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Tuesday, February 21, 2012

Tax Officer Mafia Case Reopened

The Financial Transaction Reports and Analysis Center (PPATK) on Monday pointed out that a bribery case allegedly involving Denok Taviperiana and Totok Hendriyatno, two employees of the Directorate General of Taxation, has been reopened by the police. “They [the police] sent a letter saying that they’re reinvestigating the two,” PPATK chief Muhammad Yusuf said at the House of Representatives (DPR).

The police stopped investigating the case involving Denok because no evidence was found which led to the crime, which reportedly also involved money laundering activities. Documents received by TEMPO showed that, in the police investigation reports, funds owned by Denok—Rp4billion worth of insurance and deposits—did not come from criminal activities. The finding was taken into consideration when the Jakarta police decided to stop the investigation in Nov. 22, 2007.

National Police spokesman Insp. Gen. Saut Usman Nasution commented that he has yet to be informed on the case reopening. “I need to confirm that first,” said the spokesman

Angelina’s Courier Has Not Been Questioned, Says KPK

Jefri, a person who allegedly served as Angelina Sondakh’s courier, apparently has yet to undergo questioning by the Corruption Eradication Commission (KPK)—Jefri’s whereabouts is unknown. “We haven’t questioned him,” said KPK spokesman Johan Budi S.P., at his office on Monday.

Johan did not specify why the person incriminated by Yulianis—a witness in the SEA Games athletes’ village bribery case—for receiving money on behalf of Angelina has not been questioned. Johan only said, “The point is we haven’t scheduled any questioning.”

Jefri’s name often come up in BlackBerry Messenger conversation between Mindo Rosalina Manulang and Yulianis—both staffers of Muhammad Nazaruddin, a defendant on this case. Jefri also allegedly receive bribery money in Angelina’s interest.

Anas’ Team Wants Money Politics in Democrat Congress Revealed

Ruhut Sitompul, former member of the supportive team for Anas Urbaningrum in the 2010 Democrat Party Congress in Bandung, has expressed his support for the Democrat Party Honorary Board’s attempt to investigate the source of funds used to secure Anas’ chairmanship. Ruhut claimed that he was surprised to hear the confessions made by some congress attendees who received the funds.

“If that’s the case, we’ll leave it to the Honorary Board. I’m also surprised to hear there was money going around like that,” said Ruhut at the House of Representatives (DPR) building in Jakarta on Monday.

Earlier, the Honorary Board, assisted by the Democrat Party Supervisory Commission, was reported to have make plans on investigating the source of funds used to win Anas Urbaningrum of his chairmanship. According to the former treasurer of Anas’ supportive team, Muhammad Nazaruddin, the funds allocated to secure Anas’ chairmanship reached Rp50 billion. Nazaruddin claimed that the funds were taken from the Hambalang and SEA Games athletes’ village project budget.

Jusuf Kalla and Boediono to Speak at the PPP National Assembly Meeting

The United Development Party (PPP) will conduct a National Assembly Meeting at the Lirboyo Islamic Boarding School, Kediri, in East Java, on Wednesday. The event, to be inaugurated by Vice President Boediono, will be attended by some important national figures who will speak in a discussion entitled “Indonesia’s Future Hopes and Challenges”.

“Some keynote speakers have confirmed their attendance such as Jusuf Kalla, Mahfud Md., Khofifah Indar Parawansa, and Anies Baswedan,” said PPP Deputy-Chairman Lukman Hakim Saifuddin via text messaging to TEMPO on Monday.

Adhyaksa: “Hambalang is Not Suitable for Sports Complex”

Former Youth and Sports Minister Adhyaksa Dault said that the area in Bukit Hambalang, Sentul, West Java, is not suitable for the construction of a sports complex because it is located near a volcanic mountain. “It’s located in the Ring of Fire, surrounded by volcanoes,” said Adhyaksa on Monday.

According to Adhyaksa, in 2003, the Sports Directorate-General indeed planned on building a sports complex in Hambalang. Therefore, a 32-hectare land was acquired. However, the process had been stalled because businessman Probosutedjo claimed ownership of the land.

At that time, Adhyaksa consulted a geology expert, the late J.A. Katili. Katili suggested Adhyaksa to build the sports complex somewhere else. “He [Katili] said, ‘Why there? The place is surrounded by Mount Gede, Mount Galunggung, Pelabuhan Ratu—all volcanoes’,” Adhyaksa explained.

Thousands of Papuans Demand Referendum

Thousands supporting the West Papua National Committee thronged the Papua People Assembly building in Kotaraja, Jayapura, on Monday. The protesters demanded for a referendum and for the Papua and West Papua Development Acceleration Unit (UP4B) to be disbanded.

“We don’t want UP4B. We’re not looking for special autonomy, we want a referendum,” said Mako Tabuni, the National Committee spokesman on Monday.

Mako said that freedom for Papua could not be compromised. Special autonomy, as stipulated in Law No. 21/2001, has failed to bring welfare for the Papuans. “Special autonomy has failed, the unit won’t work either. It’s only sugar-coated politics for Papua sent from Jakarta,” Mako went on.

Police Bust Rp7-Billion Marijuana Smuggling Attempt

The South Lampung Police have foiled a smuggling attempt of 3.529 tonnes of dried marijuana from Aceh at the Bakauheni Port early on Monday. The Rp7-billion worth of ‘cargo’ was suspected to come from Aceh, meant for delivery and distribution Jakarta.

“We are investigating the connection with other marijuana delivery bust in Aceh and South Sumatra last week. This is the biggest bust in the history of war against drugs in Lampung,” said South Lampung Precinct Chief of Anti-Drugs Unit Adj. Comr. Fachrul Rozie on Monday.

The marijuana, packed in 74 large bags and 3,529 packages, was brought by Enrizal, also known as Buyung bin Sultan Maruh, 44, a resident of Kampung Sawah, Bekasi, and Juni Ardiwan bin Ali Basyir, 38, a resident of Cibeber, Leuwiliang District, Bogor.

John Kei Supporters Pressure Police

Supporters of John Refra also known as John Kei, a suspect in the premeditated murder of former Power Steel Mandiri Director Tan Harry Tantono, have protested against the arrest of John Kei. They claimed that the police shot John Kei for no reason, that the arrest was inhumane and did not go according to procedures.

John’s legal advisor, Alam P. Simamora, said that his client’s supporters are protesting at police precincts and sub-precincts in many regions. “It’s going on in Papua, Maluku, Makassar, and other cities,” said Alam on Monday afternoon.

In Tual, some 200 supporters protested in front of the Southeast Maluku Precinct on Monday. Maluku Police spokesman Adj, Sr. Comr. Yohanes Huwae said that the protesters made seven demands. “One of them is to investigate who was responsible for the shooting of John Kei,” said Yohanes. Yohanes went on that the protest carried out by John’s supporters on Maluku only took place in Tual.

Nunun to Face Trial, Adang Ready to Testify

Adang Daradjatun, husband of suspect Nunun Nurbaetie who is implicated in the bribery case involving the distribution of traveler’s checks during the 2004 Bank Indonesia Senior Deputy-Governor elections, has spoken about the completion of his wife’s dossiers. Adang also said that he is ready to testify on this case.

“The files are being processed for trial. There’s no problem,” said the former National Police deputy-chief after attending a National Seminar entitled: “Criticizing National Security Bill”, at the Grand Hyatt Hotel, Jakarta, on Monday. Adang also said that since the beginning of his wife’s legal matters, his family has been abiding the law.

Earlier, Nunun was reported that she will soon face trial at the Anti-Graft Court (Tipikor). The Corruption Eradication Commission (KPK) has completed her case files preparation this week. “The trial may begin next week,” said KPK spokesman Johan Budi S.P., at his office on Monday.

Rosalina to Report Ministers Who Ask for Commission

Achmad Rifai, lawyer of convict Mindo Rosalina Manulang who is incriminated in the SEA Games athletes’ village bribery scandal, said that his client will file a report to the Corruption Eradication Commission (KPK) on ministers who asked for an 8-percent cut. “The report preparation will be completed next week. It will include indications of request for 8-percent commission from some ministers,” said Rifai on Monday at the Justice and Human Rights Ministry building.

However, Rifai, who was appointed by Rosalina as her lawyer on Feb. 9, does not want to reveal just yet the name of the minister that his client accused of asking for commission. According to the lawyer, his client has only revealed a little about the identity of one minister. “For the time being, it’s only one minister. There are plenty of stories to tell after that.”

Rifai revealed on Sunday that a minister who is also a political party elite had asked Rosalina for a cut. The commission was to be given as a ‘fee’ for securing two ministerial projects for the Permai Group, a company owned by Muhammad Nazaruddin. The projects worth Rp80 billion and Rp100 billion.

Indonesia Wins Best Sovereign Bond Deal and Best Project Finance Deal

The Hong-Kong based Alpha Southeast Asia magazine announced last week in Malaysia the winners of its annual Deal & Solution Awards 2011, which aims to recognise the best and most innovative corporate-centric investments and commercial banking solutions in the Southeast Asia region.

The "Best Sovereign Bond Deal in Southeast Asia" in 2011 went to the Republic of Indonesia’s USD2.5 Billion Bonds, which is the largest Global MTN issuance by the Republic of Indonesia to-date. The transaction once again demonstrated the country¿s appeal to US investors, who took up 49% of the deal, while European and Asian accounts came in for 22% and 29%, respectively.

The issue generated strong demand from yield-hungry investors worldwide and was oversubscribed by 2.76x. Local demand generated by local co-managers, Danareksa Sekuritas and Mandiri Sekuritas afforded them accolades in this category.

The "Best Project Finance Deal in Southeast Asia" in 2011 was awarded to Danareksa Sekuritas and Mandiri Sekuritas for their roles as local co-managers with Citi, Credit Suisse and HSBC as joint bookrunners, for Pertamina’s seven year long-awaited US$1.5 dual bond issuance in early 2011.The financing structure included a USD1 billion tranche of 10-year bonds and a USD500 million tranche of 30-year bonds, undertaken in succession. For Indonesian watchers, state-owned Pertamina has come a long way since embarking on a top-down restructuring a few years ago and setting its balance sheet in order.

"These awards reflect the experience and dedication of our team who is committed in delivering the best service to our clients. We also would like to extend our gratitude to our clients, counter parties and stakeholders for their continous support and trust placed in us so far. We really hope to continue our role as well as our positive contribution in the development of the Indonesia Capital Markets," said Mr. Safei, Director, Head of Investment Banking, Mandiri Sekuritas.

Rothschild Indonesia received an award for the "Best Domestic M&A Deal of the Year in Southeast Asia in 2011" for its role as sole financial adviser in the sale of BFI Finance - which finances car, motorcycle and heavy equipment purchases - to Trinugraha Capital & Co. at a value of USD375 million. Larry Sutikno, President Director, Rothschild Indonesia upon receiving the award remarked, "I think this is the first Indonesian deal ever that allowed multiple individual minority portfolio investors to sell their shares as a package in a structured M&A deal to a strategic buyer."

He added, "We faced so many difficulties, dead ends and things we could not control during the process of this deal. However, I believe that if there is a divine purpose in a deal, it will be done, and this award from Alpha Southeast Asia would be a testament to that."

A full write-up including all the winners involved in the transactions and awards rationale for the year 2011 is available in the December/January issue of Alpha Southeast Asia magazine. Alpha Southeast Asia

505 Persons Tested Positive for HIV in Jambi

As many as 505 people in Jambi province have been tested positive for HIV mainly because of drug abuse, a a National Narcotic Drug Agency (BNN) official said.

The number of drug users in Jambi province is recorded at 50,204 and 505 of them have tested positive for HIV, Adjunct Senior Commissioner Yusizal, head of community empowerment of BNN’s Jambi office,said here Tuesday."The HIV sufferers were infected by the collective use of contaminated syringes."

Jambi is now intensively making intensive efforts to counter the spread of the disease and narcotic drug abuse with the participation of various elements of the community.

Nationally, Jambi was now in sixth place in terms of narcotic drug abuse and this was a quite alarming situation that needed to be heeded by all responsible parties in the region, he said.

One of the efforts BNN was making to help reduce drug addition in cooperation with the local authorities in Jambi was requiring public transport drivers to undergo urine tests, Yusizal said.

Pakistan's Answer to The iPad

 

Catch me if you can ... Mohammad Imran holds a locally-made PACPad computer tablet at his electronics store in Rawalpindi, Pakistan. 

Inside a high-security air force complex that builds jet fighters and weapons systems, Pakistan's military is working on the latest addition to its sprawling commercial empire: a homegrown version of the iPad.

It's a venture that bundles together Pakistani engineering and Chinese hardware, and shines a light on the military's controversial foothold in the consumer market. Supporters say it will boost the economy as well as a troubled nation's self-esteem.

It all comes together at an air force base in Kamra in northern Pakistan, where avionics engineers - when they're not working on defense projects - assemble the PACPAD 1.

"The original is the iPad, the copy is the PACPAD," said Mohammad Imran, who stocks the product at his small computer and mobile phone shop in a mall in Rawalpindi, a city not far from Kamra and the home of the Pakistani army.

The device runs on Android 2.3, an operating system made by Google and given away for free. At around $US200, it's less than half the price of Apple or Samsung devices and cheaper than other low-end Chinese tablets on the market, with the bonus of a local, one-year guarantee. The PAC in the name stands for the Pakistan Aeronautical Complex, where it is made. The PAC also makes an e-reader and small laptop.

Such endeavors are still at the pilot stage and represent just a sliver of the military's business portfolio, which encompasses massive land holdings, flour and sugar mills, hotels, travel agents, even a brand of breakfast cereal.

The military is powerful, its businesses are rarely subject to civilian scrutiny, and it has staged three coups since Pakistan became a state in 1947. Many Pakistanis find its economic activities corrupting and say it should focus on entirely on defence.

"I just can't figure it out," said Jehan Ara, head of Pakistan's Software Houses Association, said of the PACPAD. "Even if they could sell a billion units, I can't see the point. The air force is supposed to be protecting the air space and borders of the country."

Supporters say the foray into information technology is a boost to national pride for a country vastly overshadowed by archrival India in the high-tech field. Tech websites in the country have shown curiosity or cautious enthusiasm, but say it's too early to predict how the device will perform.
Sceptics claim it's a vanity project that will never see mass production. Only a few hundred of each products has been made so far, though a new batch will be completed in the next three months.

"The defence industry is trying to justify its presence by doing more than just produce weapons," said Ayesha Siddiqa, author of Military Inc, a critical study of military businesses. "Some smart aleck must have thought we can make some money here."

PAC's website at http://www.cpmc.pk says the goal is "strengthening the national economy through commercialisation" and lauds the collaboration with China - something that likely resonates among nationalists.

China is regarded as a firm ally by Pakistan's security establishment, whereas the US., despite pouring billions of dollars in aid into the country, is seen as fickle and increasingly as an enemy.

These perceptions have heightened as the US intensifies drone attacks on militants based in the Pakistani borderlands. But the military is also a target of those militants. In 2007 the base at Kamra, home to 12,000 workers and their families, nine people died when a cyclist blew himself up at the entrance.

PAC officials suggested the program that produces the PACPAD was modeled in part on the Chinese military's entry into commercial industry, which lasted two decades until it was ordered to cut back lest it become corrupted and lose sight of its core mission.

The tablet and other devices are made in a low-slung facility, daubed in camouflage paint, near, a factory that produces J-17 Thunder fighter jets with Chinese help.

"It's about using spare capacity. There are 24 hours in a day, do we waste them or use them to make something?" said Sohail Kalim, PAC's sales director. "The profits go to the welfare of the people here. There are lots of auditors. They don't let us do any hanky-panky here."

PAC builds the PACPAD with a company called Innavtek in a Hong Kong-registered partnership that also builds high-tech parts for the warplanes. But basic questions go unanswered. Maqsood Arshad, a retired air force officer who is one of the directors, couldn't say how much money had been invested, how many units the venture hoped to sell and what the profit from each sale was likely to be.

The market for low-cost Android tablets is expanding quickly around the world, with factories in China filling most of the demand. Last year, an Indian company produced the "Aakash" tablet, priced at $US50, and sold largely to schoolchildren and students.

Arshad said a second-generation PACPAD would be launched in the next three months, able to connect to the Internet via mobile networks and other improved features. He said the Kamra facility could produce up to 1,000 devices a day.

During a brief test, The tablet with its 7-inch screen appeared to run well and the screen responsiveness was sharp. "It seems good, but operationwise I have to look into it," said Mohammad Akmal, who had come to the store in Rawalpindi to check the product out. "Within a month or so, we will know."

Olympus Executive in Apparent Suicide

A senior executive of scandal-wracked Japanese firm Olympus has been found dead in a children’s park outside his flat near New Delhi in an apparent suicide, Indian media reports said Tuesday.

Tsutomi Omori, 49, managing director of Olympus Medical Systems in India, was found hanging from iron railings within his luxury apartment complex in Delhi’s satellite city of Gurgaon, the Times of India said. A Gurgaon police officer confirmed the death to AFP, saying that Omori appeared to have committed suicide late on Sunday.

“He lived alone and he left two suicide notes written in Japanese, which we have handed over to the Japan embassy,” the police officer said.

According to the Times of India, one of the notes said, “I am sorry for bothering you,” while the second note was addressed to his family. Camera giant Olympus has been at the centre of a massive financial scandal, with Tokyo prosecutors investigating the role of senior management in falsifying financial statements to cover up $1.7 billion in losses.

The company’s former president, vice president and auditor were among the executives arrested earlier this month for their alleged role in the scheme.

Ban Mobile Phone Masts Next to Schools

Mobile phone masts should be banned from within a mile of all schools, nurseries and residential areas to protect children’s health, it was warned last night.

Neurophysiologist Dr Keith Baxendale fears the masts are exposing thousands of youngsters to potentially dangerous levels of radiation. Dr Baxendale claims the situation is now so serious that immediate action should be taken to stop masts going up in places where children congregate.

The scientist wants a ban in Scotland, following the lead of New Zealand, Sweden, Italy, Australia and parts of the U.S. in banning them from such areas. But last night the Scottish Government refused to acknowledge there was any potential problem, saying it saw no need to change the law.

Dr Baxendale, who has recently retired, has tabled a petition in the Scottish parliament and hopes to generate sufficient support to force ministers to change their position.

Under the current rules, councils are not allowed to use health risks as a reason to reject planning applications. Dr Baxendale believes this is short-sighted and could be potentially catastrophic if, as some fear, children are already suffering because of exposure to radiation.

He feels the sensible approach would be to ban the masts until there is conclusive proof. He said: ‘Mobile phone companies say there is no effect but what if they are wrong? We don’t want to get to the stage where we find out ten or 20 or 30 years down the line that they were wrong.’

Dr Baxendale believes that radio frequency radiation has a damaging effect on the nervous system and he wants phone companies to stop putting up masts until this has been fully investigated. He warned that, if the health of Scotland’s children was being affected now, it would be wrong to wait for conclusive evidence at some point in the future.

‘You can’t reverse the process later. By then the damage could well have been done,’ Dr Baxendale said.

And he added: ‘Surely the best thing to do is to adopt the cautionary principle and keep these things away until we know for sure.’ In 2005, the Mail revealed that a third of schools in Britain’s towns and cities had a mast within 200 yards of them.

In the past seven years, that figure has grown substantially, particularly since the development of new 4G technology and phone companies’ desire to have a masts every mile or so in urban areas. However, a spokesman for the Scottish Government said ministers could find ‘no compelling evidence’ that they represent a health risk.

He said: ‘At present we have no plans for changes or a review of planning policy in this area.’ A spokesman for phone operator Vodafone also dismissed Dr Baxendale’s claims.

She said companies understood people had concerns about masts but added: ‘If we are to provide the range of products and services so many of us depend on, we have to locate them where people use their devices – where they live, work and travel. This is even more essential given the increasing popularity of smartphones.’

She stressed that masts were ‘very low powered’ and each only covered a radius of about half a mile or so, adding: ‘Independent bodies such as the World Health Organisation have stated that, within guidelines, there is no proven evidence of any adverse health effect.’

Police to Summon Mayasari Bus Operator over Accidents

Jakarta Traffic Police will question the management of the Mayasari Bhakti bus company following two recent accidents involving its drivers.

The traffic police's safety unit chief Adj. Sr. Comr. Yakub Dedi Karyawan said on Tuesday that the police are analyzing the record of accidents involving Mayasari since 2011.

“We need to know the root of these accidents whether it's because of managerial failure or the failure of the system,” Yakub said, referring to the rental fee system, known locally as setoran. The system requires drivers to pay an agreed sum of money to bus owners or operators every day. Anything earned above that amount is for the bus drivers to keep. Many blame the system for forcing drivers to drive fast and recklessly in order to achieve maximum income.

Yakub said another possible factor contributing to the accidents was driver error. According to Yakub, the police would come up with recommendations for sanctions imposed either on the company, the drivers concerned, or both, to the Jakarta Transportation Agency after they complete their questioning and analysis.

Some eyewitnesses testified that in the accident in Slipi, West Jakarta on Sunday the bus driver lost concentration as he was busy fiddling with his cell phone while driving.

“We were still gleaning information from the witnesses,” Yakub said.

In Sunday’s incident, a Mayasari bus plying the Kampung Rambutan-Kalideres route hit a Transjakarta bus at the Slipi Jaya, West Jakarta, bus stop. The Mayasari, which entered the busway lane, rammed the bus from behind. On Monday, another Mayasari bus caused a pile-up near the Kampung Rambutan bus terminal, claiming one life and severely injuring another.

"Flying Health Care" for Papuans

Health Minister Endang Rahayu Sedyaningsih has announced the creation of the "Flying Health Care" program to improve access to health care services for the population in the Indonesian easternmost province of Papua.

"The improvement of access to health services through the Flying Health Care program is part of the Health Ministry’s 2012-2014 Plan of Action," Endang said here on Tuesday.

She pointed out that within the program’s Plan of Action was the implementation of the Health-care Guarantee and Improvement of Access to Health Services through Flying Health Care for Papuans, which begins in 2012. The minister noted that the extensive land mass of Papua, with its population scattered throughout valleys and mountainous areas, made the Flying Health Care program necessary for delivering health care to the population.

"Geographic conditions makes it difficult for Papua province, with a population of only 2.8 million, to have adequate health services at clinics and hospitals, and therefore the Flying Health Care program is necessary for the people in the province," Endang said.

She noted that besides the Flying Health Care program, the Ministry of Health had other new programs to improve the access to health services in the province in a bid to raise access to public health. Endang admitted that maternal and infant mortality rates, and the prevalence of severe malnutrition, remained high in Papua.

"Although we have been providing medical services to the people of Papua for several decades, in reality we have to work even harder and smarter," the minister noted.

To improve access to health services in Papua, Endang said the Ministry of Health has drafted the Plan of Action for 2012-2014 which is made up of various health-related activities. She said some of the activities included the acceleration of reaching Millennium Development Goals, intensification of eradication of non-communicable and infectious diseases, and the operation of village malaria eradication centers.