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Asia
 

Court quizzes ex-Indonesian minister over graft scandal

Published on May 2, 2014 7:32 PM
 

JAKARTA (AFP) - A former finance minister once regarded as Indonesia's top reformist was questioned in court as a witness on Friday in a corruption case that has sullied the president's ruling party.

Now a World Bank managing director, Dr Sri Mulyani Indrawati reiterated that a 6.76 trillion rupiah (S$743.6 million) bank bailout she approved was necessary to prevent the institution's collapse and a domino effect on the financial sector at the onset of the 2008 financial crisis.

The bailout money was allegedly siphoned off by well-connected depositors, while allegations emerged that funds flowed to President Susilo Bambang Yudhoyono's campaign coffers. The president has vehemently denied the accusations.

Dr Indrawati gave her account in the trial of the then-central Bank Indonesia deputy governor, Budi Mulya, who was charged with malfeasance in the bailout of Bank Century, now known as Bank Mutiara.

 
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