Indonesian political crisis deepens

Supporters of Vice President Megawati hold up her portrait during a rally on Sunday

JAKARTA, Indonesia -- Indonesia's cabinet has met amid a growing political crisis sparked by speculation President Abdurrahman Wahid was preparing to declare a state of emergency.

A palace spokesman denied the ailing Wahid would take such drastic action, in spite of his attempts to stave off an impeachment threat.

Political sources said Wahid had in recent days weighed declaring a state of emergency -- which would enable him to dissolve a hostile parliament that is dragging the country's first democratically elected leader closer to impeachment.

Cabinet ministers met around mid-afternoon in the capital and were expected to address the row stemming from parliament's two censures of Wahid over his alleged role in two graft scandals.

Ministers made no comments to scores of waiting reporters on a crisis that appears to be coming to a head.

Underscoring the fractured nature of politics in the fragile country, Wahid left for central Java after lunch while an unhappy Vice President Megawati Sukarnoputri refused to attend the meeting.

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"She's irritated [over Wahid's Java trip]. She does not want to come and chair the cabinet meeting," Agnita Singedekane Irsal, deputy secretary general of Megawati's party, told Reuters.

Megawati, who is expected to take over Indonesia within months, abruptly cancelled her own scheduled trips outside Jakarta this weekend because of the mounting political tension.

In a clear show of strength for the daughter of founding President Sukarno, tens of thousands of her followers rallied in East Java earlier in the day, demanding she be president.

In an address to her supporters Megawati said she does not have ambitions to become president, unless her party mandates it.

Speaking via a live videolink from Jakarta, Megawati also told members of her Indonesian Democratic Party-Struggle (PDI-P) in the East Java town of Malang that she rejected suggestions a snap election be called to resolve a growing political crisis.

Threat of violence

Palace spokesman Adhie Massardi played down the rumors about Wahid's plans to cling to power.

Wahid is due to address the nation Sunday evening to mark an anti-colonial day of remembrance

"Gus Dur does not have an intention to declare a state of emergency," Massardi told Reuters, using Wahid's nickname.

"He has discussed it in the sense he wants to know what sort of conditions need to be applied in order to have a state of emergency. The reason why he discussed it was because he had received input from ordinary people who said the [political situation] was not feasible."

Massardi said these people wanted an end to the constant political infighting, which has made Indonesia a pariah among investors and unsettled foreign governments concerned about the stability of the world's fourth most populous country.

Nineteen months into his rule, the erratic and nearly blind Wahid finds himself isolated since parliament censured him twice over the two scandals. Wahid has denied any wrongdoing.

Many Indonesians fear his ouster could trigger widespread violence from his fanatical followers, but Jakarta was calm on Sunday, despite the flood of rumors over Wahid's intentions.

Parliament meets on May 30 when it is expected to ask the top legislature, the People's Consultative Assembly (MPR), to convene an impeachment hearing against Wahid.

Leading economist and former Wahid adviser, Sri Mulyani Indrawati, said Wahid had intended to use the Sunday cabinet meeting to raise the possibility of a move against parliament.

"Originally today's meeting was actually for the president to announce a broad political position, relating to a decree to dissolve parliament which is related to the state of emergency," Indrawati told Reuters.

"I doubt this now because in the past 48 hours there has been lot of pressure [on him]." She said Wahid also wanted to change the military leadership, but had been rebuffed by top generals.

Wahid has denied rumors he would sack the army chief General Endriartono Sutarto, who has vocally opposed any move against parliament. The president has also emphatically denied he would dissolve parliament.

Megawati held an emergency meeting with top military generals Saturday to discuss the reports.

"If a presidential decree [to dissolve parliament] is issued it will kill the...country's democracy," Sutarto told reporters after a ceremony with scores of retired generals on Saturday, who also voiced their opposition against such an option.

The military has had historically a very powerful influence on politics. Former President Suharto used the military to control politics in Indonesia.

Thus far, the military is ostensibly withdrawing from an overt political role but they do remain key to resolving this particular crisis.

While many politicians bicker among themselves, they are often trying to woo military leaders hoping to win them to one side or the other.

Deadline for solution

One leading army general who declined to be identified told Reuters that during a meeting with Wahid last Wednesday, the cleric had threatened to declare a state of emergency by May 24 if a political solution could not be reached.

Army chief Gen. Endriartono Sutarto

"Gus Dur did say that if until the evening of the 24th there was no consensus he would declare a state of emergency," the general said. He did not say why May 24 was significant.

"The military of course wants the best for the nation and we have been trying to convince him not to do it."

Wahid has so far refused to compromise by sharing power with the popular Megawati. He has also said he would not respond to the second censure, as required.

The MPR comprises the 500 members of parliament and 200 appointed regional representatives. It alone has the power to sack presidents.

Wahid will address the nation Sunday evening to mark an anti-colonial day of remembrance, but officials have indicated his speech would not contain any bombshells.

Reuters contributed to this report.