News Roundup: Electricity & Corruption Cases

Electricity tariff hiked 200%

State-owned monopolist PT Perusahaan Listrik Negara (PLN) had raised electricity tariffs for certain groups of customers almost 200 percent amid rejection from industries and suggestion from president Susilo Bambang Yudhoyono to postpone the tariff hike.
Tempointeraktif.com reported that electricity tariff for industries and big customers had been raised, temporarily, from Rp439 per kWh to Rp1.380 per kWh, for their daily usages from 11 PM to 4 PM.
The new tariff applied to new customers and additional power. "The tariff hike would be temporary until there is certainty over basic electricity tariff hike," said Murtaqi Syamsuddin, general manager distribution for West Java and Banten at PLN.

Handoko dismissed, PDI-P put pressure on Firman Ganie
Following the intelligence on legislator scandal, National Police dismissed Sr Com Handoko from his post as chief of intelligence at the Jakarta Police. But PDI-P, the second largest party in the House of Representatives and the main target of the intelligence operation, isn't satisfied. The party intensify pressures on National Police to investigate Jakarta Police Chief Firman Ganie. The party belives it's almost impossible that Handoko carried out the operation without order and simply as his own initiative.

Syafruddin Temenggung case, new suspects

Prosecutors had summoned several witnesses in the corruption case of Syafruddin Temenggung, former chairman of Indonesia Bank Restructuring Agency (IBRA). They're among others Maman Soemantri, former deputy chairman of IBRA, Rinaldy Firmansyah (former director of Bahana Securities, currently finance director of PT Telkom Tbk) and Wazhary Wardaya (director of Danareksa, the state-owned investment bank). Sources told that Wazhary and Rinaldy might be named suspects along with Syafruddin.

Both Bahana and Danareksa were financial advisors for IBRA in the divestment of the sugar cane producer PT PG Rajawali III which is at the center of corruption charges on Syafruddin.

Atang Latief case, Husni Mochtar detained

Police detained Husni Mochtar, a close aide to the state debtor Atang Latief, for an aledged embezzlement of Latief's Rp40 billion (almost US$4.5 million) supposedly to pay Latief's Rp170 billion debt to Indonesia Bank Restructuring Agency (IBRA).

Investor Daily quoted police spokes person Anton Bachrul Alam that in 2004 Latief asked Husni to payout the former's debt to IBRA through divestment of PT Bina Multi Finance owned by Latief. The proceeds from the divestment, at the amount of Rp40bn, were embezzled by Husni, the police said.

Once Latief also transferred Rp10 billion to Husni for payment to IBRA, but Husni didn't transfer on the money to IBRA.

Hilton Hotel case, Golkar stand by the suspect side

Golkar Chairman Jusuf Kalla, who also Indonesia's Vice President, said the party is stand by Ali Mazi, Sulawesi Governor's side. Mazi, a former lawyer for Indobuild Co (owner of Hotel Hilton Jakarta), has been named suspect in the Hilton Hotel land scandal along with Pontjo N. Sutowo (the owner of Indobuild Co), Robert J. Lumampauw (chief of Jakarta land office), and Ronny Kusuma Yudistiro (former chief of Central Jakarta Land Office.

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