Global Corruption Report 2009

Page 299

Indonesia

has since disappeared and is believed to have fled abroad.20 Political corruption in the issuing of licences and concessions for logging activities was also revealed after Bintan (Riau province) regency secretary Azirwan and House of Representatives lawmaker Al Amin Nasution were arrested by the KPK on 9 April 2008. Al Amin Nasution was caught receiving R4 million (US$430) from Azirwan, while R67 million (US$7,200) was seized from Nasution’s car. Furthermore, KPK deputy chairman Mochammad Jasin said Azirwan promised Nasution an additional R3 billion (US$320,000) for a deal to convert about 200 hectares out of 7,300 hectares of conservation forest in Bintan, Riau Islands, into an administration office complex.21 Nasution, a member of the House’s Commission IV overseeing forestry, was being held and awaiting trial at the time of writing. The building of political connections between illegal-logging syndicates and local officials has become obvious, highlighting the direct involvement of unscrupulous officials in the trade of illegal logs. The case of Marthen Rumadas in Papua is a telling example. Although he was removed from his position as senior local forestry official in Sorong, Papua, charged with the illegal smuggling of timber, Rumadas forged political alliances with powerful forces involved in creating the new province of Irian Jaya Barat. Despite being tried in another case of timber permit violation, he rose to the position of regional secretary, making him the third most powerful figure in the provincial government.22 20 21 22 23 24 25 26 27

Airline passengers’ safety for sale Deregulation of the airline sector in the late 1990s allowed a rapid expansion of the industry. The number of airline passengers tripled between 2000 and 2006, while the number of airlines increased from five to twenty-five. Such a rapid expansion generated many safety issues as well as opportunities for corrupt practices.23 According to official statistics, an aircraft incident was recorded in 2006 every nine to ten days in Indonesia, and the situation has not improved.24 The crash of an Adam Air aeroplane in Batam on 10 March 2008 was the latest of a worrying series of incidents. Fourteen months earlier Adam Air flight 574 had crashed in the waters of Majene, West Sulawesi, killing eightyfive people.25 An investigation then revealed serious deficiencies in maintenance and safety procedures, leading to a three-month suspension of the airline’s licence. This had raised considerable public attention about the condition of the airline’s fleet and irregularities in licensing, inspections and safety procedures in one of the fastest-growing aviation markets in the world. The definition of a flightworthy airliner is not strictly regulated26 and there is no minimum investment for starting up an airline company. Although the Civil Aviation Safety Regulations set minimum conditions, anyone can become the director of an airline.27 According to a Tempo source, ‘It is usually R500 million (US$53,000) per airline business license’.28 As such, many directors lack experience, contributing to a situation in which, according to National Transportation

Jurnal Nasional (Indonesia), 27 November 2007. Coordinating Ministry for Economic Affairs, Trade and Investment News, 14 April 2008. Telapak and EIA, 2007. Tempo (Indonesia), 1–7 April 2008. BBC (UK), 18 January 2007. Tempo (Indonesia),1–7 April 2008. Ibid. Samudra Sukardi, former deputy chairman of the Indonesian National Air Carriers Association, quoted from Tempo (Indonesia), 2008. 28 Tempo (Indonesia), 2008.

265


Issuu converts static files into: digital portfolios, online yearbooks, online catalogs, digital photo albums and more. Sign up and create your flipbook.