OVERSEAS SECURITY ADVISORY COUNCIL AMCHAM SECURITY COMMITTEE REPORT ON EVENTS IN DECEMBER 2010 Edited by William Reed Rising, Chair

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1 Summary of Security-Related Issues throughout Indonesia The following selected information was compiled from local media sources and submissions by AGI and Hill & Associates. We are deeply grateful to the contributors. This report contains information on a broad spectrum of security concerns and incidents which have occurred in Indonesia during the reporting period. Readers are advised that while there are security risks that companies and individuals need to be aware of, avoid or address, Indonesia is a country of over 230 million people living on 17,500 islands that stretch over 4,800 kms. The vast majority of foreign companies that operate in Indonesia, and expatriates who reside in or visit the country, do so without incident providing sensible security precautions are taken. Terrorism Incidents and Issues 30 November More Information from Jemaah Islamiyah (JI) Alleged Terrorist Arrested in Malaysia: Fadli Sadama, 27, was arrested in Johor State in Malaysia on 13 October. Fadli is suspected of involvement in an armed bank robbery in Medan in August 2010 and of attempting to smuggle weapons into the Indonesia. Officers from Indonesia s anti-terror unit Detachment (Densus) 88 traveled to Malaysia on 30 November to take part in the interrogation of the suspect. It was reported that during interrogation Fadli said the Medan terrorist network under Toni Togar, who is currently in custody, was in the process of expanding its capability and recruiting new members. It also was reported that Fadli admitted to smuggling five assault rifles into Indonesia and these weapons were going to be used to attack the Pematang Siantar jail in North Sumatra, where Togar is serving a 20-year sentence in connection with the J.W. Marriott bombing in Fadli himself was sentenced to prison in 2003 for involvement in a bank robbery at the Lippo Bank in Medan in which two bank employees were killed, but served his sentence and released. 1 December - Petrol Bombs Found at Policy Posts in Central Java: Two petrol bombs were found at police posts in Klaten, Central Java with their timing mechanisms ticking. Both were defused by members of the anti-terror unit prior to exploding. They are believed to be the work of JI, the first time the terrorist group is alleged to have used petrol bombs with timers and detonators, which is an indication of changing tactics. Following the discovery, it was reported that another petrol bomb with a timing mechanism was found at a Catholic cemetery complex, Gua Maria Sendang Sriningsih, in Gayamharjo village, Prambanan district, Sleman Regency, which borders Klaten Regency. The bomb was defused by the anti-terror squad. National Police spokesman General Iskandar Abubakar said the petrol bombs were likely made by the same group. He speculated that the bomb found in Sleman might be connected to the upcoming Christmas holiday and said the National Police would increase security for churches throughout the country. Bombs and Bomb Threats: 2 December WHO Office in Jakarta: At 1800 a bomb threat was called in by telephone against the office of World Health Organization (WHO) in Bina Mulia I Building, Setiabudi, South Jakarta. Employees were evacuated from the building but after sweeping by the antibomb squad the area was declared safe and clear. 4 December Carrefour in Lebak Bulus, South Jakarta: A bomb threat was received by text message against the supermarket, but after sweeping the police declared that the area was clear. 7 December Catholic Church, Central Java: At 0500 an improvised explosive device (IED) misfired at a Catholic church in Gatak, Sukoharjo, Central Jakarta. The device, which was contained in a biscuit or cake tin, consisted of explosive materials, nails, batteries, a detonator and a timing mechanism. The explosion caused limited damage to church facilities. The police are still investigating the motive. 7 December Police Office, Solo, Central Java: At 1000 an IED was found at Pasar Kliwon Police Sector office in Solo, Central Jakarta. It was reported that a garbage collector cleaning the station yard discovered a suspicious package, alerted the police, and it was defused by Page 1 of 10

2 police. The device was wrapped in plastic and contained two cans full of powder, nails, a detonator and a timing mechanism, similar to the earlier device in Sukoharjo, Terrorists Arrests in Central Java: The anti-terror squad Densus 88 arrested terrorist suspect Abu Tholut in Dae village, Kudus, Central Java, after he was immobilized by the police with two shots. Abu Tholut was considered dangerous and skilled at assembling bombs. He was allegedly involved in the Medan CIMB Niaga bank robbery. The following day Densus 88 arrested another terrorist suspect, Sukirno, at a rented house in Karanganyar village, Tegal, Central Java. According to neighbors, Sukirno had been living in the neighborhood for a month and used his house as a souvenir shop. Following both arrests police seized guns and large quantities of ammunition. Police later arrested Anwar Effendi in Pondok Bandeng, Palmerah, West Java; Wardi alias Edi (alias Jabal) in a rented house in Cibinong, West Java (where the police confiscated weapons and a large quantity of ammunition); and Sri Puji Mulyo in in Bangetayu, Gemuk District, Semarang. The arrests suggest that Densus 88 has carried out a series of successful follow up and surveillance operations and the results of the interrogation of those will no doubt form part of the impending case against Abu Bakar Bashir. 13 December - Abu Bakar Bashir Charged with Terrorism Offences: Radical Islamic cleric Abu Bakar Bashir was charged with several terrorism offences and is expected to go on trial within the next two months. The charges include providing funds for terrorist activities through Jamaah Ansharut Tauhid (JAT) and inciting people to carry out acts of terrorism, charges related to the establishment of the Al-Qaeda in Aceh group that police stated was plotting Mumbai-style attacks on embassies, hotels and political figures and police. The incitement charge is the most serious and carries the death penalty. In 2004, Bashir served over two years of a 30-month prison sentence on a conspiracy conviction that in 2006 was overturned on appeal due to a lack of evidence. Police Confiscated Thousands of Terrorists Ammunition 16 December Police Raid Nets Terrorists Ammunition: Densus 88 raided Sukajaya district in Bogor, the site of one of the previous terrorist arrests, and found 3,000 rounds of AK- 47 ammunition. The police brought Wardi, one of the suspects, who showed them where the ammunition was hidden in the ground. The police believe that the ammunition belongs to Abu Tholut s terrorist network. 18 December - Military Holds Anti-Terror Exercises: Indonesian Defense Forces conducted three joint anti-terror exercises at locations in Cilegon, Banten Province. The exercises involved several military units, including the anti-terror unit from Special Forces (Kopassus) Det 81 and featured simulations involving the Permata Hotel, Suryalala power plant and a tanker vessel. This is the latest in a series of anti-terrorism exercises carried out by the military and the Defense Forces to improve operational capabilities now that they play a role in anti-terror operations as members of the new anti-terror agency BNPT. Det 81 (named after the brilliant releasing of hostages by Kopassus members in 1981 from a Garuda hijacked aircraft in Bangkok) has a wide range of skills and would appear to be well equipped for antiterror situations involving hijacking or armed standoffs. 20 December - Six Aceh Terrorists Sentenced: Six terrorists from the Al-Qaeda in Aceh Group were jailed for up to nine years for their involvement in the Aceh-based group and planning to carry out by groups of suicide gunmen against Westerners and Indonesian government figures in Jakarta. Oman Rohman was sentenced to nine years for providing finding for the group s military style training in Aceh. The court heard that he gave Dulmatin (who was killed by police in March 2010) $2,320 in late In a separate trial five men were sentenced to five to seven years in jail for attending the Aceh training camp and possession of illegal firearms. Prosecutors had asked for sentences of 12 years. It is expected that court documents in forthcoming trials will reveal the extent of their planning and the type of tactics they intended to deploy. Umar Patek, Zulkarnaen and Ridwan remain at large. Patek and Zulkarnaen are known to have fled to the Southern Philippines (with Dulmatin) after the 2002 Bali bombings and they may be there operating alongside the Abu Sayaf Group. However, they could move back to Indonesia at any time and many analysts believe the southern Philippines is now being used as a base for Southeast Asian terrorist operations. Page 2 of 10

3 21 December - Customs Confiscates Explosive Materials: Riau Custom and Excise officials confiscated a large amount of explosive materials smuggled through Tanjung Balai, Riau Islands. The materials were being brought by an Indonesian boat from Malaysia to Sulawesi. Fourteen crew members were detained and under interrogation. It is possible the explosives were intended for fishing bombs, which are banned in Indonesia. Civil Unrest and Political Violence Incidents and Issues Papua Incidents: 3 December - OPM Safe House Raided in Papua: A joint squad of police and army raided a house in Abepura, Jayapura, Papua, that was allegedly a Papua Liberation Movement (OPM) safe house. The house was empty but police managed to find a quantity of ammunition and OPM documents. Police believed the group connected with the house was responsible for the shooting that killed one and injured four in Nafri in late November. 4 December - Another Shooting in Papua: A diner in a café in the Mulia old town market in Puncak Jaya was killed when four gunmen burst into the cafe and fired shots from AK-47 rifles before escaping into the jungle. The victim, a local taxi driver, was shot five times. Papua Police said it appeared the gunmen intended to target a group of soldiers, including two men from Army Special Forces (Kopassus) who were in the café at the time. Police have recovered spent cartridge cases and an AK 47 magazine from the scene. The attack is the latest in a series that has resulted in the transfer of two additional platoons of BRIMOB to the area. 7 December - Attacks on Military in Papua: A group of five men hurled Molotov cocktail bombs at the residence of a military officer in the Papuan provincial capital of Jayapura. The front and rear doors of the residence were damaged by fire but no one was injured. 14 December - New Separatist Movement in Papua: Police arrested eight alleged members of a separatist movement in Manokwari, Papua. They were arrested in a field as conducted a ceremony commemorating the Melanesia independence day. Violent Demonstrations and Clashes: 3 December - Mob Attacks Ahmadiyah Mosque in South Jakarta: A group of sword wielding men attacked an Ahmadiyah Mosque in Jl Ciputat Raya, Kebayoran Lama, South Jakarta, smashing windows in the process. No injuries were reported. The minority sect is considered by some Islamists as deviant. 5 December - Violence in Serang, Banten: Thousands of locals held a demonstration at a drinking water factory in Curug Goong village, Serang, Banten. They claim the factory would make it difficult for them to get clean water. The mob damaged three warehouses and vehicles belonging to the company. 5 December - FPI Members Attacked Cafes in Medan: Around 100 members of Front Pembela Islam (FPI) attacked dozens of cafés in Medan Helvetia and Medan Marena, Medan, North Sumatra. The cafés are believed to be the scene of many adulterous liaisons. The FPI damaged facilities including the furniture and alcoholic beverages. There were no injuries. 8 December - Locals Sweeping Foreign Companies: Hundreds of residents conducted an action against two foreign companies, PT Alun and PT Schlumberger, in Jl Mulawarman, Balikpapan, East Kalimantan, due to a land dispute. Protesters disputing the companies claim over an eight-hectare parcel of land occupied the building, bringing office activity to a halt. 8 December - Clash in Madura, East Java: A clash occurred between the police and locals at Bablan village, Pamekasan, Madura, during a land seizure execution. The disputed land has four houses belonging to a resident and her family, who were being backed up by other Page 3 of 10

4 locals in an attempt to stop the execution. The police discharged firearms as the crowd started to throw stones at them. Eight people and two policemen were shot. 14 December - Demonstration in Lampung: About 2,000 palm oil farmers held a demonstration at the Lampung Land Agency, protesting over a 4,000-hectare land dispute between the locals and two companies, PT Karya Canggih Mandiri and PT Lambang Jaya. 16 December - Clash in Makassar, South Sulawesi: A clash occurred between engineering and literature students of Makassar Public University in South Sulawesi. Five students were injured, three of whom required surgery at the Bhayangkara Hospital. After the clash, police raided the campus and confiscated a large number of sharp weapons including arrows and machetes. The cause of the incident were unknown. 19 December - Vandalism in Madiun, East Java: Hundreds of martial arts students from Setia Hati Tunas Muda Winongo Brotherhood damaged 14 houses in Kartoharjo district, Madiun, by stoning the houses and damaging windows and roofs. There were no injuries and the police were investigating the motive. 20 December - Eight Years in Prison for Blowfish Clash Defendants: A judge sentenced four defendants to eight years in prison for their crimes during the Blowfish night club clash, which took place in April 2010 when a group of men attacked the club after an argument involving a friend and club security. It was not known whether the defendants would appeal. 21 December - Demonstration in Surabaya, East Java: Thousands of farmers from the Indonesian Sugar Farmers Association demonstrated at the Surabaya Legislative Council and the East Java Governor s Office, rejecting the Trade Minister s plan regarding opening the refinery sugar trading in the domestic market. 21 December - Vandalism in East Java: Hundreds of people from Wates Village, Lekok District, attacked the office of Lekok Port Water and Air Police in Pasuruan, East Java. The angry mob damaged the office facilities and police motorbikes. It was reported that the attack was triggered by the arrest of two local fishermen, which the mob considered unfair. 22 December - Demonstration in Surabaya, East Java: Thousands of workers held a demonstration at the East Java Governor s Office in Surabaya. They demanded the regional 2011 minimum wage be increased. Hundreds of BRIMOB police were deployed with trucks and water canons because the crowd appeared very aggressive, but the situation remained in control without use of force by police. 22 December - Blockading of Road in Labuhanbatu Utara, North Sumatra: Hundreds of people blockaded a road access to a palm oil company, PT Serba Huta Jaya, in Merbau, Labuhanbatu Utara. They protested the company taking over 4,000 hectare of local land. The group damaged the access road, preventing company vehicles from entering the plantation. Violent Crime Incidents and Issues 3 December - Explosives Found in Jakarta Office: Acting on a tip, Jakarta police raided the office of a freight company in Koja, North Jakarta, looking for dealers in narcotics but stumbled on six blocks of TNT, detonators, air guns, wires and blasting caps in addition to crystal methamphetamine and drug paraphernalia. Police arrested a company director and two colleagues before raiding the director s home, where they found counterfeit banknotes. 4 December - Shooting in Solo, Central Java: An unidentified person discharged a firearm in the Murian Indonesia Christian Church (GKMI) in Jl Kedempel No.14, Solo, Central Java. The incident was discovered on Sunday morning when a church cleaning service found a bullet shell and a window with bullet holes in the second floor. It is believed the church administrators delayed reporting the incident until the pastor returned from Mentawai, West Sumatra. Police are investigating the case. Page 4 of 10

5 16 December - Journalist Believed Murdered in Maluku: Alfrets Mirulewan, the chief editor of the Pelangi Weekly, was found dead on a beach in Maluku with bruises and deep wounds on most of his body. He reportedly had gone missing while conducting an investigation into illegal petrol businesses and was believed to be following a car being used by the subjects of his investigation. 18 December - Businessman Murdered in West Jakarta: A businessman was found dead and burned at his rented house in Taman Palem Lestari Housing in Cengkareng, West Jakarta. Police suspected the victim was killed before perpetrators burned his body. Police were investigating the case. Personal, Home and Office Robberies: 1 December Maid Arrested After Robbery in Depok: A maid was arrested after police found gold jewelry and a cell phone belonging to her female employer among her belongings. The maid had claimed a man and woman dressed in Moslem clothing robbed the house where she was employed in Jl H. Kodja, Depok, drugged her, and stole the items. When the owner s wife came home, she found the maid apparently pretending to lie unconscious on the floor. The maid was in police custody. 5 December Home in Medan: Four men acting as churchgoers robbed a house on Jl Yos Sudarso, Medan, North Sumatra. They came to the house and met the residents before the men took out a pistol and three machetes. The robbers threatened the resident, his spouse and their child, and stole Rp500 million in cash. The police are investigating. 5 December Printing Company in Jakarta: A group of men robbed a printing company in Pondok Pinang, Kemayoran Lama, South Jakarta. They strangled the security guard to death and stole Rp 8 million and $100 USD in cash. According to the police, the office key was missing and there was no indication of a break-in at the office. 7 December Residential Break-in in Pondok Indah: Thieves broke into a house on Jl Sekolah Duta Raya, Pondok Indah, South Jakarta. The following morning, the owner found his work room in a mess and several valuables were missing, including two ipads, two Blackberries, credit cards, and passports. It s apparently the second robbery at the house. 11 December Fisherman in Riau: A fisherman was found dead on the Kampar river bank in Kampar, Riau. The police suspected that the victim was robbed and stabbed since Rp10 million in cash was missing. The police were investigating the case. 11 December House in East Java: A group of men robbed a house in Lumajang, East Java. They stabbed the owner and stole tens of millions of rupiah and other valuables. The police were looking for the perpetrators, and the victim was treated in hospital. 11 December - ATM Robbery in Bekasi: Four men robbed a Bank BRI ATM machine at an Alfamart shop in Bekasi. They kidnapped four bystanders before robbing the ATM. The victims were abandoned safely at Kalibang Nain. The total loss remains unknown. 14 December House Robbery in Bogor: Thieves broke into a house in Bogor Nirwana Residence in Bogor by damaging the door lock with a crowbar. They stole a laptop, expensive watches, jewelries, and Rp25 million in cash. Police were investigating. 15 December - Shooting Indecent in Papua: Papua Public Relation Chief Commissioner Wachyono stated that a shooting incident took place on Monday (13/12) in Boroway Sabron, Jayapura, Papua. The victim was reported to have Rp40 million from his office in Nimbokrang district when he was shot and robbed. A witness who saw the incident immediately reported it to the police, who were investigating the case. 18 December - British Citizen Robbed in Bali: A British man was robbed at a boarding house in Kuta, Bali. He met the perpetrators, who were transvestites, at a nightclub in Kuta Page 5 of 10

6 and the two lured the victim to their boarding house. In the house they stole the victim s wallet containing Rp7.1 million. After leaving the boarding house the victim realized that he had been robbed and immediately reported the incident to police, who arrested the perpetrators. 24 December Batavia Air Office in Banjarmasin: Four armed men robbed the Batavia Air office in Jl Ahmad Yani, Banjarmasin, South Kalimantan. They entered the office wearing helmets, threatened and tied up four of the employees, and stole Rp90 million in cash. Police were investigating the case. 26 December Stabbing Death During Robbery in Tangerang: An internet café owner was stabbed by a man when the victim caught the perpetrator attempting to rob his house in Jl Sawo, Cibodas, Tangerang. The victim died from his wounds and the perpetrator was arrested. 30- December Italian Citizen Robbed in Denpasar: Armed men robbed an Italian man and his Indonesia wife in their home. The man was beaten and suffered serious injuries. The victims lost Rp500 million in cash and some precious objects. Other Incidents 13 December More Die from Traditional Alcoholic Drinks: Four more men died and one was hospitalized after consuming traditional alcoholic beverages in Manado, North Sulawesi. One day earlier, two people died and three hospitalized after consuming similar beverages in Indramayu, West Java. Dozens of people have been died since 2009 after consuming similar beverages in parts of West and Central Java and Bali. 12 December - People Smugglers Arrested: Police arrested four men on suspicion of attempting to smuggle 77 illegal immigrants from Iran, Iraq, Somalia and Afghanistan to Australia by boat. The illegal immigrants were intercepted by police off Java when the boat s engine failed and they were drifting without power. The men have been charged with immigration offences, since Indonesia does not have laws specifically against people smuggling. 15 December - US Retiree Gets Jail for Blasphemy: A Lombok court sentenced Gregory Luke, a 64-year-old U.S. retiree, to five months in jail for blasphemy, carrying out an act of violence, and hampering people from performing their religious activities. The conviction arose from his actions in August 2010, when he complained about the noise from the loudspeakers of the local mosque and, after being unheeded, pulled out the plug from the speaker system, an act that so enraged the villagers they attacked and damaged his house. Luke denied pulling out the plug, but accepted the ruling of the court. 30 December - Fire at MEX Building, Surabaya: Fire struck the entertainment center MEX Pregolan Building on Jl Surabaya. The fire originated in the Mystical Karaoke room located on the 5th floor. At 0600 the fire was thought to be extinguished but then re-ignited, apparently due to a large amount of combustible material in the bar. There were no injuries reported. Road Safety Incidents and Issues 21 December - Three Shot in Road Rage Incidents: Three people were shot within a span of two hours in unrelated road rage incidents in Cakung, East Jakarta. Police are investigating and the three men were hospitalized for treatment. In the first incident an argument ensued between a passenger on an ojek (motorcycle taxi) and the driver, and the ojek passenger pulled out a gun and shot the driver in the chest. The second incident occurred a short time later when the rider of one motorcycle appeared to be chasing two men on another motorcycle. Eventually they stopped and all three got off of their motorcycles and began fighting, and the chaser pulled out a gun and shot the other two. Environmental and Weather-Related Incidents Page 6 of 10

7 30 November - Landslide and Floods in West and North Sumatra: Heavy rain occurred in Nagari Taratak Baru, Pesisir Selatan, West Sumatra, causing landslides around the area. About 5,000 people were affected. On the same day, heavy rain caused rivers to flood in three districts in Tebing Tinggi and two districts in Deli Serdang, both in North Sumatra. Thousands of houses were inundated. The following day, the floods in Tebing Tinggi had spread into five districts. Thousands of people were forced to flee their houses. The flooding was caused by the overflow of Padang and Bahilang rivers. 1 December - Whirlwind in Madura, East Java: A tornado touched down in Bayu village, Pamekasan, Madura, East Java, damaging at least 23 houses, felling dozens of trees, and causing hundreds of million rupiah in losses. 4-5 December - Floods in West and East Java: Floods occurred in Tanjungsari village in Tasikmalaya, West Java, due to the overflow of the Citanduy and Cikadang rivers. Around 500 houses were inundated and thousands of people were evacuated. Floods also occurred in four districts in Bojonegoro, East Java due to heavy rain and bad drainage in the city. Three villages in Sampang, East Java were also reported to be inundated by floods due to the overflow of the Kemuning River. On 5 December, two-meter flood waters inundated Baleendah, Bandung Regency, West Java due to heavy rain. Around 1,000 houses were flooded and 2,000 people were evacuated from the area. 5 December Mt. Merapi Mud Floods Central Java Roads: The main road linking Yogyakarta to Magelang was cut off by the flow of volcanic mud from the slopes of Mount Merapi. Motorists had to take alternative routes that resulted in serious traffic jams in Magelang. Syamsul Maarif, the Head of the National Disaster Mitigation Agency (BNPB), warned the Boyang and Kuning rivers could continue to be affected by mud flows as heavy rains continue in the area. The Head of the Vulcanology and Geological Disaster Mitigation Agency said there was still 1.5 million cubic meters of volcanic material on the slopes of Mt. Merapi that could flow down the mountain due to rain. Residents have been warned to keep at least 300 meters from the 12 rivers in the area, which could flood without warning. The danger is expected to remain until the end of the rainy season in March of December - Floods in Pandeglang, Banten: Flooding occurred in Labuan District, Pandeglang due to the overflow of the Cibuan and Cipunten Agung rivers that inundated thousands of houses causing residents to flee their houses. 8 December - Floods in Bandung: Over 10,000 people from Baleendah District in Bandung, West Java, have been evacuated from the area due to floods that occurred in the area over several days. It was reported that several regencies in West Java such as Subang, Ciamis, Sumedang, and Karawang are also inundated by floods. A landslide in Sukalaksana village in Garut, West Java on the same day killed one and injuring another. 8 December Floods in Serdang Bedagai, North Sumatra: Flooding occurred in Sei Rampah district in Serdang Bedagai, North Sumatra, due to the overflow of the Rampah River. About 500 houses were inundated and thousands of people were forced to flee their homes. 8 December - Earthquake in Maluku: At 2231, an earthquake measuring 6.0 on the Richter scale struck 194 kilometers northwest of Saumlaki, Maluku. There were no reports of injuries. 9 December Floods in Subang, West Java: Flooding occurred in Ciasem district in Subang, West Java, due to heavy rain and the overflow of the Ciasem River. Thousands of houses and hundreds of hectares of rice fields were inundated and residents fled their houses. 12 December - Earthquake in Makassar, South Sulawesi: An earthquake measuring 5.9 on the Richter scale occurred 232 kilometer southwest of Makassar, South Sulawesi. The earthquake caused public panic but there were no reports of injuries. Page 7 of 10

8 13 December - Floods in Ponorogo, East Java: Floods in Ponorogo, East Java, spread into 12 villages in three districts, due to the overflow of the Begawan Solo River. Hundreds of houses were inundated and the Ponorogo-Pacitan road route was paralyzed. 13 December - Earthquakes in East Nusa Tenggara and Lampung: At 1618, an earthquake measuring 5.9 on the Richter scale occurred 158 kilometers southwest of Krui, Lampung. At 2030, an earthquake measuring 5.7 on the Richter scale struck 19 kilometers northwest of Labuhan Bajo, East Nusa Tenggara. No casualties were reported from either quake. 15 December - Earthquake in Maluku: An earthquake measuring 6.1 on the Richter scale struck 249 kilometers northwest of Saumlaki, Maluku. The tremor was felt in Timor Island, western part of East Nusa Tenggara. There were no reports of casualties. 18 December - Tornado in Malang, East Java: A tornado touched down in Sitirejo and Mandalanwangi villages in Wagir district, Malang, East Java. At least 63 houses, two mosques, and a government office were damaged. There were no reports of injuries and the total losses were estimated to be over Rp100 million. 21 December - Earthquake in Yogyakarta: An earthquake measuring 5.8 on the Richter scale struck 140 kilometers southeast of Wonosari, Yogyakarta. No casualties were reported. 21 December - Floods in Sulawesi: Flooding occurred in Tolitoli, Central Sulawesi, due to several hours of heavy rain. Hundreds of houses were inundated and the roads were blocked. On the same day, flooding occurred in Baubau City, Southeast Sulawesi, due to heavy rain that caused the Baubau River to overflow. Hundreds of houses were inundated. 23 December - Earthquake in NAD: An earthquake measuring 5.6 on the Richter scale occurred 45 kilometers southwest of Meulaboh, North Aceh. There were no reports of casualties. 26 December - Tornado in Tasikmalaya, West Java: A tornado hit Karangsembung village in Tasikmalaya, West Java, damaging dozens of houses. 28 December - Heavy Rain and Whirlwind in Jakarta: Heavy rain and a whirlwind occurred in Jakarta, causing traffic congestion due to fallen trees in 12 areas of the city. Two bikers were reported to have died after a tree fell on them. The train from Jakarta to Serpong also experienced delays after a tree fell on the rail, causing hundreds of passengers to be stranded at Serpong Station. A whirlwind also damaged 30 houses in Marunda Kepu, North Jakarta, injuring several people. 30 December - Tornado disaster in Jepara: A tornado disaster struck the Jepara regency, Central Java early in the morning. About 90 houses and a Madrassa school building were damaged. As a result of the high winds, most of the tiles from the building roofs were blown off. There were no reports of injuries. Industrial and Transportation Incidents 1 December - Light Aircraft Collide at Papua Airport: An Antonov aircraft leased by PT Manunggal Air collided with a Twin Otter owned by Trigana Air at Sentani Airport in Jayapura It is reported that the Russian Antonov hit the propeller of the Twin Otter whilst it was taxiing on its way to the runway. It is believed that damage to both aircraft was minor but the National Transportation Safety Committee is currently investigating the cause of the accident. 3 December - Live Snakes Smuggled onto Flight at Jakarta Airport: An airline passenger was arrested at Abu Dhabi International Airport after he arrived on an Etihad Airlines flight from Jakarta with four live snakes, two parrots and a squirrel in his carry-on baggage. It was unclear how the passenger was able to get the animals onto the flight without detection. Theories include having bribed the scanner operator and having used an airport employee to Page 8 of 10

9 take the bag through the system bypassing the security check at the airport. It also is possible the baggage passed through x-ray scanners without the animals being detected. 9 December - Accident at the Airport: Garuda flight GA128 enroute from Jakarta to Pangkal Pinang was delayed due to the aircraft being hit by a towing vehicle in the parking area of Terminal 2 concourse E at Soekarno Hatta International Airport. There were no casualties on the Boeing but all the 111 passengers had to be transferred to another aircraft. The National Transportation Safety is investigating the cause of the incident. 14 December - Malaysian Aircraft Detained in Surabaya, East Java: A Malaysian charter aircraft was detained at Juanda airport in Surabaya, East Java, due to lack of landing permit. Just before midnight, the Ministry finally issued the permit and the BEA aircraft was able to depart. The plane carried 81 Malaka royalty family members, including the Malaysian Prime Minister s son. 14 December - Riau Air Threatened with Suspension: The National Transportation Ministry threatened to revoke the flying permit of Riau Air if the airline did not commence operations by 31 December Riau Air had not been operating for two months after it was reported to be having financial problems. The airline operated five Fokker F50 aircraft, two of which were repossessed by the Agro Century Corp. for nonpayment of lease, and three others were out of service. It was reported the airline was in the process of flight testing a Boeing 737 under the supervision of the Ministry. 15 December - Train Cancellations Delay Travelers: Commuters between Bogor and Jakarta suffered severe delays as local rail company Kereta Api Indonesia (KAI) cancelled 43 services due to signal problems and maintenance. Over 500,000 workers commute to Jakarta from surrounding towns daily. 17 December - Airport Occupied in Papua: At 0600 about 50 people from Kampong Fell occupied the Sentani airport in Jayapura, Papua. They demanded payment of compensation for land used by the airport. During the action, they occupied the runway and disrupted flight schedules, causing passengers to be stranded. This illustrates the poor level of perimeter security at many local airports, making them liable to disruptions of this kind. 21 December - Freeport Vehicles Accident: An bus carrying Freeport employees taking Christmas leave and slipped off the road and overturned at Mile 55 while traveling from Tembagapura to Timika Airport in Mimika, Papua. Three people were reported to have been injured. A vehicle was sent to assist the overturned bus experienced the same condition at the location, injuring an American and a solider. 22 December - Flights Delayed in Surabaya, East Java: Six domestic flights originating from Juanda Airport, Surabaya, were delayed due to bad weather, causing hundreds of passengers to be stranded at the airport. The airlines affected including Lion Air, Wings Air, Citilink, Batavia, and Merpati with destinations to Jakarta, Kupang, Bali, and Makassar. Drug and Narco-terrorism Incidents and Issues 30 November - US Student Jailed for Drug Use: Patrick Leland Berg, a 19-year-old U.S. citizen, was found guilty by the Denpasar District Court in Bali of smoking 0.16 grams of marijuana at a rented house in Bali in June 2010 and sentenced to five months in prison. Two foreigners and two Indonesians caught with Berg already have been sentenced to between five and six months in jail. Prosecutors had asked for a 12 year sentence. Bali police announced arrests of foreign nationals rose 25% in 2010, mostly for drug crimes. 30 November - Police Arrest International Drugs Dealer: Police announced they arrested six people allegedly involved in an international drugs syndicate. They were arrested at a house in Sunter, North Jakarta, and a hotel in Central Jakarta. The police confiscated five kilograms of crystal methamphetamine. Two of the suspects are Iranians. Page 9 of 10

10 1 December - Kyrgyzstan Student Arrested for Drug Smuggling: A Kyrgyzstan female student was arrested by airport customs and excise officials in Husein Sastranegara Airport in Bandung, West Java, for carrying 1 kilogram of heroin worth Rp3 billion. She denied the drugs belonged to her. She is now in police custody. 11 December - Police Raid Drug Home Industry: Jakarta police raided a crystal methamphetamine (shabu-shabu) home industry in Apartment Teluk Intan Tower Topas in Teluk Gong, North Jakarta. About five grams of shabu-shabu, an air-soft gun, and 24 plastic bullets were confiscated. Two Malaysians also were arrested for the possession of 5 kilogram of shabu-shabu at the Hotel Jayakarta, Jl Hayam Wuruk, West Jakarta. 19 December - Iranian Drug Smuggler Arrested at Jakarta Airport: Customs officers at Soekarno-Hatta International Airport arrested an Iranian national who attempted to smuggle over two liters of liquid amphetamine worth close to $300,000 into the country. It is believed customs officers became suspicious when they saw he was carrying 13 cosmetic bottles in his luggage. The suspect claimed he was paid to deliver the drugs to Indonesia but the customs officer have been unable so far to identify who was waiting to receive the shipment. 20 December - Heroin Dealers Arrested: East Jakarta Narcotics Unit Police arrested three men for selling heroin in Cakung, East Jakarta. Police made the arrests after they received reports from Seruni apartment residents regarding alleged illegal drug activity. Police confiscated 36 grams and four packages of heroin worth Rp30 million. Police Response Incidents 1 December - Shooting Incident in North Sumatra: A shooting occurred at Meranti village, Torgamba district, South Labuhan Batu, during a negotiation between locals and management of PT Sinar Belantara Indah regarding a land dispute. The forest police were reported to have fired shots at people and injuring eight locals. The locals took revenge by setting fire to a police car. The motive for the shooting is still unknown. 3 December - Riot Rocks Papua Prison: The Abepura prison in Papua was rocked by rioting following the shooting death of a prison escapee by a joint police and military team looking for separatists who had carried out a series of shootings in the area. The dead prisoner was one of six who escaped from the jail earlier that day. Four of the six were at large and a fifth was arrested and returned to prison. It was reported the prison riot occurred when prison authorities refused to identify the officer who shot the escaped inmate Hundreds of Jakarta Police Officers Dismissed: Jakarta police announced they had dismissed 256 officers for desertion, extortion, drug abuse and other crimes in 2010, up from 192 in 2009, in a move designed to improve discipline. A Jakarta Legal Aid Foundation study claims the police are the worst of all judicial departments that use violence in carrying out their duties. Following the police in the list of most violent apparatus were military officers, prosecutors, wardens and public order officers. The foundation claims police officers used torture as a regular method when questioning suspects Police Say Crime in Jakarta Falls: Police Chief Insp. Gen. Sutarman said the number of crimes in Jakarta had fallen over the past year, but added there is a worrying rise in homicide and the growing seriousness of assault cases. Sutarman also noted a drop in 10 of the 11 most common crimes, although he said the gravity of some of the offences was far greater than before. The 11 most common crimes are murder, rape, aggravated assault, extortion, arson, drug trafficking, vehicle theft, gambling, theft with assault, ordinary theft and juvenile delinquency. Those crimes experienced a reduction from last year s figures, except murder, which has seen 89 cases so far this year, compared to 79 in Jakarta police recorded: 8,649 cases of motorcycle thefts (8% solved); 1,534 car thefts (10% solved); 856 house, offices and shop robberies (49% solved); 4,729 cases of drug trafficking (90% solved). Page 10 of 10

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