Posted 28 August 2006 @ 14:23
BANDA ACEH, 28 August 2006 - An Indonesian agency tasked with reconstruction in Indonesia's tsunami-hit Aceh province said on Monday a report suggesting corruption in some of its projects was inaccurate and could affect the disbursement of foreign funds. The Indonesian Corruption Watch (ICW) anti-graft group said in a report published on its Web site its investigations had found irregularities in five rehabilitation and reconstruction agency (BRR) projects worth 23.9 billion rupiah (2.1 million euro).
"From the outset BRR has been committed to upholding integrity and transparency," Teuku Kamaruzzaman, the agency's secretary, told a news conference. "All the processes have been carried out in a transparent manner, taking into account the bidders' administrative completeness, expertise and the value of their offers," he said.
International agencies and countries have poured in $4.6 billion into the reconstruction of Aceh on the northern tip of Sumatra island since it was hit by a devastating tsunami on December 26, 2004 that left up to 232,000 people dead or missing in a dozen Indian Ocean nations, including nearly 170,000 in Aceh.
BRR's chief of donor relations, Heru Prasetyo, warned the report could affect the disbursement of funds from foreign donors. "I'm extremely concerned about the report as it could hamper an improved flow of international assistance," he said. Graft is a chronic problem in Indonesia, rated among the most corrupt nations in the world according to Transparency International annual surveys. Indonesian officials have said they understand donors are concerned and vowed to closely scrutinise use of the funds.
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