Via The Jakarta Globe: KPK Investigating Nazaruddin's Connection to Bird Flu Vaccine Project. Excerpt:
Indonesia’s Corruption Eradication Commission (KPK) has turned its attention to the construction of an avian flu vaccine factory in the latest development in the anti-graft body’s ever-expanding investigation into corruption allegations surrounding graft convict Muhammad Nazaruddin.
Anugrah Nusantara was awarded a Rp 1.3 trillion ($137.8 million) contract to build the vaccine factory. Nazaruddin reportedly had a 30 percent stake in the construction company. The project broke ground in 2008 and just recently wrapped up, Bambang Widjojanto, deputy chairman of KPK, said on Friday.
“The KPK is still investigating it, the process is ongoing,” Bambang said.
The KPK’s investigation into the factory began in May 2011, shortly after the arrest of Mindo Rosalina Manullang, a member of Nazaruddin’s staff.
The Supreme Audit Agency, which also looked into the construction project, found an irregularity that could have cost the state more than Ro 600 billion in losses.
Ribka Tjiptaning, head of House commission IX that oversees health, said that the factory was not funded by the Health Affairs Ministry.
“It was funded by Finance Ministry’s budget, similar to Hambalang project,” Ribka said on Friday, adding that the budget for the vaccine factory was never discussed or approved by the House in 2008.
Ribka said that the only funds approved for the production of an avian flu vaccine were in 2010. That money was a reallocation of the education budget totaling Rp 490 billion.
Nazaruddin’s lawyer Junimart Girsang denied his client’s involvement in this case.