What do you think about Indonesia?

https://i2.wp.com/www.softwar.net/CIAX1.GIFIndonesia: News
Corruption, Lawlessness Fuel Epidemic of Illegal Logging in Indonesia
WASHINGTON, DC and JAKARTA, Indonesia, Feb. 20, 2002 – Corruption and lawlessness are fuelling an epidemic of illegal logging in Indonesia, resulting in a doubling of the country’s deforestation rates in the late 1990s, according to a report released today.

Indonesia today is losing nearly 2 million hectares of forest every year, up from 1 million hectares annually in the 1980s. Forest cover fell from 162 million hectares in 1950 to only 98 million hectares in 2000. The country’s richest forests, the lowland forests, are almost entirely gone in the island of Sulawesi and will disappear in 2005 from Sumatra and in 2010 in Kalimantan.

“Deforestation on this scale, at this speed, is unprecedented,” said Emily Matthews, co-author of the report, The State of the Forest: Indonesia. “Indonesia is rapidly transitioning from a forest-rich to a forest-poor country.”

The report, published by the World Resources Institute (WRI), Global Forest Watch (GFW), and Forest Watch Indonesia (FWI), is the first comprehensive map-based assessment of the forests of Indonesia. It provides a detailed analysis of the scale and pace of change affecting Indonesia’s forests.

The report concludes that the doubling of deforestation rates in Indonesia is largely the result of a corrupt political and economic system that regards natural resources as a source of revenue to be exploited for political ends and personal gain. The political instability that followed the economic crises of 1997 and the eventual ouster of former President Suharto in 1998 further increased deforestation to its current level.

“Indonesia’s economic miracle of the 1980s and the 1990s was based on ecological devastation and abuse of local people’s rights and customs,” said Togu Manurung, director of Forest Watch Indonesia. “Our findings do not provide grounds for much optimism, despite clear signs of change in Indonesia.”

Driving the rapid deforestation of Asia’s largest – and the world’s third largest — contiguous areas of tropical forests are corruption, lawlessness, illegal logging, political instability, and over-expansion of forest industries.

Logging concessions covering more than half the country’s total forest area were awarded by former President Suharto, many of them to his relatives and political allies. Today, ten companies control 45 percent of the total logging concessions in the country.

“Cronyism in the forestry sector left timber companies free to operate with little regard for long-term sustainability,” said Matthews. According to the Ministry of Forestry, legal timber supplies from natural forests declined from 17 million cubic meters in 1995 to less than 8 million cubic meters in 2000.

Massive expansion in the plywood, pulp and paper industries over the last 20 years means that demand for wood fiber now exceeds legal supplies by as much as 40 million cubic meters annually. Many industry leaders have acknowledged their dependence on illegally cut wood, which accounted for as much as 65 percent of the supply in 2000.

The government’s industrial timber plantation program and the system of converting forests into plantations further drive deforestation. Nearly 9 million hectares of land, much of it natural forest, has been allocated for industrial timber plantations by 1997. While most of it is cleared now, only 2 million of it has been re-planted. In addition, nearly 7 million hectares of forest had been approved for conversion into palm oil or rubber plantations, but only about 4 million has actually been planted.

The report warns that Indonesia’s rapid move to a new system of regional autonomy could result in further deforestation since provincial and district governments do not have the funds or the capacity to govern effectively. Raising short-term revenue will be a top priority and as a result, intensified exploitation of forest resources is already occurring in many regions.

“Growing lawlessness has been a major factor in increased logging and forest clearing,” said Manurung, a co-author of the report. Since 1998, the incidence of illegal logging and farming in national parks have increased, such as in Central Sulawesi’s Lore Lindu National Park and in Aceh’s Leuser National Park and in Central Kalimantan’s Tanjung Puting National Park.

Indonesia’s forests are considered to be among the most diverse and biologically rich in the world. Although the country comprises only 1.3 percent of the earth’s land surface, it holds a disproportionately high share of its biodiversity, including 11 percent of the world’s plant species, 10 percent of its mammal species, and 16 percent of its bird species.

While the report says that much of Indonesia’s natural resource base has been destroyed and degraded, much of it still remains. The harder, but more sustainable route will be to reclaim the land that currently lies idle and conserve the primary forest that remains.

Pressure is being applied by international aid donors led by the World Bank to reform the country’s forestry policy, but these efforts have met with limited success. Local Indonesian environmental organizations such as the Indonesian Forum for the Environment (WALHI) are also putting forward a reform agenda, but to date the government has paid serious attention only to aid donors.

“Sixty four million hectares of Indonesian forest have been cut down over the past 50 years,” said Dirk Bryant, director of Global Forest Watch. “There is no economic or ethical justification for another 64 million hectares to be lost over the next 50 years.”

CIA GOT INFO FROM

CIA NAMES
CORRUPTION, COLLUSION AND NEPOTISM

CLICK HERE TO READ THE ARTICLE ON NEWSMAX.COM

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CLICK HERE TO READ THE 2002 ARTICLE ON NEWSMAX.COM

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JOHN HUANG MEETS THE CIA

CLICK HERE TO SEE THE HUANG DOCUMENTS

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EDISON CEO WRITES RON BROWN FOR A FAVOR

CLICK HERE TO SEE THE LETTER AND READ THE EXCLUSIVE SOFTWAR EDITORIAL

——————————————————————————–

COMMERCE DEPT. DOCUMENTS ON THE PAITON POWER PLANT

——————————————————————————–

MORE COMMERCE DEPT. DOCUMENTS ON THE PAITON POWER PLANT

——————————————————————————–

OVERSEAS PRIVATE INVESTMENT CORP. (OPIC) PAITON I DOCUMENTS

——————————————————————————–

COMMERCE DOCUMENTS ON PAITON I AND “INCENTIVE” MONEY

——————————————————————————–

MORE WHITE HOUSE DOCUMENTS & FIRST FAMILY DEALS

——————————————————————————–
WARREN CHRISTOPHER & THE SUHARTO POWER SCAM

CLICK HERE TO READ THE ARTICLE ON NEWSMAX.COM

——————————————————————————–

EDISON CEO WRITES RON BROWN FOR A FAVOR

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Power Corrupts
Edison Indonesian power deal blows financial fuse

By Charles R. Smith “SOFTWAR”

The residents of California are suffering from a blackout. Not one of electric power but of the news. The mainstream media, including Time/CNN, continue to maintain the recent spate of financial short-circuits inside California’s energy grid are all due to state economic and environmental regulations. Nothing could be further from the truth.

In 1994, Edison Mission Energy landed a trade trip with Ron Brown to Indonesia. As a result of that trip, Edison also ended up with a contract to build the Paiton I coal fired power plant. Paiton I was billed as the first “private” electric plant in Indonesia. In 1994, “private” ownership in Indonesia equated into owned and operated by the Suharto “First Family.”

The partners in the Paiton I consortium include Edison Mission Energy, Mitsui & Co., Ltd. of Japan, General Electric Capital Corporation, and P.T. Batu Hitam Perkasa. Just by co-incidence, of course, PT Batu was owned by Indonesian dictator Suharto’s youngest daughter, Titek Prabowo and her brother-in-law, Hashim Djojohadikusumo.

According to the Commerce Dept., “.75%” of the Paiton project was reserved for Suharto’s daughter Prabowo, or an instant $15 million in cash. Her share, along with a cut for “brother-in-law” Hashim and various other Suharto relatives, was to be provided up front, in cash, in the form of a $50 million loan. The $50 million loan was to be paid back by the profits or dividends from the power plant.

The documents show that Edison officials were aware of the $50 million destine for Suharto’s daughter. Newly released documents also show that Edison Chairman John Bryson actually pressed the Secretary Ron Brown to support the $50 no-pay back loan.

Federal Election Commission records show that Mission Energy CEO John Bryson donated money to the Clinton/Gore campaign and contributed money to President Clinton’s legal defense fund. In 1994, Bryson also wrote a personal letter to Brown, pressing for quick approval of the $50 million U.S. government backed loan.

Dear Ron,” wrote John Bryson, then Chairman of Southern California Edison. “I am writing to request your support of the application of the Paiton Private Power Project in Indonesia for funding by the Asian Development Bank (ADB).”

“We have applied to the ADB for $50 million of funding as part of a $1.9 billion financing package. The bulk of the funds will come from a group of commercial banks, the U. S. Export Import Bank and Japan Ex-Im,” noted Edison CEO Bryson.

“I would greatly appreciate it if you would indicate your support for ADB funding of this project. With that in mind, enclosed is a draft letter to Ambassador Linda Tsao Yang, U.S. Executive. Director of ADB, for your consideration.”

The U.S. Commerce Department was not the only agency to take notice of Edison’s special contract with Suharto’s daughter. In 1994, agents from the Central Intelligence Agency met with China-Gate figure John Huang on the Paiton Power Plant. The 1994 meeting between the intelligence agency and Huang included detailed information about the $2.6 billion Paiton electric power plant for Indonesia.

According to the documents, CIA agents Bob Beamer, Chris Crosby, Lia Fidas and Nancy Goldcamp attended an August 1994 “TPCC” or “Trade Policy Coordinating Committee” meeting with John Huang. The subject of the CIA meeting was U.S. government financed trade deals that contained “first family involvement” or illegal payments made to relatives of then Indonesian dictator Suharto.

A 1994 Commerce Department report found in Huang’s files noted that the Indonesian “Paiton” power plant had encountered difficulties with financing because the “Asian Development Bank (ADB)” knew it contained money for a Suharto family member.

“ADB had raised concern about first family involvement during its consideration of the $50 million financial portion,” states the Paiton Project document found in Huang’s files.

“Ambassador Barry stated that the project is facing two problems (i) the ADB financing may cave in and (ii) EXIM financing. Regarding ADB, technical questions have been satisfied, but ADB is skiddish about involvement of Indonesia’s first family (a minority shareholder is married to Pres. Suharto’s daughter).”

In addition, 1994 documents provided by the Overseas Private Investment Corporation (OPIC) noted that Suharto’s daughter Prabowo and her brother-in-law, Hashim Djojohadikusumo, were given a total “2.5%” ownership in the U.S. sponsored power project, through their local company BHP.

“ADB is still considering this, b/c of very minimal involvement of Indo ruling family in the Mission project… ADB’s delay revolves around concern for projects in Indonesia involving the first family. .75% ownership of the Mission project by daughter of Indo pres.”

Directly after meeting with the CIA on the known Suharto “first family” involvement inside the Edison Paiton power project, Huang proceeded to place a three hour call to his former employer, the Lippo Group. In 1999, John Huang pled guilty to Federal charges of making illegal political contributions to the Clinton/Gore campaign. Huang took the Fifth Amendment more than two thousand times when asked by Judicial Watch if he had ties to Chinese intelligence.

In the end, the Asian Development Bank turned down Edison’s $50 million loan deal, forcing the company to obtain the loan financing from commercial banks. Curiously, many secrets still surround the Edison coal fired power plant in east Java. The U.S. State Department maintains that some information on Paiton must remain classified.

“The information in the one document withheld in full and in the deleted portions of the sixteen other documents withheld in part is properly classified in accordance with Executive Order 12958 (National Security Information) despite the passage of time. Its release reasonably could be expected to cause damage to the national security of the United States,” wrote Ambassador Francis McNamara in November 2000.

One partly blacked out cable from the State Department is titled “on power projects, corruption, draft laws.” The December 1998 cable, a discussion between U.S. Ambassador Roy and an individual whose name was withheld, states that the individual “stressed that solutions to the problem must be simple to convince ‘the people’ that corruption, collusion and nepotism (‘KKN’) are being dealt with properly.”

During the 1990s, U.S. government officials were keenly aware of the rampant corruption inside Indonesia’s electric power producers. In October 1998, U.S. Ambassador J. Stapleton Roy wrote in a diplomatic cable that he had recently met with Indonesian Director General of Electricity Endro Utomo Notodisoerjo. Endro, according to the cable, was more than honest about criminal activity.

“Commenting on corruption, collusion and nepotism (KKN), Endro said that in the past there was no separation between ‘power’ (not electric but former first family power) and business. ‘All the IPP’s have a relation with power, and it is still going on,’ added Endro.”

However, the real key to the Paiton power project is the ultra-clean coal – then mined from only two places on earth, Indonesia and Utah. Toward that end, Brother-in-law Hashim received an exclusive, no bid, no-cut contract to supply the clean coal to the Paiton power plant.

According to State Department cables, Hashim’s coal price also exceeded the price of the electricity produced at the Paiton power plant. Hashim’s no-cut contract was characterized as the “Achilles heel”, driving Paiton into debt with each kilowatt produced. Of course, no profits from the power plant also meant zero dividends. Suharto’s daughter and Hashim never had to pay back the instant $50 million loan because Paiton was intended to fail even before it opened.

Hashim’s financial backer in his Indonesian coal mining business is Moctar Riady and the Lippo Group. In 1996 President Clinton issued an executive order creating the 1.7 million-acre Grand Staircase-Escalante National Monument in Utah – making the only other known “low sulfur” deposit off limits for commercial mining. Thus, Lippo obtained control of the world’s only low sulfur coal mine.

Edison is also partner of Indonesia’s Lippo group; a consortium part-owned by Indonesian billionaire Moctar Riady and a front company for Chinese military intelligence, CRE or China Resource Enterprises. The son of Lippo founder Moctar Riady, James Riady recently pled guilty for passing illegal donations to the Clinton/Gore political campaigns.

In 1999, PLN acquired the documents cited here that stated Clinton administration officials were aware of “corruption, collusion and nepotism” inside the electric power trade deals made with Indonesia. PLN used the documents to win a lawsuit against the Clinton administration, charging that U.S. officials knew the Paiton power plant contract was “corrupt from the beginning.”

In December 1999, an Indonesian court ruled that the entire $2.6 billion dollar Edison Paiton power plant contract was illegal. The Indonesian Courts ruled, based on the documented evidence presented here, that the multi-billion dollar electric deal with Edison was corrupt from the beginning. The state Indonesian Power Company PLN estimated that it had lost over $18 billion in total from Suharto corruption inside U.S. government sponsored power plant contracts.

If Californians are going to be stockholders in Edison International, perhaps they should know why the company is currently short several hundred million dollars. An Indonesian government audit recently revealed that the Edison Paiton power plant had accumulated unexplained losses of over $280 million.

Yet, Edison was not the only U.S. company to suffer the corrupt Suharto/Clinton connection. According to State Department documents, Unocal, Calenergy and El Paso Energy were all subject to “corruption, collusion and nepotism” in other billion dollar power plant deals with Indonesia.

“Unocal executives told resources officer that the firm is close to reaching a deal with its partner, PT Nusamba (controlled by former President Soeharto crony Bob Hasan) to sever ties in two production sharing contracts (PSC) in East Kalimantan and East Java,” noted a State Department cable.

“According to Unocal, Nusamba put USD 20 million into Gunung Salak, and it would be difficult, due to the financial structuring of the deal, to undo the partnership.”

Nor was the corruption simply limited to simple power plants. According to documents found in John Huang’s office, Exxon’s $34 billion dollar Natuna sea gas deal with Indonesia was laced with “first family involvement”.

Two recent Freedom of Information responses from the Central Intelligence Agency and the U.S. Commerce Department, both noted that documents detailing the exact amount of Exxon monies paid to the Suharto regime remains a secret. Exxon also contributed millions of dollars to the successful 2000 Bush campaign.

The unanswered question for America is how much of our energy costs is actually “corruption, collusion and nepotism.”

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JOHN HUANG MEETS THE CIA

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EXPORT-IMPORT BANK DOCUMENTS

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DOCUMENTS WITHHELD IN PART BY THE EXPORT-IMPORT BANK

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United States Department of State

Washington, D. C 20520

Case Control No. 199902013

AUG 19 1999

Mr. Charles R. Smith
SOFTWAR

Dear Mr. Smith:

I refer to your letter of February 25, 1999 to the Department of Commerce, requesting the release of certain material under the Freedom of Information Act (Title 5 USC Section 552). Twenty-nine of the relevant documents retrieved in response to your request originated wiLh the Department of State and have been referred to us for appropriate action.

We have determined that 11 may be released, 15 may be released with excisions, and three may net be released.

The material in the excised portions of the 13 documents released in part and in the three documents withheld in full is currently and properly classified under Executive Order 12958 in the interest of national defense or foreign relations. As such, it is exempt from release under subsection (b)(1) of the Freedom of Information Act.

The material in the excised portions of one of the documents released in part and in two of the documents withheld in full also constitutes trade secrets or commercial or financial information obtained from a person and is privileged or confidential. As such, it is exempt from release under subsection (b)(4) of the Freedom of Information Act.

In the case of a document released in part, all non-exempt material that is reasonably segregable from the exempt material has been released.

With respect to material we have withheld under the Freedom of Information Act, you have the right to appeal our determination within 60 days. Appeals should be addressed to the Assistant Secretary for Public Affairs, c/o Appeals Office, IPS/PP/IA, Room 6001, SA-2, Department of State, Washington, D. C. 20522-6001. The letter of appeal should refer to the case control number shown above.

Sincerely,

Margaret P. Grafeld
Director
Office of IRM Programs and Services
Hello. . . .
I just wanna ask you a simple question
What do u think about Indonesia?
Maybe you know about the economy, or cultures, or maybe the tourism, or another sides
According to my opinion, I a little bit like Indonesia, because when I came to Bali, the sceneries were very beautiful. OMG. It’s a nice place.
And for the cultures, I think Indonesia has a lot of cultures. When I checked the internet, it absolutely amazing that Indonesia has the most cultures in the world. Wow, so amazing right?
What is your opinion?
2 weeks ago
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by ohh_doh_… Member since:
28 May 2008
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I am an Aussie living in Jakarta for 2.5 months now and I travel a bit around Indonesia.

Indonesia is a really diverse country – its got its problems (especially pollution in jakarta) but its got some really really incredible stuff going on as well.

In fact its probably one of the world better kept secrets.

The economy is a little shakey, but the history here is incredible – and its role in the spice trade (and the consequent spread of european colonialism) is kinda mind blowing.

Indonesia is really really varied in terms of culture – just on Java there are many different languages and cultures.

Its also really diverse in terms of landscape – in fact the nature beauty of indonesia takes my breath away its so beautiful and diverse and unusual.

So, in my opinion after 2.5 months? it gets the double thumbs up, even with all its turmoil and problems.

Oh, and just to correct the record it is NOT the only muslim country is SE Asia – Malaysia is also a muslim country, as is Brunei.
2 weeks ago
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Asker’s Rating: Asker’s Comment: Actually, I live in Medan, Indonesia. Haha
If u wanna go travel, don’t go to Jakarta. U can go 2 Medan, Palembang, Bogor, Bandung, etc, except Jakarta Is this what you are searching for?Rating: Good Answer Rating: Bad Answer
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Other Answers (11) Show: All Answers Oldest to Newest Newest to Oldest Rated Highest to Lowest
by Eidrib
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I live in Indonesia. To me the culture, wildlife and rainforests are beautiful. Although things and places can be a little dirty, they can be very reasonably cheap. I think pollution, traffic jam and vulnerability to natural disasters are some of the main problems, especially in Jakarta. I wish they would do something about the poverty. It is a MAJOR factor preventing the country from developing.

Edmunde – You know that they “used to be” racists yet you’re still afraid that the locals are going to kill you. Do you realize what nonsense you are saying? I am Japanese (easily mistaken for Chinese and Koreans) and I’ve lived my whole life in Indonesia, but I have never ever felt ANY racism towards me. I see Indonesians as very pleasant, flexible and accepting people and I bet most of them are not racists. How about go to Indonesia yourself and fix your immature, dogmatic, subjective brain before branding Indonesia in such a rude and mindless way.
1 week ago
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by ood97 Member since:
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I think Indonesia is an AMAZING country. It are is diverse. And I love their culture (too bad they don’t really appreciate it), especially the food. Their food looks disgusting but if you taste it, OMG!! It is soo good!

Their environment you ask it is AMAZINGLY AMAZING!!!!!!! AMAZING. But if you want to travel, don’t go to Jakarta (well you can but Jakarta spells T-R-AF-F-I-C AND P-O-L-L-U-T-I-O-N. So yeah.) I prefer to go to small cities.

I have a lot to say but.
2 weeks ago
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by neorhaze… Member since:
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yes.
indonesia is an unique country.
it has so many culture, dishes and girls (hehe..)

but, unfortunately, Indonesia’s politic condition is not going well. and the problem of security.

this because only the rich controls.
the democracy isn’t going well.
and the tourism department promote ‘Visit Indonesia Year’ lazily.

CIA NAMES
CORRUPTION, COLLUSION AND NEPOTISM

CLICK HERE TO READ THE ARTICLE ON NEWSMAX.COM

——————————————————————————–
CLICK HERE TO READ THE 2002 ARTICLE ON NEWSMAX.COM

——————————————————————————–
JOHN HUANG MEETS THE CIA

CLICK HERE TO SEE THE HUANG DOCUMENTS

——————————————————————————–
EDISON CEO WRITES RON BROWN FOR A FAVOR

CLICK HERE TO SEE THE LETTER AND READ THE EXCLUSIVE SOFTWAR EDITORIAL

——————————————————————————–

COMMERCE DEPT. DOCUMENTS ON THE PAITON POWER PLANT

——————————————————————————–

MORE COMMERCE DEPT. DOCUMENTS ON THE PAITON POWER PLANT

——————————————————————————–

OVERSEAS PRIVATE INVESTMENT CORP. (OPIC) PAITON I DOCUMENTS

——————————————————————————–

COMMERCE DOCUMENTS ON PAITON I AND “INCENTIVE” MONEY

——————————————————————————–

MORE WHITE HOUSE DOCUMENTS & FIRST FAMILY DEALS

——————————————————————————–
WARREN CHRISTOPHER & THE SUHARTO POWER SCAM

CLICK HERE TO READ THE ARTICLE ON NEWSMAX.COM

——————————————————————————–

EDISON CEO WRITES RON BROWN FOR A FAVOR

——————————————————————————–

——————————————————————————–
Power Corrupts
Edison Indonesian power deal blows financial fuse

By Charles R. Smith “SOFTWAR”

The residents of California are suffering from a blackout. Not one of electric power but of the news. The mainstream media, including Time/CNN, continue to maintain the recent spate of financial short-circuits inside California’s energy grid are all due to state economic and environmental regulations. Nothing could be further from the truth.

In 1994, Edison Mission Energy landed a trade trip with Ron Brown to Indonesia. As a result of that trip, Edison also ended up with a contract to build the Paiton I coal fired power plant. Paiton I was billed as the first “private” electric plant in Indonesia. In 1994, “private” ownership in Indonesia equated into owned and operated by the Suharto “First Family.”

The partners in the Paiton I consortium include Edison Mission Energy, Mitsui & Co., Ltd. of Japan, General Electric Capital Corporation, and P.T. Batu Hitam Perkasa. Just by co-incidence, of course, PT Batu was owned by Indonesian dictator Suharto’s youngest daughter, Titek Prabowo and her brother-in-law, Hashim Djojohadikusumo.

According to the Commerce Dept., “.75%” of the Paiton project was reserved for Suharto’s daughter Prabowo, or an instant $15 million in cash. Her share, along with a cut for “brother-in-law” Hashim and various other Suharto relatives, was to be provided up front, in cash, in the form of a $50 million loan. The $50 million loan was to be paid back by the profits or dividends from the power plant.

The documents show that Edison officials were aware of the $50 million destine for Suharto’s daughter. Newly released documents also show that Edison Chairman John Bryson actually pressed the Secretary Ron Brown to support the $50 no-pay back loan.

Federal Election Commission records show that Mission Energy CEO John Bryson donated money to the Clinton/Gore campaign and contributed money to President Clinton’s legal defense fund. In 1994, Bryson also wrote a personal letter to Brown, pressing for quick approval of the $50 million U.S. government backed loan.

Dear Ron,” wrote John Bryson, then Chairman of Southern California Edison. “I am writing to request your support of the application of the Paiton Private Power Project in Indonesia for funding by the Asian Development Bank (ADB).”

“We have applied to the ADB for $50 million of funding as part of a $1.9 billion financing package. The bulk of the funds will come from a group of commercial banks, the U. S. Export Import Bank and Japan Ex-Im,” noted Edison CEO Bryson.

“I would greatly appreciate it if you would indicate your support for ADB funding of this project. With that in mind, enclosed is a draft letter to Ambassador Linda Tsao Yang, U.S. Executive. Director of ADB, for your consideration.”

The U.S. Commerce Department was not the only agency to take notice of Edison’s special contract with Suharto’s daughter. In 1994, agents from the Central Intelligence Agency met with China-Gate figure John Huang on the Paiton Power Plant. The 1994 meeting between the intelligence agency and Huang included detailed information about the $2.6 billion Paiton electric power plant for Indonesia.

According to the documents, CIA agents Bob Beamer, Chris Crosby, Lia Fidas and Nancy Goldcamp attended an August 1994 “TPCC” or “Trade Policy Coordinating Committee” meeting with John Huang. The subject of the CIA meeting was U.S. government financed trade deals that contained “first family involvement” or illegal payments made to relatives of then Indonesian dictator Suharto.

A 1994 Commerce Department report found in Huang’s files noted that the Indonesian “Paiton” power plant had encountered difficulties with financing because the “Asian Development Bank (ADB)” knew it contained money for a Suharto family member.

“ADB had raised concern about first family involvement during its consideration of the $50 million financial portion,” states the Paiton Project document found in Huang’s files.

“Ambassador Barry stated that the project is facing two problems (i) the ADB financing may cave in and (ii) EXIM financing. Regarding ADB, technical questions have been satisfied, but ADB is skiddish about involvement of Indonesia’s first family (a minority shareholder is married to Pres. Suharto’s daughter).”

In addition, 1994 documents provided by the Overseas Private Investment Corporation (OPIC) noted that Suharto’s daughter Prabowo and her brother-in-law, Hashim Djojohadikusumo, were given a total “2.5%” ownership in the U.S. sponsored power project, through their local company BHP.

“ADB is still considering this, b/c of very minimal involvement of Indo ruling family in the Mission project… ADB’s delay revolves around concern for projects in Indonesia involving the first family. .75% ownership of the Mission project by daughter of Indo pres.”

Directly after meeting with the CIA on the known Suharto “first family” involvement inside the Edison Paiton power project, Huang proceeded to place a three hour call to his former employer, the Lippo Group. In 1999, John Huang pled guilty to Federal charges of making illegal political contributions to the Clinton/Gore campaign. Huang took the Fifth Amendment more than two thousand times when asked by Judicial Watch if he had ties to Chinese intelligence.

In the end, the Asian Development Bank turned down Edison’s $50 million loan deal, forcing the company to obtain the loan financing from commercial banks. Curiously, many secrets still surround the Edison coal fired power plant in east Java. The U.S. State Department maintains that some information on Paiton must remain classified.

“The information in the one document withheld in full and in the deleted portions of the sixteen other documents withheld in part is properly classified in accordance with Executive Order 12958 (National Security Information) despite the passage of time. Its release reasonably could be expected to cause damage to the national security of the United States,” wrote Ambassador Francis McNamara in November 2000.

One partly blacked out cable from the State Department is titled “on power projects, corruption, draft laws.” The December 1998 cable, a discussion between U.S. Ambassador Roy and an individual whose name was withheld, states that the individual “stressed that solutions to the problem must be simple to convince ‘the people’ that corruption, collusion and nepotism (‘KKN’) are being dealt with properly.”

During the 1990s, U.S. government officials were keenly aware of the rampant corruption inside Indonesia’s electric power producers. In October 1998, U.S. Ambassador J. Stapleton Roy wrote in a diplomatic cable that he had recently met with Indonesian Director General of Electricity Endro Utomo Notodisoerjo. Endro, according to the cable, was more than honest about criminal activity.

“Commenting on corruption, collusion and nepotism (KKN), Endro said that in the past there was no separation between ‘power’ (not electric but former first family power) and business. ‘All the IPP’s have a relation with power, and it is still going on,’ added Endro.”

However, the real key to the Paiton power project is the ultra-clean coal – then mined from only two places on earth, Indonesia and Utah. Toward that end, Brother-in-law Hashim received an exclusive, no bid, no-cut contract to supply the clean coal to the Paiton power plant.

According to State Department cables, Hashim’s coal price also exceeded the price of the electricity produced at the Paiton power plant. Hashim’s no-cut contract was characterized as the “Achilles heel”, driving Paiton into debt with each kilowatt produced. Of course, no profits from the power plant also meant zero dividends. Suharto’s daughter and Hashim never had to pay back the instant $50 million loan because Paiton was intended to fail even before it opened.

Hashim’s financial backer in his Indonesian coal mining business is Moctar Riady and the Lippo Group. In 1996 President Clinton issued an executive order creating the 1.7 million-acre Grand Staircase-Escalante National Monument in Utah – making the only other known “low sulfur” deposit off limits for commercial mining. Thus, Lippo obtained control of the world’s only low sulfur coal mine.

Edison is also partner of Indonesia’s Lippo group; a consortium part-owned by Indonesian billionaire Moctar Riady and a front company for Chinese military intelligence, CRE or China Resource Enterprises. The son of Lippo founder Moctar Riady, James Riady recently pled guilty for passing illegal donations to the Clinton/Gore political campaigns.

In 1999, PLN acquired the documents cited here that stated Clinton administration officials were aware of “corruption, collusion and nepotism” inside the electric power trade deals made with Indonesia. PLN used the documents to win a lawsuit against the Clinton administration, charging that U.S. officials knew the Paiton power plant contract was “corrupt from the beginning.”

In December 1999, an Indonesian court ruled that the entire $2.6 billion dollar Edison Paiton power plant contract was illegal. The Indonesian Courts ruled, based on the documented evidence presented here, that the multi-billion dollar electric deal with Edison was corrupt from the beginning. The state Indonesian Power Company PLN estimated that it had lost over $18 billion in total from Suharto corruption inside U.S. government sponsored power plant contracts.

If Californians are going to be stockholders in Edison International, perhaps they should know why the company is currently short several hundred million dollars. An Indonesian government audit recently revealed that the Edison Paiton power plant had accumulated unexplained losses of over $280 million.

Yet, Edison was not the only U.S. company to suffer the corrupt Suharto/Clinton connection. According to State Department documents, Unocal, Calenergy and El Paso Energy were all subject to “corruption, collusion and nepotism” in other billion dollar power plant deals with Indonesia.

“Unocal executives told resources officer that the firm is close to reaching a deal with its partner, PT Nusamba (controlled by former President Soeharto crony Bob Hasan) to sever ties in two production sharing contracts (PSC) in East Kalimantan and East Java,” noted a State Department cable.

“According to Unocal, Nusamba put USD 20 million into Gunung Salak, and it would be difficult, due to the financial structuring of the deal, to undo the partnership.”

Nor was the corruption simply limited to simple power plants. According to documents found in John Huang’s office, Exxon’s $34 billion dollar Natuna sea gas deal with Indonesia was laced with “first family involvement”.

Two recent Freedom of Information responses from the Central Intelligence Agency and the U.S. Commerce Department, both noted that documents detailing the exact amount of Exxon monies paid to the Suharto regime remains a secret. Exxon also contributed millions of dollars to the successful 2000 Bush campaign.

The unanswered question for America is how much of our energy costs is actually “corruption, collusion and nepotism.”

——————————————————————————–

JOHN HUANG MEETS THE CIA

——————————————————————————–

——————————————————————————–
EXPORT-IMPORT BANK DOCUMENTS

——————————————————————————–
DOCUMENTS WITHHELD IN PART BY THE EXPORT-IMPORT BANK

——————————————————————————–

United States Department of State

Washington, D. C 20520

Case Control No. 199902013

AUG 19 1999

Mr. Charles R. Smith
SOFTWAR

Dear Mr. Smith:

I refer to your letter of February 25, 1999 to the Department of Commerce, requesting the release of certain material under the Freedom of Information Act (Title 5 USC Section 552). Twenty-nine of the relevant documents retrieved in response to your request originated wiLh the Department of State and have been referred to us for appropriate action.

We have determined that 11 may be released, 15 may be released with excisions, and three may net be released.

The material in the excised portions of the 13 documents released in part and in the three documents withheld in full is currently and properly classified under Executive Order 12958 in the interest of national defense or foreign relations. As such, it is exempt from release under subsection (b)(1) of the Freedom of Information Act.

The material in the excised portions of one of the documents released in part and in two of the documents withheld in full also constitutes trade secrets or commercial or financial information obtained from a person and is privileged or confidential. As such, it is exempt from release under subsection (b)(4) of the Freedom of Information Act.

In the case of a document released in part, all non-exempt material that is reasonably segregable from the exempt material has been released.

With respect to material we have withheld under the Freedom of Information Act, you have the right to appeal our determination within 60 days. Appeals should be addressed to the Assistant Secretary for Public Affairs, c/o Appeals Office, IPS/PP/IA, Room 6001, SA-2, Department of State, Washington, D. C. 20522-6001. The letter of appeal should refer to the case control number shown above.

Sincerely,

Margaret P. Grafeld
Director
Office of IRM Programs and Services

Enclosures:
As stated.

——————————————————————————–

——————————————————————————–

All content COPYRIGHT SOFTWAR (C) 2003. Any reproduction or use of content herein must be approved by SOFTWAR.



all of goverment official is hypocrite.
(hey, hey , why i talk about this?)
1 week ago
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by ELIZABETH N Member since:
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Sorry, I do not know too much about Indonesia. I just know that it has the largest population of Muslims in the world. I also know that they have diverse cultures, I am not sure about the most in the world but they seem to have different cultures and different people from different ethnicities.
2 weeks ago
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by aya Member since:
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whoa . i love Indonesia . although in Jakarta there are a lot of traffic jam, pollution, plus flood in rainy season . but i don’t live in Jakarta. i live in Bogor . eventhough its located near to Jakarta . the situation is better. Indonesia has lot of different languages . there are too many . even i-as an Indonesian-don’t know all of them . Many beautiful places here . tasty cuisine . unique culture . our history was not very good . but we’ve changed into a better living country . many bad things happened to Indonesia. but don’t be afraid to get here .
1 week ago
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by Edmunde Member since:
31 March 2008
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They used be racist, they kill chinese in 1998, I feel disgusting, when I get a interview by a company and they asked me if they give me the job wheather I would like go to Indonesia for working, I told them its impossible, I don`t wanna get be killed by locals.
2 weeks ago
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I`m chinese living in mainland.
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by Sigit P Member since:
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Growing country with population more than 220 Mil is “big market”. With unique culture, you will find almost “Asia” in Indonesia. Has 2 seasons Rainy and Dry. Amazing country,..
2 weeks ago
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by coil_72 Member since:
27 May 2008
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it’s a weird place but very fun .. and i love “nasi goreng” , a rice dish

it’s cheap
2 weeks ago
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by tuscanyi… Member since:
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Indonesia is actually an amazing country with diverse cultures and places. But the country is not well managed, becuse it is so big and so diverse, and the government still struggling with just too many issues those never ends and keep rising. Each region has their own characteristic, and worth to be discovered. The way others sees Indonesia varies based on the news, statement, exposes they get. Like one answer who stated about the chinese ethnic torture few years ago, it was actually occurs the rest of the nation, and the chinese was one of the severest as the wrong doctrination of the past ruling government. But nowadays, the Indonesians treat the chinese ethnics very much better then its neighbouring country.
You mention Bali as a wonderful place, well the place has been too famous even often misunderstood as a country instead of a part of Indonesia. Bali has been Indonesia’s prime tourism asset which always get the most attention and supports and luckyly the balinese are very cooperative and growth consious,(which the other regions hardly to do so, caused by their culture and attitude) And since Bali so influential to the rest of indonesia tourism, anything bad that happened there would severely affect the rest of Indonesia’s tourist spots. When the Bali bombing occured, Indonesia tourism collapsed alltogether.
In the term of economic, the wealth of the nation is not well distributed. 90 % of the money rotation is concentrated only in Jakarta. Some people of the world might sees Indonesia one mediocore country, but If you really could get the buzz around, Indonesians are too famous by being the super shopper around the world. Almost all the world’s Limited or rare edition or highly precious items are owned at least by one Indonesian.
Pollution in big cities and environmental problems that occures in Indonesia, makes it in the same position of other economic booming shocked countries, but Indonesia is one of the worser compared to China as example.
Indonesian culture is very diverse but it comes with consequences too. Each culture comes with its own attitude, which is amazingly great for others to see but hard for the country it self to manage.
1 week ago

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