Officials summoned over crane bribery

News Story
- 7 Jan 2016 ( #751 ) - Jakarta, Indonesia
1 min read
Wuxi Huangdong Heavy Machinery was appointed without a formal bid process
Wuxi Huangdong Heavy Machinery was appointed without a formal bid process
Indonesia's Corruption Eradication Commission has summoned the former financial director of state port operator Pelindo II along with other officials to testify against their former chief, Richard Joost Lino.

According to a report in the Jakarta Globe, the anti-corruption agency, better known as the KPK, last month named Lino a suspect in a corruption case involving the purchase of quay container cranes for the various ports managed by Pelindo II in 2010. The equipment was supplied by Wuxi Huangdong Heavy Machinery which was directly appointed by the port operator, contrary to official bidding procedures.

The KPK this week summoned Dian M. Noer, the port operator's financial director for the 2009-2012 period, to testify in the case.

"Dian will be questioned as a witness for the suspect (Lino)," KPK spokesman Priharsa Nugraha is quoted as saying.

Noer is aware of key details of the procurement and had once warned Lino not to go ahead with the direct appointment, the KPK alleges. The former Pelindo II official had disapproved of the procurement as it did not go through any official bidding procedures and the cranes failed to meet technical specifications required by the company.

Lino reportedly fired him for voicing his objections.

The KPK also summoned three other officials from Pelindo II and one of its subsidiaries. It is unclear whether they would also testify as witnesses.

Lino, who has denied any wrongdoings and claims the appointment was conducted through proper procedures, has launched a pre-trial motion to have the charges quashed.

Lino is also the subject of a preliminary investigation by the National Police centring on a similar purchase of mobile cranes. The police in November named Pelindo II director Ferialdy Noerlan a suspect as part of that investigation, which began last August.
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