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BI money flowed further: witness

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Jakarta Post - September 8, 2008

Jakarta – The Rp 100 billion (US$10.9 million) embezzled Bank Indonesia (BI) funds were used to promote certain people into certain positions for the central bank's benefit, the Corruption Court heard Monday.

I Nyoman Wara, an auditor at the Supreme Audit Agency (BPK), testified that he found what the funds were being used for during a BPK questioning session with Aulia Pohan, a former BI deputy governor, in August 2005.

"In further developments, the money was used to promote certain persons to certain positions, that were considered important to voice BI's interests," Nyoman read a transcript from an interview with Aulia.

Aulia is the father-in-law to President Susilo Bambang Yudhoyono's son. Aulia, according to Nyoman, said a BPK audit into the BI liquidity support (BLBI) corruption case posed problems to the bank as well as its top officials.

BI needed lots of money to be used in its approach to law enforcers, lawmakers, political parties and other parties. BI board of governors later decided to take Rp 100 billion from the Indonesian Banking Development Foundation (YPPI), one of its proxies. (dre)

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