ad info


Asiaweek TIMEASIA.com CNN.com
 > magazine
 home
 intelligence
 web features
 magazine archive
 technology
 newsmap
 customer service
 subscribe
 TIMEASIA.COM
 CNN.COM
  east asia
  southeast asia
  south asia
  central asia
  australasia
 BUSINESS
 SPORTS
 SHOWBIZ
 ASIA WEATHER
 ASIA TRAVEL

Other News
TIME.com
TIME Europe
FORTUNE.com
FORTUNE China
MONEY.com
Asiaweek Services
Contact Asiaweek
About Asiaweek
Media Kit
Get up to 3 months of Asiaweek free when you subscribe online!


NOVEMBER 3, 2000 VOL. 26 NO. 43 | SEARCH ASIAWEEK


Asiaweek Pictures.
Indonesian tycoon Liem Sioe Liong pays his respects to Suharto, his friend since the 1940s.


After the Good Times
Being a crony isn't what it used to be
By WARREN CARAGATA Jakarta

ALSO:
The War Against Cronies
: Malaysia's Jomo Kwame Sundaram is on the frontlines of the struggle to change Asia's business culture. Here's why it is taking forever
Their Mission: Busting Graft: Many are determined to end the bad old ways
Master of Guanxi: How Li wins people - and deals
Cronyism in Asia: A Primer


When Suharto was Indonesia's president, the strongman's relatives and friends built business empires blessed by his favor. In May 1998, it all came to an end. While the clique saw their fortunes diminished, it soon became clear who had real business savvy.

The Salim group, founded by Liem Sioe Liong and now managed by son Anthony Salim, sold off assets to cover debts. It transferred control of 107 companies to the Indonesian Bank Restructuring Agency (IBRA) to compensate for government support of a troubled Salim-owned bank. Still, the Salims have restructured much of their debt and are on the hunt for acquisitions. The Riady family's Lippo Group too has rebuilt and recently showed it was looking forward by listing multimedia start-up AcrossAsia in Hong Kong.

Suharto golfing buddy Bob Hasan has fared far less well. With much of his timber empire in IBRA's hands, he is in jail and on trial for fraud. At least one of Suharto's kids is feeling the heat too. The Supreme Court convicted youngest son Tommy of involvement in a land swindle. President Abdurrahman Wahid has said he will not pardon him.

Suharto himself was charged with siphoning off state funds. A court dismissed the charges, saying he was too ill to stand trial. The decision is being appealed. With their father and protector in frail health, Suharto's children must be wondering how they will get on once he quits the scene.

Back to the top

Write to Asiaweek at mail@web.asiaweek.com

This edition's table of contents | Asiaweek.com Home

AsiaNow


Quick Scroll: More stories from Asiaweek, TIME and CNN

   LATEST HEADLINES:

WASHINGTON
U.S. secretary of state says China should be 'tolerant'

MANILA
Philippine government denies Estrada's claim to presidency

ALLAHABAD
Faith, madness, magic mix at sacred Hindu festival

COLOMBO
Land mine explosion kills 11 Sri Lankan soldiers

TOKYO
Japan claims StarLink found in U.S. corn sample

BANGKOK
Thai party announces first coalition partner



TIME:

COVER: President Joseph Estrada gives in to the chanting crowds on the streets of Manila and agrees to make room for his Vice President

THAILAND: Twin teenage warriors turn themselves in to Bangkok officials

CHINA: Despite official vilification, hip Chinese dig Lamaist culture

PHOTO ESSAY: Estrada Calls Snap Election

WEB-ONLY INTERVIEW: Jimmy Lai on feeling lucky -- and why he's committed to the island state



ASIAWEEK:

COVER: The DoCoMo generation - Japan's leading mobile phone company goes global

Bandwidth Boom: Racing to wire - how underseas cable systems may yet fall short

TAIWAN: Party intrigues add to Chen Shui-bian's woes

JAPAN: Japan's ruling party crushes a rebel at a cost

SINGAPORE: Singaporeans need to have more babies. But success breeds selfishness


Launch CNN's Desktop Ticker and get the latest news, delivered right on your desktop!

Today on CNN
 Search
  ASIAWEEK'S LATEST
Web-only Exclusives
November 30, 2000

From Our Correspondent: Hirohito and the War
A conversation with biographer Herbert Bix

From Our Correspondent: A Rough Road Ahead
Bad news for the Philippines - and some others

From Our Correspondent: Making Enemies
Indonesia needs friends. So why is it picking fights?


  THIS EDITION



Back to the top   © 2000 Asiaweek. All Rights Reserved.
Terms under which this service is provided to you.
Read our privacy guidelines.