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Anas Gets Away With 8 Years for ‘Sustained Corruption’

Jakarta Globe, Sep 24, 2014

Former Democratic Party chairman Anas Urbaningrum seen in court.
(Antara Photo/Vitalis Yogi Trisna)

Jakarta. Anas Urbaningrum’s slow-motion fall from grace ended with a softer thud than many had expected on Wednesday, after the Jakarta Anti-Corruption Court sentenced the former Democratic Party chair to only eight years in prison.

The verdict brought an end to another act in a scandal of greed and politics almost Shakespearean in its depth — although it is likely the Corruption Eradication Commission (KPK) will appeal the sentence.

“The defendant is proven validly and convincingly guilty of sustained corruption and repeated money laundering,” the presiding judge told Anas.

The court fined Anas Rp 300 million ($25,000) and ordered him to repay Rp 57 billion ($4.77 million) to the state or face another two years in jail.

Prosecutors had sought a 15-year sentence on grounds of corruption and money laundering.

Athletes pay the price

It was alleged Anas received money in exchange for handing a friendly company a contract to build an elite athletics training center in West Java. Instead the court said Anas was guilt of “sustained corruption.”

That center, colloquially known as Hambalang for the town in which it was supposed to be built, now lies mothballed on the West Java hillside — a white elephant of corruption in a country that punches well below its weight in sports.

At the most recent Asian Games, which were held in Guanghzou in 2010, Indonesia achieved just four gold medals — three of which were in the dragon boat event.

The world’s fourth-largest country was nowhere near the top-ten in the medals table, while regional peers Malaysia and Thailand brought home double Indonesia’s medal haul.

Corruption allowed the budget for Hambalang to balloon to approximately Rp 2.5 trillion, running up a loss to the public purse of Rp 470 billion in the process.

While Indonesian athletes have found their international potential frustrated by poor facilities and insufficient funding, Anas was taking delivery of snazzy cars and bags of cash for rigging tenders in a bid to bankroll his thirst for power, the court found.

Prosecutors said that Anas had used hundreds of thousands of dollars to fund his election campaign for the chairmanship of Susilo Bambang Yudhoyono’s Democratic Party.

Anas spent Rp 20 billion between Nov. 16, 2010, and Mar. 13, 2013 on land and houses. His salary and allowances as a lawmaker between Oct. 1, 2009, and Aug. 21, 2010, amounted to around Rp 500 million. He had no other source of declared income.

A host of accusations

Anas was not the only politician to be brought down by corruption allegations in relation to the Hambalang center. Former Youth and Sport Affairs Minister Andi Alfian Mallarangeng was sentenced to four years in jail in July. Andi was convicted of having received Rp 4 billion and $550,000 from the firm Global Daya Manunggal through his brother, Andi Zulkarnaen Mallarangeng

Anas fought the charges against him by laying the blame at the door of everyone else.

He claimed to have been set up by shadowy figures. He labeled the attempt to prosecute him a conspiracy. He painted himself as a sacrificial lamb sent to slaughter while “those in power cling to that power by any means.” He attempted to buy himself time and derail court proceedings by drip-feeding sensational allegations about some of the country’s most senior politicians, which were dutifully picked up and splashed by the Indonesian media.

The most serious of these insinuations were that Yudhoyono’s son Edhie Baskoro Yudhoyono had taken a $200,000 bribe as part of the whole affair.

Anas also said Edhie “benefited” from the May 2010 party congress at which he was alleged to have used the money to buy votes in his bid for the party chair. Anas did not, however, accuse Edhie of having taken any bribes.

Instead, he questioned prosecutors’ hesitancy to call Edhie to the stand, saying that as the head of the congress’s steering committee, Edhie was “the one person who best understood how the election worked.”

This allegation has not been substantiated and no charges have been brought against Edhie.

The president’s son was not the only sideshow in what has been an at times farcical trial. The court heard that Anas’ foreign jaunts to Hong Kong and elsewhere were paid for by Dutasari Citralaras, where his wife used to serve on the board.

Lawmaker Nova Riyanti Yusuf  filed a police report for defamation against graft convict Muhammad Nazaruddin after the latter claimed to the court that she was Anas’ second wife.

Gallows humor

Another tactic that Anas employed to try and save his neck was to volunteer to be “hanged from Monas [the National Monument in Jakarta]” if he were found to have stolen as much as Rp 1 from the Hambalang project.

The deputy chairman of the KPK, who was never swayed by the protestation of innocence, reminded Anas of his promise before the verdict was announced on Wednesday.

“The KPK only wants to remind Anas of a statement about his willingness to be hanged at Monas,” Bambang Widjojanto said.

Anas made no mention of this when giving his closing remarks to the court on Wednesday.

“I’ll need a week to think before deciding whether to file an appeal,” he said.

Ex-Sports Minister’s Brother Accepted Half a Million Dollars, Can’t Explain Why

Jakarta Globe, January 22, 2014

Andi Zulkarnaen Anwar Mallarangeng reportedly accepted a half million
dollars but doesn’t know why. (JG Photo/Afriadi Hikmal)

“Mistakes, we all make them,” was how the brother of a former sports minister explained how he had “accidentally” accepted more than half a million dollars in cash, given to him for no discernible reason at all, at his house in August, 2010.

“No one asked for the money as a kickback,” Andi Zulkarnaen Anwar Mallarangeng, the brother of former sport minister and corruption suspect Andi Alfian Mallarangeng, said during a hearing at Jakarta Anti-Corruption Court on Tuesday. “I realized the next day when I opened it.”

The brother, who goes by “Choel,” was appearing as a witness in the trial of Deddy Kusdinar, the former finance director of the sports ministry and a suspect in one of Indonesia’s more praetorian corruption cases.

“I admit I received $550,000,” he said. “My unintentional mistake was that I never talked about it with my brother, and the case later dragged him [to prison],” he said.

Andi Alfian Mallarangeng was arrested by the KPK on Oct. 17. He denies all wrongdoing.

Choel said he had not told his brother about the extraordinary amount of cash until after Andi had resigned and was named a graft suspect by the Corruption Eradication Commission (KPK).

“My mistake became his,” Choel said. “My brother is an honest man.”

The KPK takes an alternative view.

The unfinished construction of Hambalang sports complex in Sentul,
West Java. (JG Photo/Jurnasyanto Sukarno)

In a report submitted last October, the Supreme Audit Agency (BPK) listed six instances of irregularities, or non-compliance of prevailing regulations in the Hambalang sports center construction project, which resulted in a total of Rp 471 billion ($40 million) in losses to the state — up from the initial estimate of Rp 243 billion.

Hambalang was intended to be a training center for Indonesia’s elite athletes — a promising might-have-been piece of government-funded sports infrastructure for a country that continues to punch well below its weight in international sport, save for a few bright spots, such as badminton, boxing, surfing and weightlifting. Today the sorry state of affairs that would have been something positive for Indonesian sport lies half-finished, blighting the West Java landscape.

The project has brought down some key figures in the Democratic Party, including former part chair Anas Urbaningrum and Andi. Both men have been charged: both men deny the charges, and neither has been convicted. Former state-owned construction firm director Teuku Bagus Mokhamad Noor and Deddy are the two other suspects named so far.

The prosecutor in Deddy’s trial alleges that Choel met with Wafid Muharam, a bag man at the sports ministry, to arrange for a kickback from state-owned construction firm, Adhi Karya.

“During the meeting, [Andi Zulkarnaen] said his elder brother Andi Mallarangeng had been serving [as sports minister] for a year but hadn’t received anything,” Prosecutor I Kadek Wiradana said.

Choel later met with Wafid, Deddy, Fakhruddin and Muhammad Arief Taufiqurrahman, another executive with Adhi Karya, Kadek alleges.

Choel does not deny that $550,000 turned up in a package at his house a few weeks later. How and why it got there, however, is anyone’s guess, he says.

“Up until [Tuesday], I didn’t know what the money was for,” he told the court.

The trial continues.

Inter Milan: Indonesian tycoons buy majority stake in club

BBC News, 16 October 2013

Inter has as estimated 160 million supporters across the world

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Italian football club Inter Milan has become the latest European club to be taken over by foreign investors.

A trio of Indonesian businessmen led by media tycoon Erick Thohir have bought a 70% stake in the club.

The club did not disclose the value of deal, but various reports estimated it to be between 250m - 300m euros ($340m; £210m - $405m; £250m).

The two sides had been negotiating for some time amid efforts by the club to bring in fresh capital.

Massimo Moratti, the president of the club, said the club's "history is going to be enriched by a new season thanks to our new international partners who, I am sure, will contribute to a continued string of successes".

"The new partners' enthusiasm and pragmatism are certainly a guarantee for the future," he added in a statement.

Mr Thohir is also a co-owner of DC United, a Major League Soccer club in the US and has also served as vice president of the Indonesian Olympic Committee.

The other two partners in the deal are Rosan Roeslani and Handy Soetedjo.

Mr Roeslani also owns a stake in DC United, while Mr Soetedjo was involved in the purchase of basketball team Philadelphia 76ers of the National Basketball Association (NBA) in 2011.

Graft case prompts Indonesian resignation

Deutsche Welle, 23 February 2013

A probe into a sports center project by Indonesia's Corruption Eradication Commission has prompted the resignation of the chairman of Indonesia's ruling party. Anas Urbaningrum denies receiving kickback payments.

Indonesian President Susilo Bambang Yudhoyono’s 2009 re-election slogan "Mr. Clean" took a knock on Saturday when the head of his ruling Democratic Party (DP) quit after being named as a further suspect in a corruption case.

"I quit as the chairman of the Democratic Party," said Urbaningrum (pictured above) at a press conference in Jakarta while vowing to fight the charges.

His resignation had been widely expected. DP officials recently signed an "integrity pact" to give up their posts if named as graft suspects.

Popularity slump

The ruling DP slumped to just eight percent in surveys in December from 21 percent in 2009, when Yudhoyono was re-elected with a landslide vote. Indonesia's next elections are due in 2014.

State auditors say many irregularities surrounded the Hambalang sports complex, near Jakarta, resulting in $25 million (18.9 million euro) in state losses, due in part to a questionable tendering process.

In December, sports minister Andi Mallarangeng resigned after being named a suspect in the same case. Former party treasurer Muhammad Nazaruddin was jailed last April for nearly five years over a separate sports graft case.

Transparency International's index of the least to the most corrupt nation ranks Indonesia 118th among 176 countries.

ipj/slk (AFP, AP, dpa)

SBY Hails Sports Minister's Resignation as 'Good Example'

Jakarta Globe, December 07, 2012

Youth and Sports Minister Andi Mallarangeng testifying in the trial of ousted
 Democratic Party Treasurer Muhammad Nazaruddin at the corruption court
in Jakarta on Feb. 22, 2012. (EPA Photo)   

Related articles

• Breaking News: Indonesia's Sports Minister Resigns
• Update: KPK Slaps Now-Suspect Andi With Travel Ban Over Hambalang Graft
• KPK’s Abraham Pledges ‘Positive’ Action Soon in Hambalang Graft Probe
• House Leaders Pressed on Hambalang Inquiry
• Fire Andi Mallarangeng, ICW Advises Yudhoyono

President Susilo Bambang Yudhoyono said on Friday that he respected and appreciated the decision of Youth and Sports Minister Andi Mallarangeng to resign, hailing it as "a good example of responsibility shown by someone who is facing legal problems."

Yudhoyono said that as patron of the Democratic Party, he had also accepted Andi's resignation from the party's Board of Patrons.

Andi, who was named a suspect by the Corruption Eradication Commission (KPK) on Thursday over the Hambalang sports center graft case, is the first active government minister to resign over suspicion of corruption.

Yudhoyono said that Andi, who used to be his spokesman, cited three reasons for resigning. First, his inability to perform his duties effectively after being slapped with a travel ban; second, to not disturb the performance of the cabinet and not be a burden to his fellow ministers and the president; and lastly, to be able to concentrate on facing his legal problems.

"After listening carefully, and reading the letter of resignation, I have accepted and approved the resignation," Yudhoyono said in a televised press conference shortly before noon on Friday.

"I hope that justice can be upheld fairly and truthfully in this country," he added.

KPK chairman Abraham Samad announced on Thursday that Andi was named a suspect on Dec. 3 for abuse of power to benefit himself or others, and causing losses to the state. The charge carries up to 20 years in jail and fines of up to Rp 1 billion.

The suspicion was related to the Hambalang sports center graft case. The Supreme Audit Agency (BPK), which performed an audit on the project, said it was full of irregularities that had potentially cost the state up to Rp 243 billion in losses.

The results of the audit also showed that Andi was responsible for presiding over procedural malpractice related to his ministry’s budgeting. The minister allowed his secretary, Wafid Muharram, to sign the Hambalang procurement contract, against a government regulation requiring contracts of more than Rp 50 billion to be signed by the minister.

Andi has maintained his innocence.

"I am certain that the many accusations that have been leveled against me are not true," Andi said on Friday morning after announcing his resignation, adding that he hoped that "truth and justice" would eventually prevail.

He also said that he had yet to receive an official copy of the travel ban imposed on him or the document declaring him a graft suspect.

"I respect the decision of the KPK and will follow whatever legal process is necessary. I am ready to fully cooperate in settling this Hambalang case," Andi said.

"Whoever is guilty should legally be held responsible, but those who are not guilty should also be declared not guilty," he said.

Andi, a US-educated political scientist, has been known as a close adviser to the president on certain political issues. He is also said to be very close with Yudhoyono’s family.

Olympics-Athletics-Choose trainers not guns, says Barrondo

Reuters, by Neil Maidment, LONDON, Sat Aug 4, 2012

Aug 4 (Reuters) - Erick Barrondo walked into Guatemala's history books on Saturday as its first Olympic medal winner and said he hoped the magic of the moment would help his countrymen back home pick up trainers in future instead of guns.

"It's well known that Guatemala has problems with guns and knives," Barrondo said after finishing second in the men's 20km race walk, which took in the sights of Buckingham Palace.

"I hope that this medal inspires the kids at home to put down guns and knives and pick up a pair of trainers instead. If they do that, I will be the happiest guy in the world."

The 21-year-old, whose parents were both middle distance runners, even broke away from journalists' questions to take a call from Guatemala's president, Otto Perez Molina.

"The president congratulated me on the first Olympic medal for the country. He told me that everyone had come out on the streets to celebrate the triumph," said Barrondo, who finished 11 seconds behind China's Chen Ding.

"It was a glorious day for me, but the glory is most of all for my country," he added.

In a day of firsts in London the race was won by Chen, who together with his third placed compatriot Wang Zhen were the first Chinese men to win an Olympic medal in a race walking event.

Barrondo, who finished 10th in last year's 20km race walk final at the world championships in Daegu, worked hard to stay in contention among a Chinese and Russian dominated leading pack before breaking away to split China's duo on the final stretch.

(Reporting by Neil Maidment; editing by Michael Holden)

Erick Barrondo of Guatemala as he crossed the finish

 line in London on Saturday. (Markus Schreiber/

Associated Press)

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