Ibnu Sutowo
Encyclopedia
Ibnu Muhari was an Indonesian army officer, Cabinet Minister and former head of the Indonesian oil and gas producer Pertamina
.
Ibnu was born near the Yogyakarta
Sultan's palace on 23 September 1914. His father had been a regency head near the city of Semarang
in Central Java
. His privileged background at the time of the colonial Dutch East Indies
allowed him to attend a superior Dutch school and then medical school in Surabaya. Upon graduation, Ibnu was assigned to a colony of Javanese transmigrants in Belitung
in South Sumatra
. During the Japanese occupation
in World War II
, Ibnu, like many indigenous Indonesians filling in for imprisoned Europeans, assumed many local administrative powers. By the time of Japan's surrender, he was a leader in irregular forces backing the Indonesian Republic in its fight for independence
.
In 1945, Ibnu was appointed a combined staff and medical officer of the republican army fighting the Dutch for the Palembang regions oil fields and plantations, and once Indonesia's independence was secured in 1949, he worked in the region's civilian health service whilst remaining in active army duty. He was appointed head of the South Sumatra's Sriwijaya Division in 1955, a division which earned much revenue for the army during the independence struggle by smuggling vast quantities of rubber, tea, pepper and coffee to Singapore. Although the independence struggle was over by late 1949, the lucrative trade continued, and Ibnu benefited through his wife, Zaleha, the daughter of a wealthy family who later succeeded in business in her own right.
Army commander, General Nasution, recognised Ibnu's administrative skills and appointed him in 1956 as Chief of Logistics and subsequently added the position of chief of Operations. He returned to Palembang to talk his former troops out of joining the anti-Sukarno rebellions in Sumatra and Sulawesi
. Ibnu's military prospects were thwarted by the 1958 Tanjung Priok smuggling scandal in which he was the main actor.
In 1957, Dutch assets in petroleum were nationalised, and Permina founded. General Nasution installed Sutowo as Permina's head. He served as Minister of Mines, Oil, and Natural Gas in President Suharto's "New Order"
emergency cabinets of 1966. Sutowo's younger brother had been Communist mayor of Surabaya
, however, the New Order's promotion of Sutowo despite his Communist connections were exceptions in this period of Communist purges.
Using the proceeds from the 1970s oil price rises, he expanded the state run oil monopoly's interests far beyond oil production to include investments in oil tankers, steel and construction. In 1976, Pertamina had built up debts of US$10.5 billion (equivalent to 30% of Indonesia's gross domestic product at the time) and was unable to service them. Ibnu was "dismissed with honour", and in 1978 the attorney general announced he had been found "not involved" in criminal activity. He continued to manage thirty seven private companies.
Pertamina
Pertamina is an Indonesian government-owned corporation which extracts and refines the country's oil and gas reserves. It was created in August 1968 by the merger of Pertamin and Permina...
.
Ibnu was born near the Yogyakarta
Yogyakarta (city)
Yogyakarta is a city in the Yogyakarta Special Region, Indonesia. It is renowned as a centre of classical Javanese fine art and culture such as batik, ballet, drama, music, poetry, and puppet shows. Yogyakarta was the Indonesian capital during the Indonesian National Revolution from 1945 to...
Sultan's palace on 23 September 1914. His father had been a regency head near the city of Semarang
Semarang
- Economy :The western part of the city is home to many industrial parks and factories. The port of Semarang is located on the north coast and it is the main shipping port for the province of Central Java. Many small manufacturers are located in Semarang, producing goods such as textiles,...
in Central Java
Central Java
Central Java is a province of Indonesia. The administrative capital is Semarang. It is one of six provinces on the island of Java.This province is the province of high Human Development in Indonesia and its Points Development Index countries is equivalent to Lebanon. The province of Central Java...
. His privileged background at the time of the colonial Dutch East Indies
Dutch East Indies
The Dutch East Indies was a Dutch colony that became modern Indonesia following World War II. It was formed from the nationalised colonies of the Dutch East India Company, which came under the administration of the Netherlands government in 1800....
allowed him to attend a superior Dutch school and then medical school in Surabaya. Upon graduation, Ibnu was assigned to a colony of Javanese transmigrants in Belitung
Belitung
Belitung, , is an island on the east coast of Sumatra, Indonesia in the Java Sea. The island is known for its pepper and for its tin. It was in the possession of the British from 1812 until the British ceded control of the island to the Dutch in the Anglo-Dutch Treaty of 1824...
in South Sumatra
South Sumatra
South Sumatra is a province of Indonesia.-Geography:It is on the island of Sumatra, and borders the provinces of Lampung to the south, Bengkulu to the west, and Jambi to the north...
. During the Japanese occupation
Japanese Occupation of Indonesia
The Japanese Empire occupied Indonesia, known then as the Dutch East Indies, during World War II from March 1942 until after the end of War in 1945...
in World War II
World War II
World War II, or the Second World War , was a global conflict lasting from 1939 to 1945, involving most of the world's nations—including all of the great powers—eventually forming two opposing military alliances: the Allies and the Axis...
, Ibnu, like many indigenous Indonesians filling in for imprisoned Europeans, assumed many local administrative powers. By the time of Japan's surrender, he was a leader in irregular forces backing the Indonesian Republic in its fight for independence
Indonesian National Revolution
The Indonesian National Revolution or Indonesian War of Independence was an armed conflict and diplomatic struggle between Indonesia and the Dutch Empire, and an internal social revolution...
.
In 1945, Ibnu was appointed a combined staff and medical officer of the republican army fighting the Dutch for the Palembang regions oil fields and plantations, and once Indonesia's independence was secured in 1949, he worked in the region's civilian health service whilst remaining in active army duty. He was appointed head of the South Sumatra's Sriwijaya Division in 1955, a division which earned much revenue for the army during the independence struggle by smuggling vast quantities of rubber, tea, pepper and coffee to Singapore. Although the independence struggle was over by late 1949, the lucrative trade continued, and Ibnu benefited through his wife, Zaleha, the daughter of a wealthy family who later succeeded in business in her own right.
Army commander, General Nasution, recognised Ibnu's administrative skills and appointed him in 1956 as Chief of Logistics and subsequently added the position of chief of Operations. He returned to Palembang to talk his former troops out of joining the anti-Sukarno rebellions in Sumatra and Sulawesi
Sulawesi
Sulawesi is one of the four larger Sunda Islands of Indonesia and is situated between Borneo and the Maluku Islands. In Indonesia, only Sumatra, Borneo, and Papua are larger in territory, and only Java and Sumatra have larger Indonesian populations.- Etymology :The Portuguese were the first to...
. Ibnu's military prospects were thwarted by the 1958 Tanjung Priok smuggling scandal in which he was the main actor.
In 1957, Dutch assets in petroleum were nationalised, and Permina founded. General Nasution installed Sutowo as Permina's head. He served as Minister of Mines, Oil, and Natural Gas in President Suharto's "New Order"
New Order (Indonesia)
The New Order is the term coined by former Indonesian President Suharto to characterize his regime as he came to power in 1966. Suharto used this term to contrast his rule with that of his predecessor, Sukarno...
emergency cabinets of 1966. Sutowo's younger brother had been Communist mayor of Surabaya
Surabaya
Surabaya is Indonesia's second-largest city with a population of over 2.7 million , and the capital of the province of East Java...
, however, the New Order's promotion of Sutowo despite his Communist connections were exceptions in this period of Communist purges.
Using the proceeds from the 1970s oil price rises, he expanded the state run oil monopoly's interests far beyond oil production to include investments in oil tankers, steel and construction. In 1976, Pertamina had built up debts of US$10.5 billion (equivalent to 30% of Indonesia's gross domestic product at the time) and was unable to service them. Ibnu was "dismissed with honour", and in 1978 the attorney general announced he had been found "not involved" in criminal activity. He continued to manage thirty seven private companies.