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Indonesian sea transport director general named as graft suspect

Indonesian sea transport director general named as graft suspect
The latest Indonesian official being investigated on alleged corruption charges, has a potential impact on the maritime industry as local media reported that the Corruption Eradication Commission (KPK) was looking into the Transportation Ministry’s sea transportation director general, Bobby Reynold Mamahit, as a corruption suspect in connection with procurements and the construction of a shipping education and trading center in Sorong, West Papua.

KPK spokesman Yuyuk Andriati was quoted as saying Bobby and the head of the human resources development division at the directorate general, Djoko Pramono, had been named suspects for allegedly accepting money from PT Hutama Karya, the tender winner of the project worth IDR96.4bn ($4.63m).

The case is related to procurements and the third phase of the construction of the shipping education and training centre, funded by the 2011 state budget.“We suspect DJP and BRM instructed [their subordinates] to name PT HK the winner of the tender. They allegedly accepted fees,” Yuyuk said.

According to Yuyuk, the case is related to another case involving the head of the goods and services procurement committee at the Sea Transportation’s Human Resources Development Centre, Irawan, former PT Hutama Karya general manager Budi Rachmat Kurniawan and official Sugiarto.

Bobby and Djoko were mentioned in the prosecutors’ charges against Budi Rachmat Kurniawan, read out at a hearing at the Jakarta Corruption Court recently. Bobby has been accused of accepting IDR480m and Djoko IDR620m.The KPK said state losses from the case could reach IDR40bn.