Widiono finally named a suspect, gov't keep him in the job!
Eddie Widiono Suwondho, president director of state-owned electricity monopoly PT Perusahaan Listrik Negara (PLN) has been named a suspect in a corruption case.
After months of speculation, police chief Sutanto announced yesterday that Widiono named a suspect with allegation of his involvement in a corruption case being investigated over the cost mark up of a power plant project in South Sumatra. Two PLN directors had previously named suspect in the case.
Widiono is considered a big test for this administration in its major anti-corruption drive mainly because of his strong military family background. His father was former military commander of East Java, while his sister was allegedly involved in military equipment supply during the last years of Soeharto regime.
Widiono has been in PLN CEO since early 2001 and it's not clear who will replace him. But it seems that government is fully support Widiono. SOE Minister Sugiharto stated yesterday that government will not replace Widiono until the court decides that he did involved in the corruption scandal. Sugiharto's stance is completely different with the one he made when ECW Neloe (that time CEO of Bank Mandiri) was named a suspect in a corruption allegation. Neloe was immediately replaced. Neloe was also detained, while Widiono is a free man until now. Court released Neloe two months ago.
Read my previous article for background at:
http://yosef-ardi.blogspot.com/2006/02/electricity-shock-on-widiono-sby.html
After months of speculation, police chief Sutanto announced yesterday that Widiono named a suspect with allegation of his involvement in a corruption case being investigated over the cost mark up of a power plant project in South Sumatra. Two PLN directors had previously named suspect in the case.
Widiono is considered a big test for this administration in its major anti-corruption drive mainly because of his strong military family background. His father was former military commander of East Java, while his sister was allegedly involved in military equipment supply during the last years of Soeharto regime.
Widiono has been in PLN CEO since early 2001 and it's not clear who will replace him. But it seems that government is fully support Widiono. SOE Minister Sugiharto stated yesterday that government will not replace Widiono until the court decides that he did involved in the corruption scandal. Sugiharto's stance is completely different with the one he made when ECW Neloe (that time CEO of Bank Mandiri) was named a suspect in a corruption allegation. Neloe was immediately replaced. Neloe was also detained, while Widiono is a free man until now. Court released Neloe two months ago.
Read my previous article for background at:
http://yosef-ardi.blogspot.com/2006/02/electricity-shock-on-widiono-sby.html
Labels: Bank Mandiri, Electricity, PLN, President SBY, SOEHARTO Inc, Sugiharto
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posted by yosef at 7:51 AM
1 Comments:
PLN is such a fat cow that it practically crowded with so many people from every direction to milk the cow.
The fact that Jusuf Kalla was in PLN in previous month, followed with an invitation to Eddie Widiono to Vice President Palace along with Sugiharto and Muhammad Lutfi and completed by the fact that Eddie Widiono tagged along Jusuf Kalla in China visit indicates that Eddie Widiono has friends in the current cabinets.
It is interesting to know if any journalists have investigated which companies have a lot of projects in PLN. It will be interesting to count how many projects Bukaka, Medco, Bumi and Bakrie projects are in PLN.
I am wondering whether a second IPP typhoon, probably in different size and shape, is brewing. Current regulation that allow direct appointment in the event of electricity crisis in a certain region can be very very easily manipulated because it was not followed by clauses of criteria and definition of 'crisis'.
It is very obvious that Soegiharto is involved deeply in PLN scandal. Just to name few indications: 1) number of Medco projects 2) the fact that Eddie Widiono has not been replaced 3) The fact that Soegiharto as the representative of PLN shareholder has not publicly reprimanded PLN directors for failure in increasing PLN business performance (electricity crisis is NOT the sign of success, I think).
It is remain to be seen whether the new commissioner will appoint a new Board of Director. If he does not do so in the near future, we can be absolutely sure that Soegiharto and the new commissioner, Alhilal, has something else in mind.
It would be interesting to see which politic party Alhilal belongs to and whether he is in the same group of politic interest with Soegiharto. Because, in addition to personal interest, there may be indication of political party start to raise funds for upcoming election. This maybe a bit far fetch for me, but you can never be sure about politics in Indonesia.
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