National Police Take on Bird Flu Graft Case and a Company Owned by Nazaruddin

By webadmin on 07:23 pm Aug 08, 2012
Category Archive

Farouk Arnaz

The National Police said they have launched their own investigation into the avian flu vaccine factory graft case, and have targeted a company owned by a familiar name in corruption.

National Police Spokesman Brig. Gen. Boy Rafli Amar said their investigation into the vaccine factory graft began in April  2012 — their case implicates a company owned by Muhammad Nazaruddin, though he has not formally been named a suspect by the police.

It is now the second parallel investigation by the Corruption
Eradication Commission (KPK) and the National Police (the other being
the contentious driving simulator graft case). Boy said the Police’s
case might be “different” than the KPK’s investigation, though he didn’t
say how.

“The company [involved] is Anugrah Nusantara,” Boy said, but did not name the company head. 

Anugrah Nusantara is owned by Nazaruddin, and won a Rp 718 billion ($76.1 million) tender for the provision of equipment for the vaccine plant, but violated the terms of its contract, according to a statement by Health Minister Nafsiah Mboi in June.

Nazaruddin’s lawyer Junimart Girsang told journalists last month that 30 percent of Nazaruddin’s stake in Anugrah Nusantara had been sold to Democratic Party Chairman Anas Urbaningrum (Anas has been question by the KPK over bid-rigging allegations surrounding the Rp 2.5 trillion Hambalang sports center being built in Bogor).

There are three different graft cases revolving around the bird flu vaccine: The construction of the factory, the laboratory facilities and the research equipment. A Supreme Audit Agency (BPK) audit found more than Rp 600 billion in potential state losses in the case.

Another one of Nazaruddin’s companies, Anak Negeri, which won the Rp 1.3 trillion construction tender for the plant, ultimately subcontracted the work to Biofarma, a state-owned vaccine producer, according to an investigation by the KPK.  

Nazaruddin is serving five years in jail for accepting bribes in the construction of the athlete’s village in Palembang for the 2011 Southeast Asian Games.