PDI congress opens in chaos, 17 hurt
PALU, Central Sulawesi Indonesian Democratic Party (PDI) congress here yesterday when hundreds loyalists of ousted of leader Megawati Soekarnoputri tried to force their way into the venue tightly guarded by security men from the governmentbacked party faction.
What's inside:
Parties
Sofjan to gather businessmen to help parties. Page 2
Boat Riot police complete with rifles congress was a boycott by barred from entering the compound despite having credengeneral Buttu R. Hutapea. A group of 15 local economodities to prevent even greater Economist Anwar Nasution it its subsidies to certain com- Bambang said the bank reslarge number of banks' nonperto IBRA's asset management unit. Military Police Corps Com- Honor Council," he said. with criminal charges for his alleged involvement in the abductions of political activists. The abductions of political year, but those of the nine activists that Prabowo report- "It's against all rules and ethics (for him to say that) since the gating the matter," she said. NO WAY THROUGH: Hundreds of laid-off workers from Kartosuro, Central Java, clash they attempt to march to the Jakarta office of the International Labor Organization skhedm Th ncident took place yesterday in front of the ofice ofthe Foundation ofthe Indonesian Legal Aid Institute in Central Jakarta, where the workers had spent the Central Java. Story on Page 3 night after arriving from "Far from everything has been lost," Chernomyrdin was quoted by Interfax as saying. Even ghosts hit by
12 missing Page 3
Farmers
Government incentives to farmers.
Airfare
fare increase: INACA
of Home Affairs Syarwan Hamid opened intensified. The two camps exchanged harsh words and r ]
"We had to shoot at the crowd with tear gas because we
He did not say anything about the use of rubber bullets, but Mercusuar local daily reported that five of Megawati's supporters sustained the 17 people injured. Antara
Army Lt. Col. Jumara told reporters at the scene that 1,097 police officers had been deployed at the congress, including riot regular police. Many soldiers
Party faction leader Soerjadi has also deployed 1,500 party security men.
operating earnings than have his car smashed up by a mob. Besides, turing out of their houses in anyway," he said as quoted by
It soon became a ghost town
through Saturday, is being orga- Megawati supporters from across the country have flocked to Palu, intent on disrupting the gathering which is expected to
Megawati plans to hold her own congress in October in Bali
away congress in Medan. Since then she has waged a legal
to stay out of the although it is still calling on the two parties to reconcile. rebuffed the call believes the government first has to revoke its recognition of Soerjadi's leadership and recognize her.
Election
Despite the fact that many see the Palu congress as yet another of Soerjadi's maneuvers, some actually hope that it could turn out to be the venue for the two camps
ipants to the congress have now supporting Megawati.
branch, replacement despite absence from the congress. She pointed out that some branches'activists had actual-
Central Sulawesi have said they plan to nominate her when election time comes," Kasese was
Megawati to be gracious and attend the congress so a truce could be called and the conflict strategic value for the party's survival," he said.
Megawati is currently busy with her own affairs, attending party gatherings outside
supporter Dimmy Haryanto and headquarters on Jl. Ahmad Yani the group caused heavy traffic congestion for two hours.
The activists said they were camp. Dimmy and activists
THROUGH 008 ACCESS CODE ASIA, AUSTRALIA EUROPE, AMERICA, AFRICA O
World Bank pans govt subsidy program
ments are unsustainable and could lead to economic disaster if the policy is not revised, a official senior warned yesterday.
World Bank Indonesia direcclear focus in its fiscal program.
sustainable," he said at a capi-
could lead to economic disaster
He added, however, that the World Bank and the Internagrams for the short term to
government was currently better target the subsidies.
a huge amount of funds to submedicines and sugar, in its current budget ending in March
Most of the deficit is being financed by international aid.
government over the huge subsidies, saying they comprised a Habibie's administration.
More major bank restructuring planned
JAKARTA (JP): The government plans another series of sures later this year when all quacy ratio requirement (CAR), Minister of Finance Bambang
He said the CAR requirement had to be fulfilled because strong capital was one of the prerequisites to helping the banking system recover its favorable position, which would the economy, and at the same time to enable Bank Indonesia to recover the liquidity support it extended to ailing banks.
"So by the end of the year, we'll have a healthier banking market conference.
tional auditors who were now conducting checks on all commercial banks (about 200) would complete their task by the end of October.
banks may find difficulties in meeting the CAR requirement to boost their capital to offset the increasing level of
Bambang declined to specify against banks which failed to meet the CAR requirement because the bank audits had yet
Bambang added that the fate of 38 Indonesian Bank Restructuring Agency would be decided next month after a complete audit of them had been implemented. He also said another round of bank
three private banks' operations, the nationalizing of four others including the country's largest merging four state banks into
that it is serious about restruc-
bank's massive liquidity support priority was also to recover the between 70 percent and 100 percent of their total loans.
recover the liquidity support restore the health of the banks," he said.
He said the four banks to be nationalized had submitted their proposals to return their inter-group credits and the liquldity support, but he declined to give further details.
Analysts have said that the breaching of the legal lending limit was the major cause of the financial distress of most
Reports earlier said that BCA's
had proposed surrendering to the financial authorities assets and shares it owns in a wide range of to problems at the bank.
He said subsidies for cooking oil, flour and fuel were not nec-
of corporations," he said.
that dealing with nonperforming loans would be difficult because
"A well structured program will have to be put in place," he said.
The government, he said, bad loans quickly because it would threaten the business sector and cause more layoffs.
De Tray noted that Indonesia increasing level of human capital being drained due to worries that
Bambang said. (rei)
Page 9
an important element to recovthe was to restore confidence.
Many talented Chinese- Indonesian professionals fled the country following the May riots which were seen to target
"Confidence of the Indonesian people may until a political is
remember is that it is action, not words, that restores confidence." also be aware of market per-
the expectation curve. Good policies that lag behind market expectations will not restore
"Indonesia is in the business of selling itself.. and it is competing with countries in the region." (rei/gis)
SHIELDING SOERJADI: Riot police cower behind their shields as they weather a hail of stones from supporters Megawati Soekarnoputri, the ousted leader of the Indonesian Democratic Party (PDi), outside the venue of the congress organized by five-day congress in Palu, Central Sulawesi.
Investigator says Prabowo could be court-martialled
Council that he-was involved incould be used as an evidence to bring him before a military tribunal," Syamsu told reporters
tioned Prabowo and the two week before the establishment
and completed the dossiers
honorably discharged
complete the dossiers of 11 oth-
He then asked for more time, ct
He also said the investigation only covered the abductions which occurred between March and April of this year
ed him yesterday to immediately
were part of an intelligence
Intelligence informed about them.
tialled would increase on the
chiefs of the North and East regarding their involvement in activists," he said. The inde- Missing Persons and Victims of
gone missing since April last year Nine resurfaced after being absent for months and spoke of being abducted, kept
Kontras says that one was found dead from a gunshot in a on May 23 after being missing for two days, and the rest are still unaccounted for
The coordinator of the team. Munir, said yesterday some of the activists who had reappeared had reported meeting a
Munir also called for a transa pubic to return he must announce any
still missing. (imn/byg/aan)
Bakin under fire over statement on rapes
Coordinating Board (Bakin) Lt. Gen. (ret) Moetojib yesterday for his remark that reports of gang rapes during the May riots had been exaggerated to undermine
They said Moetojib had been "careless" in his statement and ted last week by his colleague, National Police chief Lt. Gen.
They said separately yesterday that Moetojib should have exercised self-restraint and not made the comments, at least until
The fact-finding team is led chairman of the highly respect-
ment, Melly G. Tan from the Atma Jaya University sociology
appalled ... he should not have said such things. I strongly object to that.
"Didn't Moetojib know the investigation team was set up by the government?" Melly said.
discourage ]
Theologist Marianne Kattoppo, interviewed on the sidelines of a political diseussion held by the Center for Strategic and International Studies here yestedy wa
Political Smita Notosusanto from University of the Armed Forces (ABRI) has trusts the military these days?"
to prevent an investigation of the military's alleged role in the violence," she added.
On Monday Moetojib said the
He also claimed that neither the joint fact-finding team, the tial evidence to support claims Chinese descent were systemat-
the rape victims come forward to file a report?" he remarked. Although the government has officially condemned the rapes, Moetojib joined the ranks of officials who have questioned and even lashed out at those who have continued efforts to
Last week, National Police chief Lt. Gen. Roesmanhadi press their claims without pro-
Sojan Wanand M fact-finding team to complete its investigation more swiftly rather than come out with a
it's the intelligence chief who had been too hasty to comment on the matter If it is later disindeed take place they will look very stupid, "said Sofjan, who is of Chinese descent.
Despite recent claims to the Nationa Commission on Human Right Chi Chinese-Indonesian were gang-raped during the riot of May 13 and 14 in Jakarta.
The Volunteers for Humanit Catholic Priest Igr Say first non-governmental orga nization to Chinese descent. (aan)
Dilemma —Pagt Husbands— Pag
Acting PM Chernomyrdin in favor of coalition govt
quoted Chernomyrdin as saying after meeting with a leader
ong used by Communist Party boss Gennady Zyuganov, who wants the government to be representativeofparliamentary factions and not just imposed by
The Interfar news agency had reported Monday that Chernomyrdin promised State Duma he would form a coalition gov-
served as premier for five years, broad powers to draft a new
Chernomyrdin, who is holding a flurry of meetings with next week, said the economy is
Viktor Ilyukhin, a top and chairman of parliaments secued left-leaning factions to win at least 10 ministerial posts in the news agency reported.
expects Communist to be
Otherwise, Communists will "strongly oppose Chernomyrdin's government and not confirm him for the post of premier even under the threat of Duma dissolution," the news agency
Chernomyrdin has so far not named any perspective members of his new cabinet.
Yeltsin, meanwhile, took the nation out of legal limbo yesterter Sergei Kiriyenko's cabinet should stay on the job until replacements are appointed.
While asking other cabinet day accepted the resignation of former first deputy premier driving foree behind economic said. The resignation is expected to be formally announced today.
THIS ODD WORLD...
ghosts cannot escape the economic crunch currently hitting Singapore, as living Singaporeans are forced to cut costs on sacrifices for the restless dead during this year's traditional Chinese Hungry Ghost Month, which started last week.
"It does not really matter the frills and celebrate on a smaller scale. Our ghost brothers will understand," Singaporean retiree Robert Choo, who organizes an annual festival to honor ghosts, said in the Straits Times newspaper over
Choo, who has been hansaid the budget for this year's festivities would have to be cut by some 20 percent to 30
S$90,000 (US$52,941).
But this year, we are cutting
Choo's ghost party, held in a Singapore, usually includes a lavish stage show with Chinese singers, sometimes flown in
Though the show is intend- Singaporeans pay S$80 each to watch, and to enjoy a dinner of roast suckling pig and
Mortal participants also buy donated items ranging from washing machines and video cameras to lumps of auspicious Chinese lettering on them.
Proceeds from the dinner and auction pay for food that
donation to charity and for
Nuns go rapping in name of Lord
100 Itallan nuns will be step ping out in Rome on the week end in a specially choreogra phed rap session designed get young people interested
To prepare for the event, s. ters from the Order of Daughters Mary Help lessons in the jerky, spok word pop style from professi als such as B-nario and La P-
As well as boosting tE street credibility, the n younger generation