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Reasonable Doubt

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Editor

8 May 2018 14:30 WIB

Minister of State-Owned Enterprises (BUMN) Rini Soemarno in Jakarta, July 25, 2016. Tempo/Tony Hartawan

TEMPO.CO, Jakarta - Without proper clarification, the leaked conversation between State-Owned Enterprises (SOEs) Minister Rini Soemarno and state electricity company PLN CEO Sofyan Basir would only create suspicious rumors.

President Joko Widodo must exert his authority: summon the two officials and clarify matters to the wider public. It would be extremely unwise for the government to remain silent in the hope that the public would gradually forget.

Initially, the conversation appeared on social media, Twitter and Instagram, and was circulated on WhatsApp groups. The phone conversation, without contextual information such as time and occasion, mentioned the construction of a liquefied natural gas (LNG) terminal in Bojonegara, Banten. Percentages were mentioned-later interpreted as fee-sharing. The conversation also mentioned Rini's brother, Ari Soemarno, and Bumi Sarana Migas, a family company owned by Vice President Jusuf Kalla. In a video circulating on social media, the conversation is said to be a scenario for turning state-owned enterprises into a feast for those in power.

Rini has denied the accusation. She admits the conversation did take place, but claims it had been edited to eliminate context. The actual conversation, Rini said, was about PLN's portion of shares in the project under discussion. In the conversation, Sofyan Basir wanted to make sure PLN receives a significant share. He claims he was not requesting shares for personal interest nor for his family. Rini has asked the police to perform an investigation to find out who was responsible for circulating the conversation.

The topic discussed was the construction of an LNG receiving terminal. The project, pioneered in 2014, has met with numerous obstacles, including a large cost of around US$600 million. The terminal is meant to accommodate up to 500 million cubic feet, or the equivalent to four million tons of LNG. The Kalla Group was looking for investors from Japan and hired Ari Soemarno as the consultant. The Vice President's family company negotiated with Pertamina and PLN to receive a 15-percent share. It was this 15-percent value that Sofyan Basir said was too small in the leaked conversation.

The police must act quickly. In addition to exposing the party responsible for circulating the phone conversation, the police must also find out if there is indeed foul play involved in the project. As of today, the terminal has not yet been built. Even if no state losses have actually been incurred, officials attempting to play with fire must be firmly dealt with.

As to the person responsible for tapping and circulating the conversation, one can only guess. In addition to the two people in conversation, tapping can be done by institutions with the capacity to record conversations. In Indonesia, such agencies are the Corruption Eradication Commission (KPK), the police, State Intelligence Agency, Strategic Intelligence Agency, National Anti-Narcotics Agency, and the Attorney General's office. Or, perhaps, a person working for a telecommunications company. Beyond that, there is also the possibility the tap was performed by a private entity or an individual.

Whoever did it, an abuse of power has taken place. Regulations only allow wiretapping by law enforcers during the preliminary investigation as well as investigation. Wiretapping by intelligence agencies is meant for collecting material to be analyzed for policy-making. An official institution's audio records from wiretapping should not be shared to the public, while wiretapping done by an unauthorized individual or private institution is certainly in violation of the law.

If no violation is found in the LNG terminal project, it is reasonable to suspect the motive for spreading the conversation is to discredit Rini and Sofyan. Rini Soemarno has been in the spotlight for quite some time. As SOE minister since the start of Jokowi's tenure as President, she sits on a hot seat. In charge of 115 state companies-excluding subsidiaries-her position is one highly sought after.

There have been repeated requests to have her replaced. In December 2015, she was criticized by the House of Representative (DPR) Special Committee for Pelabuhan Indonesia (Pelindo) II. The special committee questioned Rini's decision to issue an approval letter for the contract between Pelindo II and Hutchinson Port Holdings for the management of the Jakarta International Container Terminal. The special committee recommended President Jokowi to dismiss Rini. Now the DPR is also planning to form a special committee to probe into her conversation with Sofyan Basir. Rini's less than amicable relationship with the Indonesian Democratic Party of Struggle (PDI-P) has long been the topic of conversations.

The outcome is now up to Jokowi and the police. The President should take steps to clarify matters. And the police must accelerate the investigation process to prevent the whole affair from spinning out of control.

Read the full article in this week's edition of Tempo English Magazine



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