Court acquits two Chevron contractors

The Jakarta High Court acquitted PT Green Planet Indonesia and PT Sumigita Jaya, two contractors of oil and gas firm PT Chevron Pacific Indonesia, from having to pay hefty compensation in relation bioremediation projects at the latter company?s former oil fields in Riau, annulling an earlier decision made by the Corruption Court, newspaper reports said Tuesday.

The Corruption Court earlier ruled the two firms to pay combined compensation worth US$9.98 million in relation to the alleged corruption in the implementation of the bioremediation projects, which have cause the state financial losses.

The high court also reduced the jail term sentence for two senior officials of the companies. Green Planet Director Ricksy Prematuri?s jail term was reduced from 5 to 2 years, while the jail sentence of Sumigita Director Herland bin Ompo was reduced from six to three years.

The court said that the two companies do not have the necessary permit to carry out bioremediation project, but they have not caused losses to the state.

Ricksy and Herland said they will make an appeal with the Supreme Court, insisting that they are not guilty.

The Attorney General?s Office has said that Chevron?s bioremediation projects had been tainted with corruption, thus causing losses to the state as oil and gas contractors in the country obtain reimbursement from the state for their operation spending under the cost recovery program.

Chevron has insisted that the projects had been carried out in line with existing laws and regulations. The court has previously sentenced three Chevron?s officials each with two-year jail term. (*)