Jakarta (ANTARA News) - The Corruption Eradication Commission (KPK) is scheduled to question former state enterprises minister Sofyan Djalil as a witness in the controversial bailout of Bank Century (now Bank Mutiara) on Wednesday.

"He will be questioned in the case against BM as a suspect," stated KPK spokesman Priharsa Nugraha, here on Wednesday.

However, Sofyan who was state enterprises minister from 2007 to 2009 had not arrived at the KPK building at the time of filing this story. The KPK is also scheduled to question former Bank Indonesia deputy governor Hartadi A. Sarwono on Wednesday.

According to the State Audit Board (BPK), the granting of short-term assistance (FPJP) facility to Bank Century has resulted in a loss of Rp689.3 billion and the status of the bank listing as "failed" with systemic effects causing the state a loss of Rp6.76 trillion. Overall, the state has suffered Rp7.4 trillion in losses from the case.

The KPK has only named BM, the former Bank Indonesia deputy for foreign exchange management, as suspect in the case. He has been held in the KPK detention center since November 15 last year.

BM is charged with abusing his authority based on article 3 of Law No. 31/1999 on corruption eradication.

Besides BM, another BI executive considered accountable for extending the loan is Siti Chodijah Fajriah, but investigation has been hampered by the fact that she is too ill to undergo a legal trial.

Bank Century received a bailout of Rp6.7 trillion during the financial crisis of 2008, despite failing to fulfill the requirements for the bailout.

According to the State Audit Board (BPK), Bank Indonesia did not take strict action against the bank. Instead, it modified its own regulations to allow the bank to receive the loan.

(S012/ INE/O001)
Reporting by Desca Lidya Natalia
EDITED BY INE
(KR-BSR/O001)

Editor: Jafar M Sidik
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