All of Pertamina's projects will be re-audited

The new board of directors of PT Pertamina has promised to re-audit all the projects carried out by the company in the past and investigate the possible involvement of the company's employees in collusion and corruption practices in the projects, Koran Tempo reported on Thursday.

Newly appointed president of the state oil company Widya Purnama, said in Jakarta on Wednesday that the projects which would be re-audited would include the Karaha Bodas geothermal project, TPPI and ExxonMobil's contract in the Cepu oil field.

The investigation would also conducted on all level of Pertamina's management, he said. He promised that all those involved in corruption practices would be reported to the police.

"Sin is sin, but the new management should be free from the past sin," he was quoted as saying.

Meanwhile, economic daily Bisnis Indonesia reported on Thursday that in a special audit on Pertamina, auditing company Ernst & Young (E&Y) has found an indication of embezzlement of Rp 3 trillion during the last three years.

A source revealed to the Bisnis that the public accountant did not find the reasons behind the release of such huge money.

?E&Y has been conducting its special audit for at least three weeks so far, and would finish it in early September,? said the source.

This special audit, according to the source, will check the old cases, which disrupted the Pertamina?s cash flow.

?For example why Pertamina?s credits went sour. From this audit, the reasons will be known,? it said.

While responding to the news of misappropriation of funds, Pertamina?s new president director Widya Purnama said he will summon the E&Y and ask about the Rp 3 trillion. He will also ask the E&Y to audit other cases, which deals with all the internal aspects of the company.

If the audit results show misappropriation of funds, Widya said Pertamina will bring the case to the court.(*)