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The Ministry of Home Affairs on Friday denied reports that three islands in West Sumatra were up for sale.

Ministry spokesman Saut Situmorang said that there had been no transfer of ownership from local residents to foreign nationals.

“The ministry sent a team to West Sumatra to investigate the case and they reported their findings last night,” Saut told reporters on Friday. “According to their report, there was some form of cooperation between local residents and foreigners in managing a tourist resort.”

Many people were stunned by recent news reports that a Web site, privateislandonline.com, had put three islands in Mentawai district, West Sumatra, up for sale. One of these was reportedly Siloinak in the Mentawai Islands.

Freddy Numberi, the minister for maritime affairs and fisheries, said on Wednesday that the Web site was only leasing tribal land and that the head of Mentawai district was unaware of the Web site’s activities.

Saut said that the ministry’s team would continue investigating the case and announce its results early next week.

“Our sense of sovereignty prohibits our islands being sold to foreigners,” he said, adding that a 2006 law provides for a minimum of two years in prison and a minimum fine of Rp 2 billion ($200,000) for anyone who sells the country’s islands.

Saut also said that his ministry maintained a close watch over all of the country’s islands.

Minister Numberi said on Wednesday the government had earmarked Rp 6 billion for experts to determine the exact number of the country’s islands and register the details with the United Nations for international recognition. The survey will involve direct visual checks and the naming of all islands.

Riza Damanik, a Fisheries Justice Coalition (KIARA) spokesman, recently urged the government and the House of Representatives to investigate foreign involvement in the managing and trading of Indonesia’s islands.

Concerning foreign investment, Saut said that cooperation with foreigners should require prior approval from the Ministry of Foreign Affairs.

“If a district wants to cooperate with foreigners, it should consult with the central government, specifically the Ministry of Foreign Affairs,” he said.

“The team we sent [to Mentawai] will also evaluate any cooperation agreements with foreigners,” Saut said, adding that the mistake made in the resort management cooperation was that there was no coordination with the central government.

“The law provides that cooperation with foreigners must be approved by the central govern ment,” he added.