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AGO names three suspects in hybrid seed graft case

9th February 2013 | 1.047 Views
Jakarta (ANTARA News) - The Attorney General`s Office confirmed on Friday it has named three suspects in an alleged graft case related to the procurement of hybrid seeds at the Agriculture Ministry between 2008 and 2012.

"True, there are three suspects in the case," the head of the office`s legal information center, Untung Setia Arimuladi, said.

The three suspects are identified by their initials as K, S and H, all of whom are from state agro-industry company PT Sang Hyang Seri.

K is the president director of PT Sang Hyang Seri, S is an employee of the company and H is the manager of the company`s branch in Tegal, Central Java.

Arimuladi said the procurement of hybrid seeds was designed to implement the government`s programs related to subsidized seeds, national seed reserves, and high-yielding seed direct assistance.

"Investigators have raised the case to the level of investigation because they have adequate preliminary evidence of corruption," he said.

The evidence of corruption included an engineered tender process which led PT Sang Hyang Seri to become a winner, national seed reserve management fees amounting to 5 percent of the contract value which had never been distributed among regional offices and engineered commodity pricing which led to high prices, he said.

The other evidence concerned fictitious programs related to national seed reserves and soybean seed procurement, and soybean seed volume and price mark up, he said.  (S012/B003)