Susan Sim, Jakarta – Indonesia's powerful defence forces (TNI) chief General Wiranto will likely step down next month to prepare for his presidential campaign as a parliamentary investigation into a banking scandal looks certain to implicate close friends of Dr B.J. Habibie and kill off his chances.
Sources close to Gen Wiranto told The Straits Times yesterday that he was "definitely stepping down" sometime after October 5 – Defence Forces Day.
He would retain his portfolio as Defence Minister, but would relinquish operational command of the military to current deputy chief Admiral Widodo, who would hold the post in an acting capacity.
His resignation as the TNI commander-in-chief would pave the way for the ruling Golkar party to name him as its new presidential candidate in a national leadership congress due to convene around Oct 14 or Oct 15.
And to prod political parties into some deal-making soon, Adm Widodo on Monday raised the prospect of a delay in the convening of the 700-member People's Consultative Assembly (MPR), which was scheduled to pick a president by November 10.
"It seems to me that certain people, especially the political elite, have yet to prepare mentally and politically to face the upcoming MPR general meeting," he told a nationwide meeting of military commanders.
Urging politicians to reach a consensus, he added: "There has been a high potential for conflict in our society so that a riot can easily surface in the capital and other regions. Such a condition is of course not conducive to the safe, orderly and democratic holding of the general assembly of the MPR."
His warning spooked the stock market, whose key composite price index shed 6.653 points to 562.999 in the first hour of trading. The rupiah also weakened to 8100/8200 to the US dollar in early morning trade, down from the euphoric 7840/7880 on Monday after the peacekeeping announcement.
Golkar deputy chairman Marzuki Darusman said Adm Widodo's comments indicated that the military hoped to sideline Dr Habibie by encouraging parties to reach a consensus rather than risk a vote in the MPR with its unpredictable outcome.
Golkar itself had not yet decided to dump the President as its candidate, but it was clear that it would soon "have to outline the picture to Habibie that there was still no clear support for him despite continued lobbying".
He said that no deals had yet been cut with the TNI to support Gen Wiranto's candidacy, but added: "If we do make a decision to nominate him, it would be best if he's nominated when he's not in office anymore."
But confidants of Gen Wiranto appeared assured that at least one major party would support his candidacy. The major Muslim parties, which together control the largest bloc of MPR seats, are also likely to support the general, he said, giving him enough votes to beat Ms Megawati Sukarnoputri.
Opponents of Dr Habibie have been given ammunition by testimony before parliament that his main campaign manager, Mr A.A. Baramuli, tried to exert undue influence over Finance Minister Bambang Subianto and allegedly organised a cover up of a scam involving Bank Bali.
In what has become known as Baligate, more than 546 billion rupiah was siphoned out of central bank payments to the nationalised Bank Bali to a company linked to a now-sacked Golkar treasurer.
Domestic outcry over the loss of East Timor and the humiliation of allowing foreign soldiers in have also eroded Dr Habibie's credibility.
For Gen Wiranto too, the question remains whether international outcry over his possible complicity in East Timor might derail his presidential bid or boost his nationalist credentials.