[asia-apec 171] GJA on Jakarta's ET diplomacy (III)

[George J. Aditjondro]

NB: after I circulated the previous article, I received the third part of
the long article on Indonesia's East Timor diplomacy, which mentioned the
notorious Lippo-Clinton connection. Hence, I feel obliged to send it to
you, now, especially to all those friends who have received the original
paper, and have waited for it to be published. Thanks for your patience.
GJA

Article in The Nation, Bangkok, Monday, Wednesday, October 16, 1996:
Comment/George J. Aditjondro

                        Diplomatic blackmail, Jakarta-style
                        * US President Bill Clinton's decision to go soft
                        on Indonesia could be relatred to huge contributions
                        made by the Riyadi family to the presidential campaign

        On Monday, I talked about the big carrots used by the Indonesian
government to silence its East Timor critics. Now, we also have to consider
the diplomatic effect of Indonesian conglomerates investing overseas.

        Since conglomerates and state companies owned by Suharto's family
and cronies have aggressively expanded their overseas markets, some
governments which initially supported East Timor's right to
self-determination have now changed their votes in the United Nations.

        China and Vietnam, for instance, were among the countries which
recognised the aborted "Democratic Republic of East Timor", declared on Nov
28, 1975, and had also voted against Indonesia in various UN forums. Yet,
since Indonesian conglomerates owned by Suharto relatives and associates
began to invest in China and Vietnam, these two socialist countries have
began to toe the Indonesian line in the UN.

        This "diplomatic effect" of Indonesian conglomerates may also
explain the official US government decision to render de facto  recognition
of Indonesia's occupation of East Timor. One of the factors may be the
long-standing friendship of the Riyadi family, which owns the majority
shares in the Lippo Group, has with the Clinton family. The Riyadi family
had made contributions to Clinton's governatorial campaign as well as his
1992 and current presidential campaigns.

        Senate hearings

        During the hearings of the Senate Special Committe on Whitewater,
it emerged that Webster Hubbel, a former law partner in Hillary Clinton's
law firm in Arkansas and former associate attorney-general in the Clinton
administration, had received a retainer from the Lippo Group during the
18-month interim period between resigning as associate attorney-general and
going to jail to serve a two-year sentence for fraud. On top of that, a
Lippo employee, John Huang, who had handled the US$ 200,000 (Bt 5 million)
"donation" from the Riyadisfor Clinton's presidential campaign fund, had
even been appointed as a staff member for Ron Brown, the late secretary of
trade.

        The Riyadi family were, indeed, no strangers in Litte Rock,
Arkansas. Togethrer with the family of Jackson Stephens, a big businessman
in Arkansas and a Clinton backer, they are part-owners of the Worthen Bank.
The Riyadis also have joint business ventures with the Stephens' in Hong
Kong (Wall Street Journal , March 1, 1996; Australian Financial Review ,
Sept 17, 1996; William Safire, "The Asian connection," The New York Times ,
Oct 7, 1996). Therefore, it is understandable why Clinton refused to meet
the 29 young East Timorese who camped in the US Embassy in Jakarta during
the 1994 Apec meeting.

        Likewise, the choice of Indonesia's aircraft industry, IPTN, to
locate its branch company in Alabama is closely connected with the seat of
the head of the appropriation committee in the US Senate. This aircraft
industry is one of the 10 state companies headed by President Suharto's
most trusted minister, Rudy Habibie. The minister's younger brother, Fanny
Habibie, has also supported Suharto's eldest daughter's -- Tutut -- in East
Timor diplomacy from his post as Indonesia's ambassador to the UK and
Ireland. Two meetings between the pro-independence and pro-Indonesian
Timorese took place in London, brokered by Fanny Habibie and Tutut.

        With all these developments in mind, one has top realise that the
international East Timor solidarity movement is facing an increasingly
tougher battlefield. This is all the more a reason to combine economic
pressure with political pressure, just like what the Jakarta regime has
done, by targeting Indonesian business overseas as well as Indonesian
diplomatic units.

        Solidarity movement

        In response to the stick and carrot diplomacy of the Suharto
regime, East Timor activists and their supporters should more actively
picket the branch offices of Indonesian state and private business offices,
factories, and showrooms, and organise massive consumer boycotts of
Indonesian products marketed overseas by companies owned by the Suharto
clan and its cronies.

        Therefore, it is a big bonus to the East Timor solidarity movement
and their Indonesian comrades to learn about the Sept 18 decision of the
Maritime Union of Australia to ban Australian wheat to the Suharto-family
owned Bogasari flour mills in Java.

        This is a replay of a similar ban which lasted for three years from
the end of 1975 until the end of 1977, in protest against the illegal
occupation of East Timor by the Indonesian military. Hopefully, more
similar actions will be declared by other labour, environment, and human
rights movements, worldwide.

DR GEORGE ADITJONDRO is an Indonesian academic, currently in exile in
Australia. At present he teaches at Newcastle University.