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Making an Offer You Can't Refuse

Local Businessman Accused of Running a Legal System Mafia to Illegally Seize Private and Public Assets in Bali.

(1/23/2010) BeritaBali.com alleges that a "mafia" is attempting to illegally seize assets owned by Bali's provincial government. Hari Boedihartono, also known as, Hartono, the owner of the local Mercedes Benz dealership Hartono Raya Motor and a Kuta area hotel owner, is claimed by the paper to be part of a national "mafia" that manipulates the legal system to seize public assets, such as the Taman Festival Bali on Padang Galak in Denpasar. [See: Who Owns Taman Festival].

This claim was leveled by a senior Bali lawyer, I Gede Widiatmika, who, together with colleagues, have reported Hartono to the National Committee Against the Justice System Mafia (Satgas Antimafia Hukum) in Jakarta. Those charges portray Hartono as a part of the "mafia" in Bali and Java.

According to Widiatmika: "Through the legal system mafia that he controls, Hartono has managed to buy the land of the Taman Festival Bali which is, in fact, the property of the provincial government of Bali. Without this strong network covering several legal agencies it would not be possible for him to control the assets of Bali's provincial government."

In the days ahead, Widiatmika hopes the provincial government of Bali will be more serious in its efforts to protect its assets to prevent them falling into the hands of such a "mafia," such as they suspect was the case with Hartono.

Widiatmika continued: "The legal system mafia is not some fictional story; it truly does exists."

Widiatmika's law office represents a local retired notary, I Gusti Ngurah Oka, who claims he had been "criminalized" as the result of actions taken by Hartono.

Ngurah Oka alleges that on November 2, 2005, Rachmat Agung Leonardi and Hari Boedihartono came to his office to execute legal documents surrounding the White Rose Hotel.

Later, on November 8, 2005, Rachmat and Hartono signed an agreement changing the status of the hotel. Later, the two parties to the agreement came to a disagreement over what constitute "proper due diligence" and the respective responsibilities of each party.

At an impasse, the case eventually became a civil suit before the Denpasar District Court with Rahmat Agung Leonardi acting as the plaintiff. In keeping with local legal tradition, Hartono has filed a counter report against Rachmat with the Bali police.

In addition, Hartono has filed a report against the notary, Gusti Ngurah Oka, alleging he manufactured false documents. Oka's lawyers have called the attention of the press to the "lighting fast speed" at which Hartono's police report against Oka resulted in an indictment, contending such a rapid progress through the legal system is further indication of Hartono's mafia-like network.