Upstream business remains normal despite arrest of SKK Migas? chairman

Vice chairman takes over

Wednesday, August 14 2013 - 08:52 AM WIB

By Godang Sitompul

Upstream authority SKK Migas assured on Thursday that activities at the country?s oil and gas upstream sector continues as normal despite the arrest of the agency?s chairman Rudi Rubiandini on charges of accepting bribes.

?Industry as well as the institution (SKK Migas) continues (as normal), including upstream activities. The oil and gas upstream activities are very strategic. The activities should not be disturbed and there should not be a vacuum,? SKK Migas?s Secretary Gde Pradnyana said in a statement.

The Corruption Eradication Commission (KPK) has reportedly arrested Rudi Rubiandini on alleged bribery case in the early hours of Wednesday at his residence in Jakarta, and was immediately taken to KPK headquarters at 1.30 AM.

Rudi and four other people were arrested by the KPK on allegations that he had received bribe twice. The first bribe he received was about US$300,000 during the recent Ramadhan month, and the second $400,000 after the Idul Fitri celebration.

Another man by the name of Simon was also arrested. He was suspected of giving the bribe money to Rudi.

Gde said SKK Migas would let the existing legal mechanism to solve the matters related to the arrest of the agency?s chairman.

He also said following the arrest, SKK Migas is now run by the agency?s vice chairman, secretary, deputies and internal unit heads. The agency will also coordinate with its supervisory committee, which consists of the minister of energy and mineral resources, the deputy minister of energy and mineral resources, vice minister of finance, and head of the Investment Coordinating Board (BKPM).

Meanwhile, sources said Coordinating Minister of the Economy Hatta Radjasa would appoint SKK Migas? Vice Chairman Johanes Widjonarko as acting chairman of the agency

When contacted for confirmation, Widjonarko said he was not aware of it as he was still on travel overseas and was heading back to Indonesia.

Editing by Johannes Simbolon

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