 2004 Law on the Elimination of Domestic Violence, the 2006 Law on Witness's and Victim's Protection and the 2007 Law on Human Trafficking."
Meutia also said Indonesia was credited for signing the CEDAW optional protocol in 2000 agreeing to CEDAW's supervisory role on the implementation of the convention.
Jakarta Post - September 25, 2007
Jakarta – Former President Megawati Soekarnoputri tops the list of Indonesia's 99 Most Powerful Women, according to the October edition of GlobeAsia business magazine.
The country's first female president and currently chairwoman of the its second largest political party, the Indonesian Democratic Party of Struggle (PDI-P), Megawati exerts great influence and power in terms of determining national political discourse and appointing high-level government officials, the magazine says.
Her power was once again displayed when she was recently nominated by her party to run for the 2009 presidential election. Although she is unlikely to have a big opportunity to once again win the presidency, no one should write her off as she remains one of the few true leaders in the country, the article says.
Finance Minister Sri Mulyani Indrawati and First Lady Kristiani Herawati Yudhoyono also feature prominently in the list. Both women are regarded as wielding significant power, both through their professional lives and through their closeness to the President.
"It is amazing that Indonesian women have played such a significant role in Indonesian society – from politics, to business to society," the magazine's executive chairman Rizal Ramli said in a media statement.
The includes women working in a wide range of fields. Celebrities, social workers and artists all feature. Entrepreneurs dominate the list with 45 entries, followed by 35 social activists and 19 politicians. The women were judged on their contributions to economics, politics and society to make it on to the list.
| War on corruption |
Jakarta Post - September 29, 2007
Jakarta – Attorney General Hendarman Supandji, National Police chief Gen. Sutanto and Chief of the State Development Finance Comptroller (BPKP) Didi Widayadi signed Friday an agreement to better handle corruption cases and to work together. "There have been frequent incidents... of corruption cases repeatedly returned for revision because BPKP, police and AGO investigations had different perceptions over the criteria of state losses," Hendarman told detik.com.
"In the future, such differences are expected not to happen anymore. So, immediately upon receiving reports... the police, the AGO and the BPKP will hold a joint meeting to discuss further legal actions into the reported graft case," the Attorney General said.
Jakarta Post - September 28, 2007
Jakarta – Constitutional Court chairman Jimly Asshiddiqie said Thursday people should not expect too much regarding the UN and World Bank's scheme to uproot former president Soeharto's alleged illegal assets kept at banks overseas.
"Don't be impulsive on this matter," Jimly said. "The data the UN and World Bank used as part of their initiative is old. Probably they are of no use anymore. Hasn't the issue become stale? We've been in the era of reforms for nine years. Why have they just brought out the initiative now?"
Despite his grievances however Jimly said the country should still respect UN and World Bank efforts. He said President Susilo Bambang Yudhoyono and World Bank president Robert Zoellick had talked about the initiative, but not in great detail. "You can ask questions to Zoellick when he visits Jakarta," Jimly said.
Jakarta Post - September 28, 2007
Jakarta/Yogyakarta – Constitutional Court President Jimly Asshiddiqie said Wednesday's arrest of Judicial Commission member Irawady Joenoes on bribery allegations was a reminder of the constant need to guard against corruption.
"Everyone should be more aware. Although a person has a 'clean' reputation, he may one day turn the other way," Jimly said Thursday after a breaking of the fast gathering at his Jakarta residence.
"Don't perceive that someone's good reputation will always stay good. This also goes for those with bad track records. Someday they can also do something good."
The Corruption Eradication Commission (KPK) arrested Irawady, head of the commission unit responsible for monitoring judicial behavior and integrity, at a residence in South Jakarta.
Irawady, 67, allegedly received a payoff in a deal involving a plot of land in Central Jakarta the Judicial Commission purchased for its office. The suspect is currently being held in the Jakarta Police detention center.
"A damaged reputation is difficult to overcome, so one's integrity should be a high priority. The legal and organizational aspects in Indonesia should be improved continuously," Jimly said.
In Yogyakarta, the chairman of Gadjah Mada University's Anti- Corruption Study Center, Denny Indrayana, said the KPK should continue to actively seek to trap corrupt officials. "This includes police officers, prosecutors or judges involved in corruption," he said.
Denny said Irawady had clearly been caught off-guard accepting bribes, pointing out he had US$30,000 inside his pocket and Rp 600 million ($65,500) in a small bag.
Denny said Irawady's arrest was a blow to the commission, which functions as a judicial watchdog and a selection committee for higher court judges. "This shows that even the Judicial Commission's members are not absolutely free from corruption," he said.
Commission chairman Busyro Muqoddas said Irawady's office had been sealed off to secure any possible evidence. "Who knows, the KPK might need more evidence later on. We'll let the room stay as it is and protect it so the KPK can work better," Busyro told Antara.
Busyro said Irawady was initially opposed to the Judicial Commission purchasing land at Jl. Kramat Raya 57 for its office, but later changed his mind. The commission bought the land for about Rp 46 billion from Freddy Santoso, who was arrested at the same time and location as Irawady. Freddy reportedly confessed to members of the graft body after his arrest that he had paid off Irawady.
Jakarta Post - September 27, 2007
Desy Nurhayati, Jakarta – Indonesia scored worse on the latest Corruption Perception Index (CPI), but the figure is still better than five years ago, an annual global survey by Transparency International revealed Wednesday.
Of the 180 countries in the survey, Indonesia placed 143 with a CPI of 2.3, a slight decline from 2.4 in the 2006 survey, which featured 163 countries.
The CPI, ranging from zero to 10, reflects public perception of a country's commitment to fight corruption involving government officials. The index is defined as a perception by analysts and businesspeople about corruption levels in a country, especially in the public sector.
The survey is a compilation of results from 14 surveys by 12 independent agencies worldwide. Indonesia, along with 71 countries scoring below three, is considered among the most corrupt. The country received its lowest score of 1.8 in 2002.
Denmark tops this latest list with a score of 9.4, together with Finland and New Zealand. The lowest score was 1.4, by Myanmar and Somalia.
Todung Mulya Lubis, head of the organizing committee at Transparency International Indonesia, said this latest survey indicated people were losing faith in government efforts to handle corruption.
"The public still considers the government has yet to do its best to tackle corruption, seeing there are still many 'untouchable' corruptors, those who are not being sentenced at all or are being acquitted," Todung said in a press conference.
"And it is not easy to change such perceptions, which have shaped for years. It will require the government's consistency in tackling corruption. But in fact, the government is consistent in being inconsistent."
"We have enough laws against corruption, we have enough institutions. But the main problem is the lack of integrity. Efforts by police, prosecutors and the Corruption Eradication Commission to fight corruption have not been seen by the public as a great achievement."
He said after three years of President Susilo Bambang Yudhoyono's term, there had been few success in the corruption fight, despite the President's promise to make it his top priority. He urged the President to directly lead anti-corruption programs and to actively monitor their implementation.
Todung said bureaucratic reform and transparency in the country's financial management also need to be improved to minimize the opportunity for corruption, notably in public services.
Corruption Eradication Commission head Taufiequrahman Ruki said Indonesia was once again being embarrassed by the results of the international survey.
"Our movements in handling corruption have been very 'noisy' but with few results," Ruki said. "Learning from other countries, strong political will by the President and support from law enforcers are the key to combating corruption."
Jakarta Post - September 27, 2007
New York – A joint mission of the World Bank and the United Nations Office on Drugs and Crime (UNODC) will visit Indonesia in December to set up specific programs under the new Stolen Asset Recovery (StAR) initiative.
President Susilo Bambang Yudhoyono on Tuesday met World Bank President Robert Zoellick on the sidelines of the UN General Assembly.
Foreign Minister Hassan Wirayuda said no specific stolen asset cases would be discussed, with the visit focused more on strengthening Indonesia's asset recovery team.
Former president Soeharto was listed in a UN document that alleged he stole up to US$35 billion during his 32 years in power.
The StAR initiative is a new program under the World Bank and the UNODC aimed at helping both developing and developed benefit from the implementation of the 2003 United Nations Convention Against Corruption (UNCAC).
Indonesia is a party to the UNCAC and will host the upcoming Second Session of States Parties to the UNCAC, to be held in Bali next January. Hassan said the World Bank would co-sponsor with Indonesia this UNCAC meeting in Bali.
Indonesia has expressed interest in participating in the StAR initiative, especially to strengthen its capacity to trace, freeze and recover stolen assets being held in foreign jurisdictions.
According to a joint announcement released after the meeting, Yudhoyono and Zoellick also discussed the bank's new Country Partnership Strategy to support Indonesia's development priorities in the coming years.
The partnership strategy has a particular focus on the areas of poverty reduction, governance reform, environmental sustainability, infrastructure investment and private sector development.
The bank also pledged to support Indonesia's initiatives to reduce greenhouse gas emissions from deforestation by providing technical and financial support. Indonesia is taking these forestry initiatives ahead of the upcoming UN Convention on Climate Change in Bali in December.
Yudhoyono shared Indonesia's forestry initiatives with 10 other tropical rainforest countries on the sidelines of the UN Climate Change Convention in New York on Monday.
Jakarta Post - September 25, 2007
Jakarta – An organization of scholarship recipients filed Monday a lawsuit intervening in a current civil suit against former president Soeharto over the alleged misappropriation of Supersemar Foundation funds.
"We want to be included as one of the parties in the trial because this trial is closely connected to us as former and current recipients of the scholarship," lawyer for the Association of Students and Alumni of Supersemar Scholarship Receivers, Munir Fuady, told the trial.
The association was established on March 28, 1979, in Malang, East Java, by former recipients of the scholarship, and is believed to have approximately one million members nationwide.
Munir said the association would prove members had received the scholarship and had been using it in compliance with regulations. The association would also try to clarify the use of funds throughout the foundation's three decades of operation by showing the financial reports of scholarship recipients.
Soeharto established the Supersemar Foundation in 1976 through a government regulation. The foundation's aim was to give educational assistance to high-performing students from middle- and low-income families. The foundation gathered its funds by collecting donations from the country's businessmen.
State prosecutor Dachamer Munthe said the lawsuit had hit the wrong target, as prosecutors were not accusing scholarship recipients of any wrongdoing.
"I hope the scholarship recipients are not worried about their status because we are only dealing with the alleged misappropriation of funds by Soeharto and the foundation's board," he said during the trial.
Dachamer said the government had evidence Soeharto misused donations by transferring funds to several companies linked to him.
Funds totaling US$420 million and Rp 185.91 billion ($20.31 million) were transferred to PT Bank Duta, Sempati Air, PT Kiani Lestari, PT Kiani Sakti, PT Kalhold Utama, Essam Timber and PT Tanjung Redep Hutan Tanaman Industri.
Dachamer said prosecutors were demanding Soeharto reimburse the transferred funds to the government and pay another Rp 10 trillion in state immaterial losses.
"The foundation would have been able to use this huge amount of money if it was not being transferred to these companies. Just imagine how many thousands of other needy students could have been sponsored in the country without the transfer of this money," state prosecutor Johanis Tanak said during the trial.
The prosecutors also asked the panel of judges to issue an order to confiscate the foundation's assets, including the Granadi Building in the Kuningan area, South Jakarta, which houses the offices of other Soeharto foundations.
Agence France Presse - September 24, 2007
Jakarta – The Indonesian government sought Monday for ex- dictator Suharto and a charity he chaired while in power to hand over 1.4 billion dollars in stolen assets and damages in a civil suit against them.
State prosecutor Dachmer Munthe, reading an indictment at the opening hearing, said that Suharto and the Supersemar Scholarship Foundation misused 440 million dollars. "The first and second defendants (Suharto and the foundation) utilised funds that were gathered... against the aims of the foundation," he said.
Munthe said the government was also seeking additional damages of 10 trillion rupiah (one billion dollars). The prosecutor alleged that the foundation had distributed funds meant to go to needy students to private companies from 1982 to 1993.
"If that money can be recovered, there will be more than a thousand people who could obtain scholarships," Munthe added.
The recipients included an airline owned by Suharto's youngest son that went bankrupt, an ailing bank in which the foundation had stakes and paper and pulp companies linked to a close Suharto crony, Muhammad "Bob" Hassan.
At the trial, a group representing former and current recipients of scholarships from the foundation presented a demand to be involved in the lawsuit as plaintiffs, apparently fearing they could be asked to return the funds they received.
Judge Wahyono, who is heading the panel of judges hearing the case, accepted the intervention and said a decision would later be made as to the position of the group in the suit.
The civil suit represents apparently revived efforts by the government of President Susilo Bambang Yudhoyono to bring Suharto to justice, although analysts have been doubtful that the case – resting on evidence decades old – will succeed.
A long-running criminal case against Suharto was abandoned in May last year on health grounds, triggering widespread criticism of Yudhoyono.
In a surprise ruling earlier this month, the Supreme Court awarded Suharto about 106 million dollars in damages in a libel case against US-based Time magazine, which alleged in a 1999 article that the ex-president and his family had stolen up to 73 billion dollars.
The ageing Suharto stepped down amid violent protests in 1998 after a 32-year rule. A successful case against him would be seen as a symbolic step to improving Indonesia's dismal corruption record.
Jakarta Post - September 24, 2007
Dwi Atmanta, Jakarta – Few, it seems, share the concern of New Order critic George Junus Aditjondro, who has been warning of the momentum former president Soeharto has gained to strike back following his court victory over Time magazine.
Look at the way many political leaders attacked the release of the UN-World Bank list of the world's most corrupt leaders recently, which unsurprisingly included Indonesia's longest serving president.
Soeharto topped the infamous list, which also includes other leaders, both current and former, of developing nations in Asia, Africa and Latin America. Many would question how the UN and the World Bank came up with the roster, but few would believe the two international institutions would risk wrecking their credibility.
Politicians, ranging from members of Golkar, Soeharto's political machine during his heyday, to those who claim to have resisted his authoritarian regime in the past, lined up in defense of the former dictator in the name of national pride. They said they suspected the joint UN-World Bank initiative was a black campaign against Indonesia and other developing countries.
Only nine years ago, when "reform" was the word on everyone's lips, many figures denied any link to Soeharto, even demanded investigations into his alleged corruption, as they struggled to make break with the past.
Many showed the face of Brutas (or Judas). Few were brave enough to show respect for or defend Soeharto in public. That many have regained their courage and confidence to fight for Soeharto is evidence of the unsustainability of the reform movement.
The worrying signal of Soeharto's resurgence therefore does not necessarily come from the former president himself, due to his reportedly poor health, but from the influence he still wields.
The fact that no president who has succeeded him has been able, or perhaps are reluctant, to bring him to justice is just an example of his prevailing power.
Soeharto's most phenomenal legacy is the kleptocracy, where "KKN" (corruption, collusion and nepotism) and the abuse of power are the order of the day. He might have helped propel the country's economic engine, but he took too much in return for his family and friends.
The government has changed several times since Soeharto stepped down, but the corrupt mentality he condoned, if not cultivated, remains as deep-rooted as it was during his tenure. Few would argue the gravity of corruption and its aggravating effects on the executive, legislative and judicial branches.
The reform movement, which was aimed at rooting out KKN, only made changes to the actors. The script is the same – illegal levies, red-tape, "grease money", kickbacks and gratuities remain common. Look the international corruption perception index, where Indonesia regularly finds itself at the top, or at rankings of business competitiveness, where the country is at the basement level.
A local cigarette manufacturer has even alluded to the tradition of corruption in one of its advertisements. The slogan – "If it can be made complicated, why simplify it?" – comes to mind whenever one renews ones ID at the local district office.
The fight against KKN is met with an opposition, not only from a stubborn bureaucracy, which is reluctant to lose its benefits and privileges, but also from those holding legislative and judiciary powers.
Like government employees who are ordered to pay a certain sum of money for a promotion, many politicians are prepared to spend a lot on a legislative seat as it is deemed a lucrative gold mine. In the judiciary field, the presence of the so-called court mafia is an open secret.
Under the administration of President Susilo Bambang Yudhoyono, the anticorruption has stepped up a gear. A number of active governors, regents, legislative members, prosecutors, police generals, a judge, former ministers, a former ambassador and a former military officer have been prosecuted or sentenced for corruption.
The aggressive investigation into officials and persons accused of stealing state money is a battle to win the war on the corrupt mentality Soeharto helped breed.
Winning the war requires more than law enforcers with integrity. First of all it needs leadership that has the courage to act against Soeharto, just to show the nation nobody can escape justice or is above the law.
Soeharto's great contribution to the country seemed to pose a psychological barrier for the last four Indonesian presidents and prevented them from bringing him to justice, but it is apparent such considerations justified their lack of action.
There was a joke about the Soeharto children who complained to their father he had not fulfilled all their requests. Curious, Soeharto asked: "What else I can give to you?" One the children replied: "We want a shameful feeling." After taking a deep breath, Soeharto said in remorse, "That is the only one I don't posses."
Imagine how we could eradicate corruption if no one any longer considered it an offense. When that happens, it is Soeharto, the smiling general, who will have the last laugh.
| Islam/religion |
Jakarta Post - September 29, 2007
Panca Nugraha, Mataram – After performing the asyar afternoon prayers in a small mosque, Syahidin, 38, returned to his quarters and took his daughter from his wife, Senah, 30.
He rocked his baby to sleep in the yard of the transmigration center in Mataram, West Nusa Tenggara, as his wife prepared food for breaking the fast. "This is our third daughter. Her name is Transiti Mariam Sudikah, named after the transit center where she was born," Syahidin told The Jakarta Post.
Transiti, born Aug. 13, is one of four children born at the Mataram transmigration center to parents of the Islamic sect Ahmadiyah.
As many as 58 families from the sect, which follows the teachings of Mirza Ghulam Ahmad Qadiani, are taking refuge at the center. They were driven from their homes in Ketapang village in West Lombok in early February 2005 because the sect is considered heretical by Islamic authorities.
This is their second Ramadhan at the center. Little has changed from last year. The atmosphere is relaxed as the Ahmadiyah followers go about their religious devotions.
A group of men sat talking in the mosque, some looking after their children. In the communal kitchen, women prepared food to break the fast. Dozens of children played in the yard, but not too rough because they had all bathed and were neatly dressed.
"This is our second Ramadhan as refugees. We have accepted our destiny. We are resigned to our fate and no longer demand anything (from the government). If the government wants us to be refugees for the rest of our lives, we're ready," said Syahidin. Food aid from the West Nusa Tenggara Social Welfare Office stopped in January this year.
Sect members submitted a proposal for the resumption of assistance, but there has been no response from authorities. Group members are doing what they can to support themselves and their families.
"Some of the household heads are doing construction or working as laborers, while others have set up small businesses. Housewives who are still strong sell vegetables at the market and some work as porters," said another refugee, Suhaidi, 38.
Suhaidi is working as a construction laborer to earn the money for the upcoming birth of his child. His wife is in the eighth month of pregnancy.
The refugees may be able to cover their food expenses but not health and education costs. Most of them no longer have the identity cards necessary to qualify for medical cards or education assistance for their children.
"Our Ketapang ID cards have expired and can no longer be extended. The Majeluk subdistrict administrative office refuses to provide us with ID cards on the grounds that we are refugees. Eventually, we have to pay for medical expenses," said Suhaidi.
Syahidin paid more than Rp 2 million (about US$220) for Transiti's delivery at Mataram General Hospital. He was not allowed to bring Transiti home before settling the hospital bill.
Of the 26 school-age children at the refugee center, five have been forced to drop out of high school because they can not afford the school fees. The children are also dealing with the trauma of seeing their homes in Ketapang torched.
"I would prefer spending Ramadhan and Idul Fitri at our home in Ketapang, but I get scared whenever I remember our homes being burned down," said third grader Sabhan.
The call to the magrib dusk prayer echoes from Transito Mosque and the Ahmadiyah followers gather to break their fast – the men sitting in the mosque, the women and children on its porch. Teenagers hand out water and dates in plastic containers.
"We have done everything we can, such as approaching the authorities, including sending a letter to the President, but to no avail. So now we urge followers to resign to their fate and sincerely accept the tests from God," a member of the West Nusa Tenggara Ahmadiyah board of advisers, Maulana M. Saiful Ulum, told the Post.
There are 88 Ahmadiyah families in West Nusa Tenggara, 55 of them living at the Mataram transmigration center, 15 at the former Praya Hospital on Lombok island and the rest scattered around the province.
Jakarta Post - September 27, 2007
Jakarta – Indonesia's local television stations have been accused of airing "indecent elements" in programs during Ramadhan and the Indonesian Ulemas Council (MUI) has asked them to stop it.
"During the first 10 days of the fasting month, we found that many of the programs still contained scantily clad performances, violence and supernatural elements that are incompatible with Islamic norms and shouldn't have been aired," MUI chairman Amidhan said Wednesday.
Amidhan was speaking at a press conference on TV programs monitoring with the Indonesian Broadcasting Committee (KPI), which said it would investigate the list of programs collected by the MUI and would act where necessary.
But Amidhan said, "Only 10 percent of (television) content (we monitored) could be considered educational. Therefore, we ask parents to be more selective about which programs they allow their children to watch."
The MUI listed more than 20 programs aired on almost all domestic stations, including sinetron local soap operas, music programs, popular local talk shows and Ramadhan specials.
The Ramadhan specials included performances, scenes or dialogues that would have a bad influence on the younger generation, the MUI said.
The high number of these "indecent programs" had reportedly not only stirred up concerns in Indonesia, but also in Malaysia, Amidhan said. "Malaysians are so fond of Indonesian's soap operas, they had been influencing their way of life."
Deputy chairwoman of KPI Fetty Fajriati Miftach said the commission would take strong measures against inappropriate programs. "We will examine the list made by the council, and if we find (legal violations)... we will send (TV stations) a notification letter, before reporting them to the police," she said.
The KPI said TV station management would be given up to one week to reply to as many as three separate letters. Fetty said if the programming continued despite warning letters, the police would be brought in.
Operators that violate the 2002 law on broadcasting could be sentenced to five years in prison and fined up to Rp 10 billion (US$1.09 million). Radio station operators could face five years in prison and fines up to Rp 1 billion.
Survey company AGB Nielsen conducted in May a survey which showed domestic programs were still a favorite for domestic audiences. The survey showed sinetron was no longer dominant. Between January and April this year, a decrease in the number of supernatural-themed programs was documented.
Fetty said the MUI's monitoring conducted during Ramadhan would continue to focus on TV operators.
"Television is the easiest media to access. It is available in almost every home in the country. If someone watches television more than four hours a day, in some ways it may change their behavior. For example, if someone watches programs containing violence, then violent behavior would emerge," she said.
Jakarta Post - September 26, 2007
Muhammad Nafik, Jakarta – During the fasting month of Ramadhan in Indonesia, it seems everything is focused on the country's Muslim population.
Malls and hotels run with Ramadhan themes all month and make sure their services cater to the needs of Muslims. Television stations broadcast Islam-themed programs all day and all night, including music shows and comedies.
Muslims crowd into mosques for tarawih evening prayers, which are carried out very loudly. The calls of imam and sermons from clerics are broadcast throughout most neighborhoods over sound systems, as are Koranic recitations.
Groups of teenagers march through the streets from 2 a.m., banging traditional beduk drums, pails and other instruments to wake up members of the Muslim community for sahur (predawn meals).
We, Muslims, often do not feel guilty for disturbing others, including fellow Muslims, when we are involved in such activities. We are rarely aware that to some degree we are acting beyond the limit of tolerance.
Ramadhan creates a lot of difficulties for nightclubs, bars, cafes and other amusement centers, not to mention the workforce employed in such sectors. These businesses must close entirely or limit their hours of operation so as not to spoil the sanctity of the fasting month. Restaurants and food stalls in this predominantly Muslim nation also often fall prey to public order officers conducting raids.
Ramadhan, which is meant to be a time for Muslims to exercise self-restraint and introspection, sometimes turns unfriendly as many local governments evict low-income residents on the grounds of disrupting public order. Acts against vice intensify and strangely affect other groups, including daylight food vendors, during the holy month.
In Pekanbaru, the capital city of Riau, public order officers backed up by the military ransacked food stalls and coffee shops on Sept. 18. Customers stopped visiting the venues in fear of also being arrested.
The move followed a circular issued by Mayor Herman Abdullah banning restaurants and amusement centers from operating during daylight hours throughout Ramadhan. He threatened to revoke the business licenses of anyone defying the regulation.
On Sept. 17, arrests were also made by authorities in Banjarmasin, South Kalimantan, after they raided food stalls. Detained vendors were jailed for three months or fined Rp 500,000 each.
The radical Islam Defenders Front (FPI) has continued attacks on nightclubs this year, like during previous fasting months. The FPI activists, too, did have their share of the spotlight earlier this month when they raided the homes of al-Wahidiyah followers. Based in Tasikmalaya, West Java, al-Wahidiyah is an Islamic sect which the hard-line group claims is heretical.
Government officials have insisted that raids on food stalls and amusement centers are aimed at paying respect to Ramadhan and ensuring a "conducive environment" for Muslims to observe the holy month.
However, the policy itself has disrupted the solemnness of Ramadhan and affected Muslim workers and their families as it has not compensated those it has targeted.
The move to ban or limit the operation of entertainment centers during Ramadhan has caused many people, including Muslims, to lose their jobs, making it hard to celebrate Idul Fitri or contemplate the future. Food vendors and owners of small restaurants have also suffered and sooner or later may be forced to close due to the ban.
The closure of food stalls and nightclubs does not make sense as many Muslims do not fast for a wide array of reasons, which are permissible under Islam. Moreover, such a ban on food sales during Ramadhan has no legal basis in Islam.
So why have authorities proceeded with such raids? Are they just overacting or is it hypocrisy on their part? Perhaps they think such tough measures are a way to adhere to Islamic teachings, when in reality they are corrupt.
For whatever reason they act, they have failed to restrain themselves or control their nafs (passion), which is a core aspect of Ramadhan. They do not bring peace, share happiness or promote tolerance within society, which are all mandatory aspects of observing Ramadhan.
The fasting month should be an ideal time to foster mutual respect between those who fast and those who do not fast. Mutual respect cannot be reached with the use of force. It is reached through sincerity. The use of force is an act of tyranny, which Islam does not condone. The Koran itself says there should be no coercion in religion.
Respect cannot be obtained by hurting, intimidating or victimizing others, including under the guise of religion.
Padang food restaurants set a good example of how mutual respect works in Ramadhan. Generally they change their hours of operation or shut entirely during the fasting month.
Instead of banning food stalls during Ramadhan, it would be better to allow businesses to operate as usual. This would test our capability to control our nafs.
The more challenges we face, the more rewards we get. On the contrary, the less challenges we face, the more vulnerable we are to temptations or indulging in our nafs, which is certainly a source of human destruction.
[The author is a staff writer at The Jakarta Post. He can be reached at nafik@thejakartapost.com.]
| Elections/political parties |
Jakarta Post - September 25, 2007
Ridwan Max Sijabat, Jakarta – The deliberation of the bill on legislative elections at the House of Representatives turned into a tense situation when the special committee assigned to read the bill and the government began discussing strategic issues Monday.
The 50-member special committee presided over by Ferry Mursyidan Baldan of the Golkar Party, was at odds over the electoral and legislative thresholds with small political parties wanting to phase out the electoral threshold claiming it contradicted true democracy.
Ryaas Rasyid, a legislator and chairman of the Democratic Unity and Nationhood Party (PPDK), called on major factions and the government to phase out the thresholds which he said contradicted the 1945 Constitution and restricted minority parties in participating in general elections.
"All legal requirements restricting the establishment of political parties and their eligibility in general elections are really against the Constitution and democracy, which should facilitate, rather than restrict, political parties in participating in elections.
"Let the parties be selected fairly and let the public determine the parties that are eligible to channel their political aspirations and form a democratic government," he said.
Ryaas' political argument was amplified by Pastor Saut Hasibuan of the Prosperous Peaceful Party (PDS), also a minority faction at the House. Pastor said the legal requirements for parties to contest elections were too restrictive and gave no opportunity for minority parties to evolve into bigger parties.
Both Ryaas and Pastor were apparently unaware of the proposed 5- percent threshold which would come into effect in 2014.
Meanwhile, parties contesting in the 2009 legislative election are required to hold 3 percent of the seats at the House as set by the 2003 Legislative Election Law.
Of 10 factions in the House, PPDK, PDS and the Reform Star Party (PBR) will not be eligible to contend the 2009 legislative election for their failure to meet the electoral threshold.
The law also requires parties headquartered in Jakarta to have chapters in 75 percent of the country's provinces and branches in 75 percent of the regencies and municipalities in the provinces. The parties must also have at least 1,000 members in each regency or municipality.
Major factions defended the proposed 5-percent electoral threshold and a legislative threshold to achieve a simple multi- party system in order to form an effective government with strong political support from the House.
Sutradara Ginting of the Indonesian Democratic Party of Struggle (PDI-P) hailed the higher electoral threshold in legislative and presidential elections, saying an effective government could be formed only with a strong base of support at the House.
The Golkar Party faction has proposed a 1-percent legislative threshold to allow parties to send their legislators to the House while the Prosperous Justice Party (PKS) faction proposed 3 percent.
Both factions said parties failing to meet the legislative threshold should form a coalition with other parties to form a faction at the House.
Jakarta Post - September 24, 2007
United Development Party (PPP) chairman Suryadharma Ali and several party elites visited the residence of former president Megawati Soekarnoputri in Central Jakarta on Monday. The visit was made a week after PPP held a national coordination meeting and the Indonesian Democratic Party of Struggle (PDI-P) nominated Megawati as its presidential candidate in the 2009 election. Suryadharma, who is also State Minister of Cooperatives and Small and Medium Enterprises, talked Tuesday with The Jakarta Post's Ridwan Max Sijabat about his meeting with PDI-P's top brass and the party's preparations for the 2009 elections.
Question: Was your visit to Megawati's residence part of PPP's preparations for the 2009 general election?
Answer: No, really it was not. It was a silaturahmi (friendship) visit to return a visit from (PDI-P's chief patron) Taufik Kiemas and fellow PDI-P executives to PPP's headquarters several months ago.
The visit was made to enhance friendship and brotherhood among elite figures in both parties.
But why was a visit made to PDI-P and not other parties?
PPP has close ties with PDI-P which date back to the era of founding president Sukarno. These ties were concreted by the appointment of Saifuddin Zuhri as religious affairs minister from 1962 until 1967 by Sukarno (Megawati's father). Zuhri, who died in 1986, was one of PPP's senior figures and was the father of Lukman Hakim Saifuddin Zuhri, the current chairman of the PPP faction in House of Representatives.
The two parties continued to maintain close ties during the New Order era and the Reform era. It was not by accident that Megawati took then PPP chairman Hamzah Haz to be vice president between 2001 and 2004.
But PPP is also enhancing ties and cooperation with other nationalist and Islamic parties as part of its commitment to nation building and improving the people's social welfare.
Will you seek a coalition with PDI-P in the 2009 presidential election?
The general election, particularly the presidential race, is a long way away. What we are doing is enhancing friendship and strategic cooperation with all parties and building a common understanding on serious problems the nation is facing. We have a wider perspective than forming such a political coalition.
What are your thoughts on your party's plan to nominate you as its presidential candidate in 2009?
A: PPP is yet to nominate its presidential and vice presidential candidates. There will be a forum, a national congress in April for that purpose. The recent coordination meeting was not the forum to announce the party's presidential candidate. Rather, it was to develop internal consolidation ahead of local elections and the 2009 general election.
We are developing a bottom up policy-making mechanism by letting party members elect their own leaders, both at the national and regional levels.
But are you going to be named as the party's presidential candidate?
A: We rely on the political aspirations of people at the grass roots level (to make such decisions).
Most important is that the party's executive board has taken measures to consolidate the party and encourage party executives at the lowest level to work harder to maintain party members and regain the party's swing voters in the 2004 general election.
We will closely monitor whether our consolidation programs are carried out well in party chapters, branches and units. This internal consolidation must be completed by the end of this year so that the party will be prepared in 2008 with its strategy for the 2009 general election.
Q: What is PPP's target in 2009?
During the recent coordination meeting, we set the target of winning 15 percent of total votes in the 2009 legislative election. This is reasonable because through internal consolidation and coordination, we can improve our achievement of 8.15 percent in the 2004 legislative election, if compared with the party's 27 percent achievement in the 1977 election.
If we achieve our target of 15 percent of seats in parliament, this will allow the party to nominate its own presidential candidate in 2009. However, PPP is open to cooperation (forming a coalition) with other winning parties for the sake of the nation and the formation of an effective government.
What will PPP do to reach its target?
PPP has emerged as a nationalist religious party which is open not only to Muslims dressed traditionally, but also people who dress in a modern style. We are promoting PPP as an inclusive party for all.
PPP is also a safe house for non-Muslims... to fight for their aspirations.
What will you do as a Cabinet member if you are asked by PPP in April 2008 to be its presidential candidate?
It remains uncertain who will be named by the party to be its presidential candidate in 2009. Secondly, we have to listen to the people's political aspirations regarding the nomination of candidates. Thirdly, my nomination should not disturb my (working relationship) with President Susilo Bambang Yudhoyono.
Can you explain potential cooperation between PPP and other major parties in the 2009 election?
Major factions at the House have established a caucus to discuss strategic issues in line with the ongoing deliberation of four political bills and the law and regulations regarding the General Election Commission (KPU). Strategic issues include the party system, better and fairer general elections, the formation of an effective government and the development of a true democracy.
What do you think an ideal party system would be?
We need to develop a simple multiparty system to form an effective government with strong political support from the parliament in the future. We have to develop a substantive democracy to improve the social welfare of the majority of the people.
What kind of democracy does PPP want to pursue?
Democracy must be developed to strengthen the presidential system with the people's recognition of our unitary state and respect of pluralism as its pillars.
Crucial things which are ignored in developing democracies are mutual respect and the exercise of freedom.
Staging protests is a good and relevant action. However, many protests, staged by groups of people to express their aspirations and freedom, in reality do not respect the freedom of others. Besides being anarchistic, protesters have frequently ignored other people's safety and interests.
Can you imagine how much time and fuel motorists have wasted in traffic jams caused by street protests?
All elements in society should practice reciprocal respect, tolerance and law enforcement when exercising their freedom and working to develop a true democracy.
| Economy & investment |
Jakarta Post - September 28, 2007
Jakarta – Strong commodity exports and an influx of foreign funds into the local capital markets pushed Indonesia's balance of payments during the second quarter to a surplus of US$3.63 billion, the central bank reported Thursday.
The surplus resulted from the current account – the balance's component of goods and services trade and other transfers – rising to $2.55 billion from $1.71 billion during the second quarter last year.
Indonesia's capital and financial account – the component of investments – also surged to $2.21 billion from only $25 million.
Adding to 2007's first quarter figures, the overall surplus until June reached some $8 billion, with Bank Indonesia expecting that figure to reach $11.49 billion by the end of the year.
Indonesia's foreign exchange reserves was at $50.92 billion and is expected to reach $54.36 billion by the end of the year. The latest figure, on Aug. 31, was $51.42 billion.
Triono Widodo, BI director for monetary statistics, said the current account surplus mostly came from non-oil and gas exports, which grew 20 percent on-year on strong global demand, and prices for Indonesia's commodities, which registered a $7 billion surplus.
Indonesia also saw gas exports at a $2.9 billion surplus, making the country a net energy exporter by offsetting an oil trade deficit of $1.6 billion. The deficit in services trade, meanwhile, rose to $2.8 billion and transfers saw a $3.1 billion deficit.
In the financial account, Triono said a rush of investors in a still liquid global market buying up Indonesian assets had increased the surplus in portfolio investments to $5.7 billion, from $700 million last year.
BI is however expecting a slight slowdown in both exports and portfolio investments in the second half due to the effects of the recent sub-prime mortgage crisis in the US which is threatening the country's economic growth.
The surplus in direct fixed capital investment also rose to $1.3 billion in the second quarter from $1.1 billion last year, due to an improving business climate.
Jakarta Post - September 27, 2007
Urip Hudiono, Jakarta – Another survey – this time from the World Bank – has confirmed that starting a business in Indonesia has become more difficult due to additional red tape, despite the country having improved its overall business and investment climate.
In its "Doing Business 2008" global survey published Wednesday, the World Bank found the time needed to set up shop in Indonesia has now increased to 105 days from 97 last year, as a result of a miscalculation by the government in its efforts to circumvent bureaucracy by delegating businesses licensing authority to the Justice Ministry's provincial offices.
A recent survey from the University of Indonesia's Economic Research Center (LPEM-UI) produced a similar result, with the process slowing to 86 days from 80 previously.
Starting a business in Indonesia requires a total of 12 procedures, and has one of the highest minimum capital requirements.
This compares with only 11 procedures within 50 days in Vietnam, 8 within 33 in Thailand, 9 within 24 in Malaysia, and 5 within 5 in Singapore – which, according to the survey, is also the world's best place to do business. None of these countries require a minimum capital requirement.
During a presentation on the LPEM-UI survey findings Tuesday, State Minister for Administrative Reform Taufiq Effendi said that the Justice Ministry had restored all business licensing authority to Jakarta.
He also said the government would continue to implement its package of reforms to improve the investment climate, and hoped to reduce the business start-up time to 25 days. Apart from having among the most complicated business start-up procedures in the Asian region, the World Bank's annual survey also shows that Indonesia still makes investors think twice when confronted with such issues as labor, infrastructure, financial access and land procurement.
The good news from the World Bank is that Indonesia has steadily improved its business environment, rising to 123rd out of the 178 countries surveyed, up from 135th last year.
Notable reforms include simpler construction licensing procedures, improved investor protection through market disclosure rules, better management of credit information by the central bank, and improved macroeconomic stability.
The World Bank's representative in Indonesia, Joachim von Amsberg, said further reforms could well lift the country out of the lowest quartile of countries.
To further improve the business start-up situation, the World Bank's lead financial economist for Indonesia, S.P. Srinivas, suggested the implementation of more "one-stop service offices" and the "parallel processing of licenses".
In terms of the minimum capital requirement for a business start-up, Srinivas lamented the fact that Indonesia's new Corporations Law doubles the amount required to Rp 50 million (US$5,000), thus discouraging small businesses from contributing to the formal economy.
The World Bank also suggested that Indonesia quickly enact its new tax laws, a new mining law providing for clearer contractual systems, a cyberlaw to support paperless procedures, and the necessary ancillary regulations for the newly enacted Investment Law.
Jakarta Post - September 26, 2007
Urip Hudiono, Jakarta – The effort to speed up the registration of businesses by delegating powers to the local level appear to have backfired, as the process of starting a business in the regions is now slower, costlier and more difficult, reveals a survey published Tuesday.
A question mark also hangs over improvements in taxation and customs processes, as more businesses now tend to simply bribe their way out of bureaucratic snags, according to the survey, which was conducted by the University of Indonesia's Economic Research Center (LPEM-UI).
The study finds that it now takes 86 calender days – or 62 working days – to get a business up and running with the proper basic licenses, as compared to 80 calender and 57 working days in 2005. The average time to register a limited liability company continues to be 45 working days.
"The additional time results from the delegation of power to register limited liability companies to the provincial offices of the justice ministry," LPEM-UI head Chatib Basri said when presenting the survey to the Coordinating Minister for the Economy Boediono, other relevant ministers and representatives of the domestic and overseas business community.
"The provincial offices lack the internal controls, equipment and skilled staff needed to operate an online system."
Inefficiency in the Justice Ministry offices added more than two weeks to the business start-up process, and led to more face-to- face contacts with officials, thus increasing the likelihood of corruption.
This canceled out the acceleration of between one and two days achieved in the issuing of tax file numbers, residency documents, and financing, and related licenses from local administrations.
As a result, 70 percent of the survey's respondents said they believed setting up a business in Indonesia had become slower, while 44 percent said it was more expensive.
The survey also revealed that more businesses were now willing to pay their way out of tax and customs problems. However, they considered Indonesia's overall economic situation as being better now. Some 38 percent of businesses now occasionally paid bribes, up from 20 percent in 2005, while those who never paid bribes dropped to only 9 percent from 19 percent. More than half said they paid bribes frequently.
However, most businesses said they spent less time dealing with tax problems and customs clearance procedures for exports, with delays in the green-lane channel reduced to 3.1 days from 6.1 days previously.
Bribes now account for 1.3 percent of production costs, compared to 1.7 percent previously, while costs incurred in handling labor problems rose slightly to 4.1 percent from 3.7 percent.
"It is interesting that the time spent on taxes and customs has fallen, while at the same time there are less respondents saying they never pay bribes, which could mean that more bribery is occurring," Chatib said.
The LPEM-UI survey was conducted in June-August on 589 manufacturing firms and 57 notaries' offices in Greater Jakarta, Surabaya, Medan, Semarang and Makassar.
It is the fourth such survey – the first being conducted in April-May 2005. The surveys are carried out every six months and are intended to monitor improvements in the investment climate.
| Opinion & analysis |
Jakarta Post - September 29, 2007
Bramantyo Prijosusilo, Ngawi, East Java – The end of September has always been a time of questions throughout Indonesia's political history.
Way back in the early days of the Republic, in the 1950s there was the debate about the brief "Madiun Affair" of September 1948. At that time Leftist forces attempted to build an Indonesian Soviet Republic in the East Java town of Madiun and were annihilated by government soldiers.
Although many at the time described the incident as a complex conflict, involving not only elements in the Indonesian military and Prime Minister Mohammad Hatta's government, but also the interests of the Western and the Communist blocks of the Cold War, Indonesian history – as taught in schools here – simplifies the tragedy as merely a "communist revolt".
Descriptions of the events of September 1965 that preceded the downfall of President Sukarno were simplified in a similar way during the New Order era of Soeharto.
During the height of power of the Soeharto government, Arifin C Noor's propaganda film Pengkhianatan G30S/PKI (The Treason of the Sept. 30 Movement/the Indonesian Communist Party) was aired on the state television channel (the only channel available), all over the country on that date. As if the monopoly of television broadcast was not sufficient, in many areas school children were marched to football fields to watch screenings of the film, depicting the deaths of Army officers on that last night of September 1965.
Although independent analysts and historians have offered many unanswered questions to illuminate those sad events, Indonesian official history has never mentioned the role of Soeharto, the US, the UK and the Cold War in the killings that engulfed Indonesia for most of the year following September 1965.
The massacre of hundreds of thousands (maybe even millions – no one knows for sure) of Indonesians leading up to Soeharto's rise to power was always described here as the "godless" communists getting what they deserved. Soeharto was always portrayed as a reluctant but decisive hero, who took command of the country not because he wanted to but because circumstances forced him to save the country from the specter of communism.
Soeharto's version of history never satisfied independent thinkers who sought to truthfully reconstruct the past. Trickles of information contrary to the official story began to seep through the "batik curtain" that Soeharto tried to cover this country with. Academics began to question Soeharto's own role in the mass-murders after a few inconvenient details of the events were published in the West. These included the post-mortem reports of the bodies of the murdered officers found in an old well on the Halim Perdanakusumah air base in Jakarta.
Upon finding the bodies there, Soeharto immediately went live on television and radio, describing the officers' bodies as having been tortured and mutilated, hinting that the atrocities were committed by members of the communist women's organization. These broadcasts served to whip up a frenzy of revenge and retaliation which ended only after many Indonesians had killed their neighbors in cold blood.
However, post-mortem (unpublished in Indonesia) notes that the kidnapped officers were killed in military execution style with a single, clean, bullet wound. Declassified files from the US and the UK later also described their involvement in giving technical and financial support to Soeharto.
The fall of Soeharto created an academic openness and suddenly all information available about his rise to power became publicly accessible. In 2004 the government published a reviewed national history curriculum and decided that it was no longer necessary to add a forward-slash PKI after mentioning the September 30 (G30S) incident. In March this year that decision was revoked and the Attorney General's Office banned all history textbooks based on the 2004 curriculum that failed to relate PKI to the attempted coup.
In several cities, government officials confiscated offending books and burned them. Although the burning of books is a most embarrassing occurrence for our fledgling democracy, only a few intellectuals appeared to consider this a cause for concern.
The 2004 curriculum was revoked not because of new evidence but because of the uncomfortable realization that the PKI was no longer being cited as the sole culprit of the tragedy. The truth was that several parties had motives and the opportunity to be involved in the fateful night of Sept. 30, 1965.
No definite conclusion on who is to blame has been accepted by independent historians to date. The kidnapping of the officers was done by members of the Tjakrabhirawa presidential detail, which means – at least on the surface – the execution of the officers was an internal military operation. This fact is probably what the powers-that-be would like to suppress.
Today, 42 years after the event, it appears that some are still unprepared to make an honest note in our history. It is absurd to force the opinion that the PKI was the sole perpetrator of G30S when facts blatantly suggest a more complex state of affairs. The 2004 curriculum was correct in opening space for academic discussion, and the banning and burning of books produced under it is a grave mistake.
If the truth about who really orchestrated the murders of the officers on the night of Sept. 30, 1965, is important, it is imperative that we don't conclude that the PKI is solely to blame. Burning books that state a different opinion is not something that an honorable government committed to democracy and the building of a civil society should ever do.
The government must apologize for its barbaric conduct in this matter, and reopen the questions surrounding G30S: Whodunit?
[The writer is an artist and farmer who lives in Ngawi, East Java.]
Jakarta Post Editorial - September 28, 2007
We accept the reality that our economic development lags behind Asian peers such as Malaysia, Thailand and China. We often joke around that we might have been overtaken by "new kids on the block" like Vietnam and Cambodia.
Now, we cannot joke anymore. Vietnam has really leap-frogged Indonesia, at least according to the Doing Business 2008 survey conducted by the World Bank and International Finance Corporation, which compared indicators across 178 economies from Afghanistan to Zimbabwe.
Indonesia ranks 123, behind Vietnam's 91. Our other peers are far ahead us. Malaysia, for example, sits 24, Thailand 15 and China 83. This is not to mention Singapore, which tops the list, and Hong Kong, which ranks fourth. Indonesia only fares better than countries like the Philippines (133), Cambodia (145), Laos (164) and Timor Leste (168).
But there is always a consolation. Indonesia has experienced a steady, albeit slow, progress in improving its business environment. Indonesia's overall "ease of doing business" ranking improved from 135 last year to 123 this year.
This mild progress has been supported by macro economic stability, government reform packages in the real sector, passage of investment law, tax and customs reforms as well as introduction of one-stop service in some local governments.
Indonesia's low rank is especially related to cumbersome entry procedures. The survey shows starting-up a new business in Indonesia is getting more difficult. It now needs 105 days to set up a legitimate shop in this country, longer than 97 days last year. With this worsening situation, Indonesia now ranks at the bottom among Asian countries in terms of starting-up a business.
This result confirms a previous survey by University of Indonesia's Institute for Economic and Social Research (LPEM-UI), which shows processing time for a new start-up business slows down to 86 days from 80 days previously.
This reality is especially worrying for Indonesia's economy. Such increasing barriers-to-entry simply prevent those in the informal sector from entering into the formal sector.
If these informal businesses continue to operate in the informal sector, they will not be subject to taxes, and therefore, it would be hard for the government to increase the country's tax ratio.
It is a stark irony. While the government, through the tax office, is trying so hard to expand the coverage of taxes, at the same time, it is making it difficult for informal businesses to go formal.
That's why, the tax office cannot really expand the tax base. It's only targeting those who are already paying taxes – just like hunting in the zoo. It cannot go after those in the informal sector, who like those in the illegal sector, such as gambling and prostitution, remain untaxed.
Barriers to entry are just many. Minimum capital requirement is one. This requirement is totally unnecessary because this automatically prevents micro businesses to go formal. In more advanced neighboring countries like Malaysia, Singapore, Thailand, Australia and Hong Kong, and even developing countries like Vietnam, a minimum capital requirement is just nonexistent.
So why do we require businesses to have a capital requirement in order to go formal? It might be just one of the ways to prevent new entrants into joining the lucrative tenders of the government procurements. This may satisfy existing contractors and also officials who regularly receive kickbacks from the contractors, but it is at the expense of more tax income for the government. So, the government needs to reconsider this minimum capital requirement.
Another problem, according to LPEM-UI, is the decentralization of licensing to the provincial office of the Justice Ministry. Inefficiency at these provincial offices added more than two weeks to the business start-up process, and led to more face-to- face contacts with officials, thus increasing likelihood of bribery and corruption.
Therefore, we suggest the government centralize again this licensing authority until the government is ready to implement safeguard measures to prevent corruption at local offices of the Justice Ministry.
The bottom line is cumbersome entry procedures in Indonesia are often associated with more corruption. Corruption is just at the root of the problem of doing business in Indonesia. As long as corruption remains rampant, we cannot expect our ranking in doing business to match the level of Malaysia or Thailand.
The latest survey by Transparency International Indonesia, which shows Indonesia scored worse on its latest corruption perception index, does not give much expectation. Unless we strive further to tackle corruption, we are afraid our standing in the Doing Business survey will not improve much – or it could even worsen, and we would be eventually taken over by other new kids on the block like Cambodia, Laos or even Timor Leste.
Jakarta Post Editorial - September 27, 2007
It will be a miracle if, in the next five to 10 years, Indonesian school children can learn about another Timor Leste story.
A new story is being investigated to combat the standard Indonesian text about the country's former 27th province. And this story can be seen unfolding through the Indonesia-Timor Leste Commission of Truth and Friendship (CTF) and its latest hearings held in Dili this week.
The Commission of Truth and Reconciliation of Timor Leste (CAVR) had its first public hearings a few years ago, though its government and parliament have yet to respond to the commission's findings. So the stories coming from the CTF process are not new, especially to the Timorese.
But it is through the formal setting of the CTF, appointed by two governments, that Indonesians have heard first-hand accounts of what happened in our neighbor's country – before and after the 1999 referendum leading to its independence.
The commissioners have been asked to filter what they hear and review findings from additional research. They also must review four documents including Timor Leste's serious crimes unit under its judiciary, the CAVR report, the report of the Indonesian government-appointed fact-finding mission on human rights violations to East Timor, and the report of Indonesia's human rights ad hoc court.
Regardless of the commission's final report, which is expected in January next year, since its first hearings late last year, Indonesians following the testimonies have been seen to squirm uncomfortably in their seats.
The story of 1999 is being aired as dirty laundry across the world – albeit including versions from Indonesian highly ranked and retired officers.
We hope the commission will be able to convince us – and the world – there's a sensible explanation for the Timor story offered to-date – which is the "NGO version" of Timor. And if the tales are true, would there be official acknowledgements of secret, "heroic" operations "to defend East Timor's integration" in the face of its separatist movement?
For as our soldiers were considered heroic in all the country's "hot spots" and respected no matter what, even the murdered activist Munir had seemed to give up on telling his fellow citizens an international tribunal for generals suspected of crimes against humanity was not such a bad idea.
We resisted, and the international community has today adopted a "wait and see" attitude, pending the report of the commission, but that attitude is accompanied by constant criticism and demonstrations.
The commission is however the first of its kind in the world, because it was set up by two countries – the former occupier and the newly independent nation.
But the United Nations has effectively boycotted the process, saying it cannot allow its personnel to testify on the grounds the framework of the CTF, which has no mandate to even recommend prosecution of individuals suspected of crimes, violates UN principles for justice.
The latest rallies this week sought to remind the public there can be no friendship without justice, and there cannot be justice without trial. There is no justice through "a political compromise", protesters said.
The repeated arguments of the commissioners are hard to fathom from the perspective of victims. Moreover, addressing victims themselves is not the mandate of the CTF.
Unlike other similarly-named commissions globally, "reconciliation" is not even part of its name. Accusations of a whitewash by the CTF of atrocities against Timorese will continue.
And they will only stop under on condition: if the honorable commissioners representing the two nations can come up with a credible report and a common understanding of what happened in 1999 and why.
What constitutes credible may be the main thing bugging all 15 members day and night – what could be a "common" ground between the highly emotionally charged version of the previously occupied, and the so far coolly detached, official version of a benevolent ruler? There is little chance now of having an impartial version without the UN presence.
The truth, or the version closest to it, will hurt – but this is the main mandate of the CTF. Perhaps then, the CTF would indeed be the first step toward friendship, as its supporters say, if the resulting report is credible. So far, however, it remains a big "if".
The CTF needs all the help it can get. The least we could do is give them the benefit of the doubt, and trust they will do their best.
Jakarta Post Editorial - September 25, 2007
The manner in which the Supreme Court and the Supreme Audit Agency (BPK) resolved their dispute through President Susilo Bambang Yudhoyono's mediation on Saturday does not bode well for the development of public finance management, which unfortunately remains weak and infested with corruption.
The resolution, in which the court agreed to open all of its financial records to be audited by the BPK, but only on the basis of a special government regulation (meaning presidential decree), sets a bad precedent that could be exploited by other state institutions or government agencies to avoid accountability.
The audit agency's scope of responsibility and job description are clearly outlined in the 2004 State Audit Law, and everything related to state finances and treasury management is governed by the 2003 State Finance Law and the 2004 State Treasury Law. The BPK does not need a special directive, approval or presidential decree to examine the Supreme Court's financial records.
The State Finance Law stipulates that any fees or levies collected by government or state institutions are state revenue, and this revenue shall be audited by the BPK as the sole external auditor of the government.
So when the Supreme Court refused to be audited by the BPK with regard to the court administrative fees it collected from parties involved in civil lawsuits, it was certainly against the law.
The Supreme Court argument that according to the Civil Code, administrative fees are not state revenue and hence an audit by the BPK is not warranted, is weak. Why would an institution like the Supreme Court, which is supposed to be an expert in legal matters, refer to the Civil Code and not the State Finance Law to obtain the legally correct definition of state revenue.
The court did not cite any other reasons – other than its own interpretation of state revenue – as to why it refused to be audited by the BPK.
The audit agency has often discovered problems related to the management of administrative fees or charges at other state institutions, but these were related to deferments in the transfer of the fees to the state treasury due to cash flow problems caused by overly rigid budget disbursement procedures.
Some government offices have been forced to withhold the administrative fees they raised much longer than allowed by regulations as a bridging finance for their operations until they received budget disbursements.
If this was the case, a solution should be sought through consultations with the treasury directorate general so that budget disbursements could be expedited without increasing the risk of non-tax revenue being embezzled or abused through corruption.
But for the Supreme Court simply to refuse to allow BPK auditors to examine its books with regards to the administrative fees it raises leads to unnecessary questions about the court's financial accountability.
Hence, BPK chairman Anwar Nasution did the right thing when he recently reported Supreme Court Chief Justice Bagir Manan to the police over his refusal to provide access to BPK auditors. Unfortunately, though, there seemed to be a reluctance and even confusion on the part of the police as to how to handle this dispute between the two supreme institutions.
The President's intervention in the dispute should be welcomed, as it will hopefully prevent the conflict from affecting the work of the two bodies. But ordering the finance minister to prepare a special government regulation or directive for an audit of the Supreme Court, as the President did, is not the most appropriate solution. It would have been much better to bring the dispute to the Constitutional Court.
The government must realize that transparency and accountability demand stringent public-reporting requirements and independent audits, and this should be reaffirmed in the special government regulation being prepared.