Jakarta police name anti-graft chief as murder suspect

By Olivia Rondonuwu

JAKARTA (Reuters) - Indonesia's top graft-buster, Antasari Azhar, was named as a suspect in the murder of a businessman after he was questioned for several hours on Monday at Jakarta's police headquarters.

"Today he was interviewed as a witness and after the end of that interrogation, based on strong evidence, he will be interrogated (in this investigation) as a suspect," Wahyono, Jakarta's police chief, told a news conference.

The scandal has dealt a blow to the reputation of the Corruption Eradication Agency, or KPK, which has been at the forefront of President Susilo Bambang Yudhoyono's efforts to crack down on graft and attract foreign investment.

"The public believed in the KPK as an institution, in their integrity. But now they see that one of their leaders is involved in this kind of case, that could change," said Adnan Topan Husodo, a member of Indonesia Corruption Watch.

"To rebuild public trust, the KPK needs to continue with the big cases that are still ongoing. The KPK has no choice but to improve their performance."

But Husodo said Azhar's case probably would not affect Yudhoyono, who is seeking re-election in July.

"I don't think this will impact on SBY," he said, referring to the president by his initials.

The KPK, which has investigated dozens of officials including politicians and central bankers for corruption, has been quick to stress it will continue its work without Azhar.