Indonesia bankers in fraud trial

Aulia Pohan being led into court in Jakarta, 30/01

Mr Pohan is related by marriage to the Indonesian president

Four bankers have gone on trial in Indonesia in the latest corruption case involving bribery of MPs.

The men, all former deputy governors of Bank Indonesia, the country's central bank, are accused of embezzling 100bn rupiah ($8.8m) in bank funds in 2003.

They allegedly used the money to bribe MPs and pay for lawyers for other bank officials facing corruption charges.

Several senior bankers - including one former Bank Indonesia governor - have already been jailed in related cases.

One of the defendants in the current case, Aulia Pohan, is related by marriage to President Susilo Bambang Yudhoyono.

Analysts say the case is potentially embarrassing for Mr Yudhoyono, who is bidding for re-election later this year and has been keen to stress his anti-corruption credentials.

If found guilty, Mr Pohan - whose daughter is married to Mr Yudhoyono's son - and his co-defendants face a maximum life sentence and 1bn rupiah fine.

The bankers are accused of siphoning off funds from a development fund run by Bank Indonesia.

They allegedly used the money to ensure the smooth passage of a banking bill through parliament, and to pay for lawyers for bankers involved in an earlier corruption scandal.

Prosecutor Rudi Margono told the Jakarta corruption court: "The defendants were fully aware that withdrawals from a central bank foundation were handed over to former central bank deputies to resolve the liquidity fund case and central bank bill amendment."

Last October, former Bank Indonesia governor Burhanuddin Abdullah was jailed for five years and fined $23,600 (�14,700) for his part in the scandal.