Identifier
Created
Classification
Origin
09JAKARTA1030
2009-06-18 08:46:00
UNCLASSIFIED//FOR OFFICIAL USE ONLY
Embassy Jakarta
Cable title:  

Indonesian President's in-law sentenced in corruption case

Tags:  PGOV KCOR PREL ID 
pdf how-to read a cable
VZCZCXRO1989
RR RUEHCHI RUEHCN RUEHDT RUEHHM
DE RUEHJA #1030 1690846
ZNR UUUUU ZZH
R 180846Z JUN 09
FM AMEMBASSY JAKARTA
TO RUEHC/SECSTATE WASHDC 2584
INFO RUEHZS/ASSOCIATION OF SOUTHEAST ASIAN NATIONS COLL
RUEAIIA/CIA WASHDC
UNCLAS JAKARTA 001030 

DEPT FOR EAP/MTS
NSC FOR E.PHU

SENSITIVE
SIPDIS

E.O. 12958: N/A
TAGS: PGOV KCOR PREL ID
SUBJECT: Indonesian President's in-law sentenced in corruption case

REF: A) Jakarta 986 - Pohan case proceedings;
B) Jakarta 219 - Pohan indicted;
C) 08 Jakarta 2177 - Pohan arrested;
D) 08 Jakarta 2037 - Pohan interrogated;
E) 08 Jakarta 2003 - Pohan named suspect

UNCLAS JAKARTA 001030

DEPT FOR EAP/MTS
NSC FOR E.PHU

SENSITIVE
SIPDIS

E.O. 12958: N/A
TAGS: PGOV KCOR PREL ID
SUBJECT: Indonesian President's in-law sentenced in corruption case

REF: A) Jakarta 986 - Pohan case proceedings;
B) Jakarta 219 - Pohan indicted;
C) 08 Jakarta 2177 - Pohan arrested;
D) 08 Jakarta 2037 - Pohan interrogated;
E) 08 Jakarta 2003 - Pohan named suspect


1. (SBU) The Anti-Corruption Court sentenced Aulia Pohan --
President Yudhoyono's son's father-in-law -- to 4 1/2 years on
corruption charges on June 17. The court also sentenced three
additional central bank deputy governors, bringing the total to nine
public officials convicted in this central bank bribery scandal.
President Yudhoyono has maintained his impartiality throughout his
in-law's case, boosting his anti-corruption credentials. The
Corruption Eradication Commission (KPK) is evaluating evidence for
further prosecutions in this scandal, which could involve two
current government ministers.

NINE CONVICTIONS IN CENTRAL BANK BRIBERY SCANDAL


2. (SBU) The Anti-Corruption Court sentenced former central bank
deputy governor Aulia Pohan to 4 1/2 years in jail, six more months
than the prosecution's request. The three other deputy governors
received either 4 or 4 1/2 year sentences. One judge on the
five-person panel offered a dissenting opinion on technical grounds,
but the sentence will likely withstand Pohan's appeal. Pohan and
the three other deputy governors were convicted of embezzling state
funds and authorizing bribes to members of Parliament to pass
legislation. In 2008, the Anti-Corruption Court sentenced former
central bank governor Burhanuddin Abdullah to 5 1/2 years for his
role in the bribery scandal, in addition to two other central bank
directors. In January 2009, the Anti-Corruption Court sentenced two
former members of Parliament to three and five year sentences for
taking the bribes.

PRESIDENT REINFORCES ANTI-CORRUPTION COMMITMENT


3. (SBU) President Yudhoyono has publicly maintained from the outset
that he would not interfere in his in-law's corruption case, which
has earned him considerable praise. This case demonstrates
President Yudhoyono's commitment to combating corruption and
reinforces campaign messages that highlight his clean record. Press
accounts of the June 17 conviction -- including a full front page
spread in Indonesian language daily Koran Tempo -- focused praise
more on the Corruption Eradication Commission (KPK),and pointed to
more possible arrests. The Pohan case proceeded at a normal pace
since the November 2008 arrest and contacts did not think that this
sentencing three weeks before the presidential elections was
politically motivated. The 4 1/2 year sentence is in line with
average Anti-Corruption Court sentences.

MORE HIGH-LEVEL FIGURES TO FALL IN THIS SCANDAL?


4. (SBU) The KPK is evaluating evidence for further cases related to
this central bank bribery case, according to a contact close to KPK
leadership. The KPK has gathered additional evidence and now has
more time and capacity to pursue new suspects after finishing the
Pohan case. Two current government ministers - M.S. Kaban
(Forestry) and Paskah Suzetta (Development Planning) - served in
Parliament on the commission that received bribes from the central
bank in 2003. A convicted member of Parliament in this case has
accused the two current ministers of receiving bribes, but they have
yet to be named suspects in the case. Current Parliament Budget
Commission Chairman Emir Moeis has also been questioned in the case,
but not named a suspect.


5. (SBU) Aulia Pohan has also called for the arrest of Supreme Audit
Board chairman Anwar Nasution, who was a central bank deputy
governor at the time of the embezzlement and bribery. Nasution
reported this case to the KPK in November 2006 and the KPK has
questioned him further over the past year. However, Nasution
appears to be safe from prosecution at this point, according to
civil society contacts.

NORTH