Corruption charges against Suharto

Investigation on charges of corruption against Indonesian former president/dictator Suharto mainly focused on corruption he was made during his 32-years rule. In Global Transparency Report made by Transparency International in 2004, he was ranked first on the most corrupt leader, causing loss of US$15–35 billion of state fund.[1]

Suharto headed several organisations that continuously established during his rule, with various functions those foundations had, including to provide educational, health, and support for veterans fought in Trikora. All of those organisations suspected to receiving money that was embezzled from state funds.[2]

History

After the fall of Suharto, calls for arrest of Suharto after corruption charges emerged. People's Consultative Assembly decree no. XI/1998 declares that any attempts on eradicating corruption must be done thoroughly, including against president Suharto that was mentioned explicitly.[3]

Despite of ongoing investigation on alleged corruption case, in 2006 attorney general Abdul Rachman Saleh said that he had authorized the issuance of "Termination of Criminal Persecution Decree" (Surat Keputusan Penghentian Penuntutan Pidana, SKP3), which suspends all attempt to prosecute Suharto on ground that his physical and mental health unfit to attend court session. The decision was overturned by South Jakarta state court under grounds that physical and mental fitness wasn't a valid reason to suspend prosecution.[4] Revocation on the decree allowed the process to prosecute Suharto to continue.

Suharto's death on 27 January 2008 did not stop the investigation of the corruption case, with his children replaced him as defendant on his corruption case just shortly before his death.

Foundations

Supersemar

Established by Suharto in 1974, this organisation providing scholarships for Indonesian students. Income of this foundation was mainly from state-owned banks, with Decree no. 15/1976 legitimizes state-owned banks income to be deposited to Supersemar Foundation.

In 2015, Supersemar Foundation was founded guilty after several failed attempt on cassations in 2015, which forced the organisation to pay Rp4.4 trillion.[5]

The foundation had their income of US$420 million and Rp185 billion, which was initially arranged for scholarships but instead was delivered among Suharto and his crony companies. US$420 million was distributed to Bank Duta, Rp13 billion to Sempati Air, and the rest was to other companies and cooperatives.[6]

Dana Sejahtera Mandiri

In 1995, Suharto issued presidential decree no. 90 which recommends all taxpayers with income above Rp100 million to "donate" 2% of their income to this organisation. This decree was revised by decree no. 92/1996, which makes the donation compulsory. The decree legitimate losses of Rp1.4 trillion that was distributed among his families, with Rp112 billion distributed to his son's bank.[2]

Trikora

The foundation was formed to support sons and daughters of Trikora veterans who lost their lives. In year 2000, Indonesian attorney general had accused this organisation to contribute to losses of Rp7 billion which was allocated to unrelated affairs of the organisation.[2]

References
  1. Global Corruption Report 2004: Political Corruption by Transparency International - Issuu. Pluto Press. 2004. p. 13. ISBN 0-7453-2231-X – via Issuu.com.
  2. "Yayasan Supersemar dan 5 Yayasan Soeharto Dibidik Kejaksaan". Tempo Nasional.
  3. TAP MPR no XI/1998
  4. "SKP3 Soeharto Tidak Sah Secara Hukum".
  5. Babak baru, keluarga mantan presiden Soeharto dihukum 4,4 triliun
  6. Catatan dana Yayasan Supersemar yang Diselewengkan (in Indonesian), CNN Indonesia, 2015-08-13

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