PT PJB?s boss denies corruption charge

Monday, March 4 2002 - 03:36 AM WIB

President director of PT Pembangkit Jawa dan Bali (PT PJB), Rachmat, has denied an allegation that the company had suffered a financial loss of about Rp 3.3 billion (US$1 = Rp 10,200) due to corruption practices.

"There is no corruption. The report, which said that there was corruption in the company is certainly groundless. The information, which circulates in the public is not complete," he told reporters over the weekend. Rachmat was commenting on the allegation made by the company?s labor union that the company had suffered a financial loss of at least Rp 3.3 billion due to corruption.

According to the labor union, there have been misappropriations of funds in the operation of power plants particularly related to the repair of hydropower plant PLTA Cirata, and the coal supply to PLTU Paiton-PJB.

Rachmat said that the company has introduced a tight monitoring system in order to curb corruption practices in the company after it decided to adopt the concept of good corporate government in managing and operating the company several months ago.

The good corporate governance concept which underlines the importance of interdependency, accountability, transparency and disclosure has been proven to be effective in curbing corruption practice, Rachmat said.

PT PJB, which operates and managed state electricity company PLN?s power plants in Java and Bali, controls amount 30 percent of the power supply in the Java and Bali power distribution system. (*)

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