![Defence Minister Marise Payne.](/content/dam/images/g/r/j/n/7/x/image.related.afrArticleLead.620x350.gtm59w.png/1483603245607.jpg)
A major military training exercise involving the Australian and Indonesian navies is in doubt after the Indonesian armed forces suspended military cooperation over offensive material at a joint special forces school.
Defence Minister Marise Payne also denied claims by Indonesia's General Gatot Nurmantyo who reportedly said he stopped sending his best students to Australia for fears they would be "recruited" by Australia.
There is some confusion over the affair. Firstly over how serious the blow up is after Indonesia's Defence Minister Ryamizard Ryacudu played down the suspension and said he would visit Australia soon and secondly over whether it was a full suspension of military cooperation after the Australian government said not all cooperation had been suspended.
Defence Minister Marise Payne has been unable to say whether Indonesia will participate in a multilateral Naval exercise planned for February, saying the Australia's military were preparing for the exercise.
"That is a multilateral exercise and preparatory meetings for that have occurred and I think the Chief of the Defence Force [Mark Binskin] is working with his counterparts on the future of that activity," Senator Payne said.
The Australian government and Indonesia's General Gatot Nurmantyo appear to be at odds with the General saying all military cooperation had been suspended.
Senator Payne said only some defence activities had been "paused" awaiting an investigation into the materials.
Then casting doubt over how serious the affair is, Reuters reported that a spokesman for Indonesian President Joko Widodo said it was not a decision of the president and the military acted alone.
Late last year, General Gatot said he stopped sending soldiers to Australia as he was worried they would be influence by Australia, according to a recording found by the ABC.
"Every time there is a training programme, like recently, the best five or 10 students would be sent to Australia. That happened before I was chief so I let that happen," he said.
"Once I became chief commander [General] of the national forces, it did not happen again. They will certainly be recruited."
Senator Payne said: "no that is not the case".
Senator Payne said she knew about the concerns at the training facility in Perth in November, but said she wrote to Indonesia's Defence Minister this week for the first time about the matter to assure him of the progress of the inquiry.
"I've written to him again this week to indicate that the inquiry is underway and he has indicated he has received that," she said.
She defended the delay by saying it was "entirely appropriate" for the Chief of the Defence Force Mark Binskin and Chief of the Army Angus Campbell to handle the matter.
Indonesian media outlet, Kompas, has reported the offensive material found at the facility was in regards to West Papua and the Pancasila.
The training material insulted Indonesia's founding principles of "Pancasila", which include belief in God, the unity of Indonesia, social justice and democracy, Kompas said.
Australia stopped conducting joint training exercises with Indonesian special forces, known as Kopassus, after accusations of abuses by the unit in East Timor in 1999 in the lead-up to the former Indonesian territory's independence.
Jakarta and Canberra have since resumed military ties, citing a desire to cooperate on counterterrorism that became imperative after the bombing of two nightclubs on the Indonesian holiday island of Bali in 2002 that killed 202 people, including 88 Australians.