Jakarta – The government denied Monday that it had given the go-ahead for ex-members of the separatist Free Aceh Movement (GAM) to use the flag of the former rebel group as symbol for a local political party.

Vice President Jusuf Kalla further rejected claims that the government had agreed to the establishment of a local party in Aceh based on the former rebel group. "We didn't agree to it at all... Malik Mahmud did say that to me, but there was no approval given," Kalla told reporters Monday during his inspection of the Indonesian soccer squad while it was warming up for the 2007 Asia Cup.

Kalla was referring to the former GAM "prime minister", who held a meeting with President Susilo Bambang Yudhoyono on July 4, at which Kalla was present. In the meeting, Mahmud proposed using GAM's imprint as the symbol of a yet-to-be-established local political party.

Presidential spokesman Andi Alfian Mallarangeng also said that Yudhoyono had never approved the use of GAM's insignia. "There is no outlawing of local parties, but its establishment has to be consistent with existing laws and uphold the unitary principles of the state," Andi said, as quoted by Antara.

State Secretary Hatta Radjasa also rejected the former GAM official's claims. "In the meeting, the President clearly said that he did not approve of it as it contradicts the spirit of the Helsinki Peace Accord, which has given rise to peace and a special autonomy law for Aceh," Hatta told journalists.

On Saturday, former GAM officials announced the formation of a local political party which based itself on the now-disbanded rebel group. The local political party, chaired by former GAM militia commander Muzakkir Manaf, has adopted the white crescent and star symbol on a red background – the GAM symbol – as its new logo.

The new party is yet to be registered with the Justice and Human Rights Ministry. A 2007 government regulation stipulates that local parties in Aceh must register themselves with the local office of the ministry, which will then monitor its activities. The GAM party, if approved by the government, would be the first of its kind in the country's history.

In a related development, government critic and former speaker of the People's Consultative Assembly Amien Rais opposed the establishment of an Aceh local party, saying that such action would lead to separatism. "The government has to take firm action against the party to prevent the unchecked presence of local parties. A unitary nation should not allow such an unlawful political action," he said.

Amien said that if each province in the country set up its own political party and managed to attract a large number of followers, it would threaten national unity.

National Resilience Institute governor Muladi said the GAM party should not be allowed to be registered at the Justice and Human Rights Ministry as its concept violated the Helsinki deal and the 2006 law on Aceh Administration. In a hearing with House Commission I on defense and foreign affairs, Muladi said he suspected the local party would work in essence toward a referendum to secede the resource-rich province from the country.

"The Helsinki deal and the ordinance on local parties say there should be no more use of GAM's identity and its attributes after the signing. This new party seeks to dominate the local council and draw a plan toward a referendum," he said. "The President must be stern on this and we should notify the Aceh Monitoring Mission because GAM will always seek loopholes in the regulations," he added.