Habibie floats idea of opening a casino in Batam city (Indonesia)

(source: The Jakarta Post May 11, 2006)

Habibie floats idea of opening a casino in Batam city
Fadli, The Jakarta Post, Batam

Former president Habibie has suggested the government consider opening a casino on Batam to draw visitors to the island.

He made the suggestion Tuesday during a gathering on Batam of local figures and representatives of the Riau Island provincial administration.

Habibie, who is also a former chairman of the Association of Indonesian Muslim Scholars, urged ulema and the Batam city administration and legislative council to study the possibility.

“Indonesia is a unitary state, not a Muslim country. We are not as liberal as in the West. We are free, but responsible,” he said.

The former president recalled that in 1977 he made a verbal promise to then Singapore prime minister Lee Kuan Yew not to open a casino on Batam, which is located near the city-state. He said the logic behind this agreement was to avoid any negative associations with Batam, which at the time was being transformed into an industrial estate.

“But now look … they (Singapore) are preparing two locations for casinos. Singapore is thinking pragmatically, looking at the latest developments,” he said.

“See how Malaysia, a Muslim country, has legalized gambling, while we (Indonesia) are not a Muslim country. I urge ulema to assess this. Go to Malaysia to get answers on the legalization (of gambling),” Habibie said.

Habibie said the request not to open a casino on Batam was made during a meeting between him and the Singaporean prime minister in 1977.

“From that meeting we know what Singapore wants. They just expect that we will build a low-cost industrial estate. But we cannot just meet Singapore’s request. We have to show what we want,” Habibie, who chaired the Batam authority from 1978 to 1998, said.

There is some anecdotal evidence to suggest that gambling, though illegal, plays an important role in Batam’s tourist industry.

In 2005, when National Police chief Gen. Sutanto ordered the closure of all gambling dens in Indonesia, including on Batam, the number of tourist arrivals to the island tumbled to about one million from more than 1.5 million in 2004.

Many businesses, including transportation services, restaurants and golf courses, also saw their revenue drop.

Responding to the idea, Aris Hardi Halim, deputy chairman of the Batam Legislative Council from the Prosperous Justice Party, said his party would study the suggestion.

“It would require mental preparation on the part of the people to legalize gambling in Batam,” he said.

Date Posted: 11-May-2006