Devi Asmarani, Jakarta – The Indonesian government has come under fire from parliament for allegedly misusing the state budget funds and violating laws and procedures in the recent purchase of Russian jet fighters and military helicopters.
Some MPs, including some vocal members of President Megawati Sukarnoputri's Indonesian Democratic Party-Struggle, have started circulating a petition that seeks the setting up of a parliamentary investigation committee to probe the purchase of two SU-27 and two SU-30 fighters, and two MI-35 helicopters.
The latest controversy may pose yet another challenge to Ms Megawati's presidency as she prepares to seek re-election next year.
The parliamentarians are waiting for a hearing with two ministers involved in the deals, Industry and Trade Minister Rini Suwandi and Finance Minister Boediono, before making the next move.
The plan to buy military supplies from Eastern European countries to replace the Indonesian military's (TNI) obsolete equipment caused by the 12-year US military embargo has been in circulation for the past few years.
Yet many were surprised when President Megawati formalised the procurement with Russia during her whirlwind weapons window shopping trip in April. Many people, including her own Cabinet members, could not see how Indonesia could pay for the purchases.
Jakarta will pay US$77.57 million this year and US$114.63 million next year for the aircraft. Under the agreement signed by Mr Rini, a 13-per-cent downpayment will be paid by the State Logistics Agency (Bulog), and the rest will be settled through countertrade of 11 commodities, including oil and rubber.
It was recently revealed in documents that Coordinating Minister for Economics Dorodjatun Kuncorojakti, Finance Minister Boediono and State Minister for National Development Planning Kwik Kian Gie had tried to persuade the President to delay the plan to buy the aircraft.
Bulog, which is in charge of stabilising prices of domestic agricultural products, was already at the centre of two previous high-profile graft cases, including one that led to the downfall of former president Abdurrahman Wahid.
For the current deal, Bulog had to borrow about US$26 million from its partner bank, the state-owned Bank Umum Koperasi Indonesia (Bukopin), for the downpayment. Parliamentarians opposed to the deal argued that it violates defence law, budgetary law and banking regulations.
Normally, a proposal to buy military equipment is submitted to the military chief by either the chief of the army, the air force or the navy. The military chief then hands the proposal over to the defence minister, who will later discuss it with the House. But the procedure was not followed for the aircraft deal.
The banking legal limit was also violated by Bukopin because of the sums involved. Furthermore, there had been indication of mark-ups in the project, some parliamentarians said.
Legislator Djoko Susilo of the Reforms Faction said: "The noble idea to replace our military supplies has been diverted to short-term interests. The violation of various laws and regulations, of ministerial authority and indications of graft showed the potential loss of a large amount of money for the country."