Yusuf Merukh faulted over gold mining in East Java

Prominent mining investor Yusuf Merukh and his partners in PT Banyuwangi Mineral has been attacked by non-governmental organizations for trying to open gold mining operation in the Meru Betiri national park, in Banyuwangi district, East Java.

The NGOs also accused Yusuf of taking advantage of the ignorance of the local Banyuwangi administration to issue the mining license.

A source told Petromindo.com earlier that Banyuwangi Mineral had obtained a license to start mining operation in Banyuwangi. This was against the existing law because the license should come from the ministry of mineral resources and energy in Jakarta. The source said that the Banyuwangi administration can only start issuing license when the regional autonomy policy is fully implemented early next year.

In a joint press conference Thursday, 15 NGOs demanded the government to revoke the mining license issued by the Banyuwangi administration because it was illegal and violated the law on forest conservation.

Coordinator of mining network or Jatam Chalid Muhammad said that Yusuf and his partners had quietly persuaded the Banyuwangi administration to issue the mining license knowing that the administration desperately needed to raise revenue.

"In their presentation, Yusuf and his partners have been selling many dreams to local government officials like a raise in tax revenue and royalty," Chalid said.

The NGOs also demanded the government to cancel the license obtained by Yusuf's PT Jember Metal to open a copper mining in Jember, also in East Java. (R. Amoros)