New investigation of Suharto wealth

Indonesia's former President Suharto was told yesterday he faced house arrest if he does not co-operate with a new probe into…

Indonesia's former President Suharto was told yesterday he faced house arrest if he does not co-operate with a new probe into his wealth.

"If Suharto interrupts the investigation process, then the commission will propose a need to impose house arrest or a travel ban abroad," the official Antara news agency quoted Attorney-General Muhammad Ghalib as saying.

Earlier the attorney general asked immigration authorities to place a travel ban on Suharto's youngest son, Hutomo `Tommy' Mandala Putra, following more than three hours of questioning over alleged graft involving his wholesale chain Goro.

Since Suharto's downfall in May, after 32 years of iron rule, there have been growing calls for him to stand trial for graft and human-rights abuses. Some analysts have estimated that he and his family amassed up to $40 billion during his rule.

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By the time he left office there were few major businesses or contracts in Indonesia that did not involve his family or associates, though Suharto has always denied corruption, saying favourable deals were simply offered to those close to him. Some government departments have now cancelled deals done with his family and cronies.

Analysts say the attacks on Suharto put the government of President B.J. Habibie in a difficult position.

Most of the cabinet rose to prominence under his rule and several saw their own wealth rise during the Suharto era.

"A new commission to probe the wealth of former president Suharto will be set up this week," State Secretary Akbar Tandjung said. He did not say if the commission would be independent or if it would have any executive powers.

The new commission will be in addition to the official one headed by the attorney general who is widely seen as a Suharto loyalist.

On Saturday, the ruling Golkar party in an unprecedented move joined public calls to put Suharto under house arrest.

"The government must announce the house arrest of Suharto, so the commission can start its mission," Golkar chairman's Marzuki Darusman was quoted as saying by the Merdeka newspaper on Sunday.

Suharto himself visited the attorney general's office two months ago after making a televised public statement denying allegations that he had stashed wealth overseas. He said he did not even have a "single cent" overseas.