JAKARTA (Yosefardi) – Former Minister of Finance Sri Mulyani Indrawati has today (May 2) testified as witness in a trial of the Bank Century (now Bank Mutiara) bailout scandal held at the Jakarta Corruption Court.
Sri Mulyani testified as witness for Budi Mulya, former Deputy Governor of Bank Indonesia (BI) and one of suspects in the case.
Sri Mulyani told the court that she was demanded to make a decision on Bank Century only in 4.5 hours time.
The decision was to close Bank Century or to categorize the bank as a potentially failed bank which could create a systemic threat to the banking sector.
Sri Mulyani noted that she was also forced by the Bank of Indonesia to soon issue a decision on Bank Century.
Sri Mulyani, as Chairman of the Financial System Stability Committee (KSSK), decided to name Bank Century as a potentially failed bank.
Then Sri Mulyani said she ordered the central bank to disburse the Rp632 billion short-term assistance (FPJP) to Bank Century to increase its capital adequacy ratio (CAR).
Other than Sri Mulyani, the prosecutor team from the Corruption Eradication Commission (KPK) is expected to also summon Vice President Boediono to testify in the trial on May 9.
Boediono will be testified as witness in his capacity as former Governor of Bank Indonesia and member of the KSSK. (haryantos@yosefardi.biz)