Indonesia: Finance Ministry steps up anti-corruption campaign

Urip Hudiono, The Jakarta Post, Jakarta

The Finance Ministry's inspector general and anti-money laundering watchdog the Financial Report and Analysis Center (PPATK) have agreed to step up efforts to confront corruption in the ministry.

Under the memorandum of understanding signed in Jakarta Friday, the Finance Ministry and PPATK will improve first-step detection and prevention of any indicated acts of corruption within the ministry by sharing information about any suspicious financial transactions relating to officials, ministry inspector general Permana Agung said.

"The reporting and recording of such suspicious transactions are important if we want to eradicate corruption -- to collect the preliminary evidence needed to indict any indicated acts of graft," he said.

The MoU was signed by Permana and PPATK head Yunus Husein.

It is expected to strengthen the inspector's investigation bureau, formed in 2004, and follow similar agreements already signed between the Finance Ministry's directorate generals and the PPATK.

The MoU also adds to cross-cooperation already existing with the Corruption Eradication Commission, the Supreme Audit Agency, Bank Indonesia, the National Police, and the Attorney General's Office.

Yunus said he expected the MoU would further help the efforts of authorities to prevent money laundering, particularly of funds coming from corruption.

"Even criminals work together -- that's why it's called organized crime -- so why don't the authorities cooperate as well?" he said.

Yunus said that 178 of the 433 cases PPATK had submitted to law enforcers for follow up being related to corruption. The total amount of money involved added up to around Rp 100 trillion.

The PPATK had, as of last year since its establishment in 2002, received 6,793 suspicious transaction reports and nearly 2 million transactions above Rp 500 million from the financial sector, as well as 1,432 cash transactions above Rp 100 million from the customs.

Perama said the Finance Ministry's tax office, customs office and the treasury directorate general were the areas of the ministry with the greatest records of corruption.

Finance Minister Sri Mulyani Indrawati, who witnessed Friday's MoU signing said the new cooperation with PPATK was not aimed at finding a scapegoat for corruption within the ministry, but to improve the ministry's overall performance.

"What's important is building trust within and with PPATK, so we can all work better in the future," she said.

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