Former Jamsostek Director Sentenced to Eight Years Imprisonment
Thursday, 20 April, 2006 | 14:35 WIB

TEMPO Interactive, Jakarta: Andi Rachman Alamsyah, a former Investment Director and one of the accused in the PT Jamsostek (state-run social security services company) corruption case, was sentenced to eight years imprisonment in the trial at the South Jakarta Subdistrict Court yesterday (19/4).

He was also fined Rp200 million, or six month detention, and has to repay funds to Rp66.625 billion.

The corruption case involved purchasing medium-term debentures from four companies totaling Rp311 billion.

These included Rp97.8 billion from PT Dahana, Rp100 billion from PT Sapta Prana Jaya, Rp80 billion from PT Surya Indah Pradana and Rp33.2 billion from PT Volgren.

Sutjahjo Padmo, Head of the Judges, said that Alamsyah had not first studied the four companies' financial condition, nor had he analyzed their bona fides, business licenses or bank guarantees.

Regarding the subordinate debenture funds of Bank Global amounting to Rp100 billion, the head judge emphasized that the convicted had not properly analyzed the bank’s financial condition.

Sutjahjo Padmo also stated that Alamsyah had violated Government Regulation No. 28/1996 on the management and investment of Jamsostek program funds.

What weighed down the convicted, said the head judge, was that he had carried out an 'extraordinary crime' which needed special handling.

What he did has lowered the nation's dignity on and international level, as well as disrupting the country’s economic growth.

After the verdict was announced, Alamsyah’s legal advisor, Aji Wijaya, said they would propose an appeal.

Aji said regretted the judges' verdict and that he believed the punishment was too harsh.

Rini Kustiani