Indonesian official: We'll check the involvement of Israeli-affiliated companies in our telecommunications industry.
The Indonesian ministry of communication and information technology said that it will investigate telecommunications companies connected with Israel. The announcement came a day after Indonesia's minister of communications said he will remove Amdocs Ltd. (NYSE: DOX) from the bidders on a project to supply billing services to PT Telkom Selular Indonesia because of an Israeli investor in Amdocs.
The minister, from the conservative PKS political party, said that the move is justified because Indonesia does not have diplomatic relations with Israel. There is no law which requires diplomatic relations with countries in order to do business with the companies from those countries but the minister apparently relied on a 1999 law which directs to "protect the public interest."
A ministry official told the "Jakarta Globe", "We will investigate the involvement of Israeli-affiliated companies in Indonesia's telecommunications industry," adding that the government will impose sanctions on local companies found to be breaking the law.
Published by Globes [online], Israel business news - www.globes-online.com - on December 17, 2009