Vaudine England, Jakarta – Anti-corruption activists are backing government calls for the former ruling party, Golkar, to be investigated for alleged misuse of state funds in the 1999 election.

The allegation against Golkar came first from Defence Minister Mahfud Mahmoddin and has been repeated by other ministers loyal to President Abdurrahman Wahid.

The Golkar party, created by former president Suharto, is accused of misusing funds from the state logistics body, Bulog, to support Golkar's campaign for the 1999 parliamentary polls. The claim comes two weeks after Golkar supported Parliament's censure of Mr Wahid over an alleged misappropriation of 35 billion rupiah (HK$28.5 million) in state funds. Mr Wahid is also accused of using Bulog as a personal treasure chest, in a scandal which sparked moves to impeach him.

"The use of the fund [by Golkar] is clearly a corruption crime and violated the limit on donations for political parties," said Teten Masduki, head of Indonesian Corruption Watch. "The 90-billion-rupiah fund originated from Bulog so if the 35 billion rupiah is a problem why doesn't the 90 billion rupiah matter? I'd say this scandal is more worthy of investigation."

Mr Teten's comments reflect the view that Golkar members are hypocritical to throw corruption allegations against Mr Wahid when their own crimes over decades of Suharto rule were far greater.

That Bulog has long been used by politicians in search of extra budgetary funding is well known, but more wide-ranging investigations remain stymied by the number and prominence of those implicated. "Golkar has no moral or political legitimacy to question this Government," a senior pro-government source said yesterday.

Some analysts say the allegations against Golkar could provide a legal basis for it to be disbanded. Continuing mass protests, especially in the Wahid heartland of East Java, have led to attacks on Golkar figures and properties and the burning of the party office in Surabaya last week.

This week, five leading factions in Parliament expressed support for Golkar's right to exist. They condemned the recent violent protests against Golkar and said only the courts could decide to ban a legally constituted political party.

Golkar deputy treasurer Enggartiasto Lukito also denies any wrongdoing by his party. "If anybody wants to audit the party it's OK. We have submitted our financial report on the use of election funds to the Supreme Court and we have been cleared of all charges against us," he said.

Mr Mahfud said the call for an inquiry into Golkar was aimed at "promoting honesty in politics". "If the alleged misuse of 35 billion rupiah in Bulog funds resulted in a strong censure [of Mr Wahid] from the House, why has a much bigger case been ignored? It's quite reasonable for the House to set up a special committee to investigate the bigger issue."

The conveniently timed revelations of alleged misbehaviour by Golkar are part of Mr Wahid's wider damage-control efforts as he struggles to keep his job. Sources confirmed that a cabinet reshuffle was expected when Mr Wahid returned from his next foreign trip early next month. This would aim to give more places to Vice-President Megawati Sukarnoputri's Indonesian Democratic Party of Struggle and to Golkar, which together hold a majority in Parliament.