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Supersemar found guilty, asked to pay 'too little'

Source
Jakarta Post - March 28, 2008

Jakarta – The South Jakarta District Court found Thursday the Supersemar Foundation guilty of misusing scholarship funds, but ordered it to repay only one fourth of the losses it caused to the state.

The foundation, set up by late former president Soeharto, was said to have caused state losses of US$420.6 million and Rp 186.1 billion (US$20.2 million).

The court asked for compensation of $105 million and Rp 46.4 billion and discharged it from paying the further compensation of a total of Rp 10 trillion for immaterial losses as demanded by the prosecutors.

Presiding judge Wahyono said the civil court was only able to declare the $105 million and Rp 46.4 billion as the government's money, while the sources of the remaining $314.4 million and Rp 139.7 billion were undetectable.

"There has not been any exact calculation of how much money came from either the government or the donations between 1975 and 2007," he said, adding that some Rp 600 billion had been used to provide scholarships.

Wahyono said the foundation had been proven to violate a 1976 government regulation stipulating that state-owned banks must set aside 5 percent of their profits for foundations, including Supersemar, for scholarships or charities.

"The foundation is required to use its funds for scholarships only," he told the court. "But the foundation instead misused the funds for companies managed by Soeharto and his cronies."

Wahyono cited examples that the foundation was proven to have given Rp 13.1 billion to airlines PT Sempati Air and Rp 10 billion to Kosgoro business group.

Juan Felix Tampubolon, one of Soeharto's lawyers, responded to the verdict by saying, "We will appeal."

He said the lawyers could not accept that their clients had to pay the ordered amount, 25 percent of the total demanded by prosecutors. "How could they calculate such an amount of money? It is just an estimate," he said.

He added the foundation received the money from donations, not from the government. "So, our clients shouldn't be required to provide any compensation," he told journalists after the court session, which was not attended by any of Soeharto's heirs.

D. Muchtie, one of the prosecutors, said he was satisfied with the court's verdict that the foundation was guilty. "But I cannot accept that the foundation only has to pay 25 percent of our total demand. That's too small," he said.

He added that prosecutors had yet to decide whether they would appeal. "We have two weeks to discuss the possibility of filing an appeal," he said.

In 1975, the government established the Supersemar Foundation to provide scholarships for poor students, athletes and foster children across the country.

During its development, Soeharto and his cronies misused the funds by diverting them to several of their companies, such as Kosgoro, Sempati, PT Bank Duta, PT Kiani Sakti and PT Kiani Lestari.

Soeharto's death on Jan. 27 saw a transfer of some of the legal rights to five of his children: Siti Hardijanti Rukmana, Sigit Harjojudanto, Bambang Trihatmodjo, Siti Hediati Hariyadi and Siti Hutami Endang Adiningsih. Soeharto's youngest son Hutomo Mandala Putra was not among the heirs. (ewd)

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