Probe in e-KTP Program Finds Loss of Rp 1.12t for Govt: KPK

Jakarta Globe, Rizky Amelia & Markus Junianto Sihaloho, Apr 23, 2014

The program that gives out the electronic identity card, known as e-KTP, is at the
center of an investigation of alleged mark-up in costs. (JG Photo/Dhana Kencana)

Jakarta. The nation’s anti-graft agency says that the government program to give each citizen an electronic identity card has resulted in the state losing Rp 1.12 trillion ($98 million), following an investigation that officials were marking up costs.

The total budget of the project was Rp 6 trillion, disbursed from 2011 to 2012, but “the state loss, based on the investigation result, was Rp 1.12 trillion,” Johan Budi, spokesman of the Corruption Eradication Commission (KPK) said on Wednesday.

He declined to provide details on the budget of the program, known as e-KTP, allegedly being marked up.

The commission had named Sugiharto, director general of population and civil registry at the Home Affairs Ministry, as a suspect in this case.

Johan said the KPK is still investigating the possibility that money transfers sent to Sugiharto’s bank account were kickbacks.

The commission on Tuesday and Wednesday searched the office of the ministry as well as the room of Home Affairs Minister Gamawan to find evidence linking any mark-up of the budget, and it has confiscated some documents.

The KPK also searched the office of the directorate general of the population and civil registry on Jalan Taman Makam Pahlawan in Kalibata. The office of Quadra Solution, which is an IT services provider in Kuningan, was searched, too, Johan said.

“S [Sugiharto] was the official who was responsible in managing the contract with the partner company in the procurement project,” Johan said, referring to Quadra Solution.

Johan said that the KPK would summon Gamawan if he is needed to provide information related to the case.

The case was brought to light after former lawmaker and treasurer of the Democratic Party, Muhammad Nazaruddin, said last year that the project was marked-up and he accused Gamawan and some lawmakers of receiving bribes related to the project.

Gamawan previously denied the allegation, saying that there were no irregularities found in the report of the Supreme Audit Agency (BPK) and it was not investigated by KPK.

The Indonesian Forum for Budget Transparency (Fitra), a budget watchdog, demanded the KPK to investigate further and to charge officials who were involved.

“The KPK’s knife should be sharper for the state official, not only for the one who signed the contract,” Uchok Sky Khadafi, investigation director of Fitra, said on Wednesday.

Uchok, citing the audit result of the Supreme Audit Agency in 2013, said that the state loss actually totaled Rp 3 trillion.