Four parties back BLBI inquiry

Abdul Khalik ,  The Jakarta Post ,  Jakarta   |  Wed, 03/19/2008 12:20 AM  |  National

At least four factions in the House of Representatives want an inquiry into the alleged embezzlement of trillions of rupiah in the Bank Indonesia liquidity support funds.

The National Mandate Party (PAN), the Prosperous Justice Party (PKS), the National Awakening Party (PKB) and the Crescent Star Party (PBB) said Tuesday they would back the petition motion by 55 lawmakers for a Bank Indonesia liquidity support (BLBI) inquiry during the upcoming plenary session.

"We will all be out to push for the inquiry. We hope other factions will support us," Drajat Wibowo of PAN said during a discussion on BLBI.

He said the inquiry was necessary because the state had paid Rp 300 trillion (US$32.6 billion) in interest alone for BLBI funds, which are financed by foreign and domestic loans, in the last decade.

"Using our right to push for an inquiry is the only way to demand the government truly bring corruptors to justice, and recover state assets," Suripto of PKS said.

The government handed over Rp 640 trillion to save Indonesia's banking system during the 1997-1998 economic crisis. Of the total amount, Rp 144.5 trillion was used to help 14 ailing banks stay afloat during the crisis using BLBI funds.

Many observers have said their main concern about the missing funds is that the state has to pay Rp 65 trillion, or a third of the state budget each year, in interest on the stolen money.

Ali Masykur Musa, chairman of the PKB faction in the House, expressed his party's total support for an inquiry.

"We've signed the motion," he said.

PBB members Yusron Ihza Mahendra and Ade Daud Nasution have also repeatedly expressed their party's support.

But Marwan Batubara of the Regional Representatives Council (DPD) said the motion needed support from the country's biggest party, Golkar, to be accepted in the plenary session.

"I am pessimistic but we'll see whether the majority of Golkar members will support it. I am sure many of them still have a conscience," he said.

Golkar and the Indonesian Democratic Party of Struggle (PDI-P) have announced they have not prohibited their members from supporting the petition.

Some members of both parties have signed the petition.

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