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Saturday, May 30, 1998 Published at 11:49 GMT 12:49 UK


World: Asia-Pacific

Call for seizure of Suharto assets

Customers queue to withdraw their money from BCA bank in Jakarta

Indonesia's Justice Minister says some of the wealth of former President Suharto and his family should be used to help the country out of its economic crisis.

In an Australian television interview, Justice Minister Muladi said he wanted a special agency to be formed to investigate the Suharto family's assets, which are estimated at tens of billions of dollars.

Pressure is growing in Indonesia for an investigation into the wealth of the former president and his family.

The BBC correspondent in Jakarta says that Indonesian newspapers are now openly alleging corruption by relatives of the former president, and thousands of Indonesians have been withdrawing their money from Bank Central Asia, which is partly owned by Mr Suharto's children.

Mr Muladi said any investigation into the Suharto fortune would have to be based on national consensus. He also said the process would require a presidential decree, a cabinet decree, and the approval of the Attorney General.

Business people who once sought links with the first family are now cutting ties with the Suhartos.

IMF urges action


[ image: Indonesian Finance Minister Ginanjar Kartasasmita with the IMF's Hubert Neiss]
Indonesian Finance Minister Ginanjar Kartasasmita with the IMF's Hubert Neiss
Mr Suharto's departure from office has not solved the economic crisis.

The Asia director of the International Monetary Fund, Hubert Neiss, completed a five-day visit to Jakarta with a warning that the economy was still deteriorating rapidly, and said action to arrest the decline must be taken as soon as possible.

Mr Neiss did not say when $1 billion in IMF funds, delayed because of the political crisis, would reach Indonesia, but it is thought the loans could be approved soon.



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