Democratic Party Opposes House Plan to Question Boediono Over Century
Vice President Boediono maintained that his decision to release emergency funding to Bank Century was necessary to prevent the lender from jeopardizing the stability of the Indonesian banking industry, but that he shoulders no responsibility for any misappropriation of funds from the total bailout package. (EPA Photo)
The Democratic Party has protested some lawmakers' plan to summon Vice President Boediono for questioning on the Bank Century bailout scandal, saying it is not the purview of the House of Representatives (DPR).
"That is the business of the [Corruption Eradication Commission] KPK," Democratic Party lawmaker Sutan Bhatoegana, who also serves as a member of the House of Representatives' supervisory committee on the Century case, said in Jakarta on Tuesday. "All statements, all explanations [from Boediono] should be made under the authority of the KPK."
The KPK questioned Boediono for seven hours on Saturday at his office at the vice presidential palace as a witness in the bailout scandal dating back to 2008, when he served as the governor of Bank Indonesia.
The amount of money disbursed to then ailing Bank Century, now restructured and renamed Bank Mutiara, ballooned from Rp 600 billion ($51 million, at today's exchange rate) to Rp 6.7 trillion.
Boediono admitted in the press conference after the KPK questioning that he had altered the central bank policy in order to push through a bailout for Century.
Boediono maintained, however, that the Bank Indonesia decision to authorize short-term funding for Century was a correct response to the systemic threat to Indonesia's banking industry posed by the lender's failure.
Following those statements, other members of the legislative Century committee said they wished to grill Boediono over the issue, after last questioning him in 2010 in the wake of the scandal.
"We found a discrepancy in Boediono's statements," Bambang Soesatyo of the Golkar Party said on Monday. "So we will most likely schedule questioning for Boediono so that he may explain the statements he gave to the KPK."
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