The Cooking Oil Hullabaloo
After months into the shortage of cooking oil in the market, two months ago, the Attorney General’s Office (AGO) announced that they had commenced investigation into allegations of corruption at the root of the problem. By May, the AGO had named several suspects, and two weeks ago the President decided to dismiss the Minister of Trade, M Lutfi, after serving for less than two years. Several days ago, Lutfi was examined by the AGO, while his replacement, Zulkifli Hasan, is trying to fill in the gaps.
Latest on the Voluntary Disclosure Program (PPS)
Law No. 7/2021 on the Harmonization of Tax Regulations (UU HPP) brings many bold changes in the field of taxation. One of the most anticipated issues regulated in the Law is the Voluntary Disclosure Program (PPS). The PPS program has been dubbed the second volume of Tax Amnesty, although this time the Government did not set any targets. The implementation of the program continues far from the spotlight, and will end in seven days.
Fixing the Problematic Law on Job Creation : Law No. 13/2022
Towards the end of last year, the Constitutional Court made a historic decision. With four dissenting opinions, the Assembly of Justices ruled that the process of establishing Law No. 11/2020 concerning Job Creation is formally flawed. This is the first time in Indonesia’s judicial history that the Assembly has granted a judicial review application related to the formal aspects of a law. The Government has two years to fix all the problems, and as expected, the first thing that was corrected was the Law on the Establishment of Legislation. Last week, Law No. 13/2022 was promulgated, amending the provisions of Law No. 12/2011.
PKPU for Pertamina Foundation, Again
No one has ever benefited from a corruption case other than those who committed the crime. The convicts can still enjoy happy days in prison and continue to live rich after completing their sentences, but the parties who are taken advantage of may never get their rights. The clearest example is what happened in the Pertamina Foundation. Over six years after the case came to light, several volunteers are still trying to get their due. In the last two years, they tried to force the foundation with a lawsuit on Suspension of Debt Payment (PKPU). Last week, the latest lawsuit was registered.
More on the BLBI Scandal : The Harjonos and others
The Satuan Tugas Penanganan Hak Tagih Negara Dana Bantuan Likuiditas Bank Indonesia (Satgas BLBI), a Task Force under Minister of Finance Sri Mulyani Indrawati’s supervision, strikes again. We know that the Satgas BLBI is attempting to recover funds from some businessmen related to the 1997-1998 financial crisis. After successfully confiscated assets related to Trijono Gondokusumo last week, this week the Satgas commenced another confiscation on assets related to Setiawan and Hendrawan Harjono of Bank Aspac.
Latest on the BLBI Scandal: Gondokusumo et al
Satuan Tugas Penanganan Hak Tagih Negara Dana Bantuan Likuiditas Bank Indonesia (BLBI), a task force under Minister of Finance Sri Mulyani Indrawati’s supervision to recover funds from some businessmen related to 1997-1998 financial crisis, continue giving pressures. The task force, established by President Joko Widodo through President Decree No. 6/2021, seeks to recover Rp4.89 trillion from Trijono Gondokusumo, former shareholder of PT Bank Putra Surya Perkasa (PSP), and Rp822 billion from Suyanto Gondokusumo (former owner of Bank Dharmala). Last week, the task force decided to confiscate a huge plot of land in Bogor supposedly related with Trijono. Interestingly, although several obligors decided to challenge the task force through legal measures, until now there has been no resistance from the Gondokusumo family.
Peace for Garuda Indonesia
State-Owned airlines PT Garuda Indonesia (Persero) Tbk, which has been in constant trouble for the past three years, will finally be able to breathe a little easier after the majority of its creditors approved the peace proposal they offered in the debt restructuring process (PKPU). However, there was a small obstacle that delayed the promulgation of the peace agreement by the Panel of Judges.
On the Geostationery Orbit Scandal : Suspects
Earlier this year, the Coordinating Minister for Political, Legal, and Security Affairs, Mahfud MD, announced that President Joko “Jokowi” Widodo had ordered an investigation into alleged violations of law in satellite management cooperation at the Ministry of Defense. The case supposedly cost the State around Rp800 billion. Before the announcement, the last time we reported on the subject matter was in 2018, when the Government was sued by one of its partners on suspicion of default. But something bigger than just a breach of contract is brewing: allegations of corruption. Five months later, earlier this week, the Attorney General’s Office (AGO) announced that it had named three suspects in the case. Now, the responsible sector is the Solictor General for Military Crimes.
On Corruption in Langkat : Trial of the Disgraced Regent
The Corruption Eradication Commission (KPK) ‘s third sting operation in 2022 ensnared then Regent of Langkat, Terbit Rencana Peranginangin (Golkar). Terbit is the 16th regional head of North Sumatera embroiled in a corruption scandal in less than a decade. But Terbit’s arrest reveals crimes that are more horrific than “mere” corruption. With the help and support of many people, including his own son, Terbit has committed a gross violation of human rights for a long time and has consciously taken many lives. The crimes are being investigated by the police with the help of National Commission on Human Rights, while the investigation into the case of alleged corruption continues. On June 15, 2022, Terbit stands trial as graft defendant.
Legal Issues Surrounding Zulkifli Hasan
On June 15, 2022, President Joko “Jokowi” Widodo accompanied by Vice President, Ma’ruf Amin, announced their decision to reshuffle the officials in the Indonesia Maju Cabinet. A number of Ministers and Deputy Ministers were removed, and several new names were appointed. Among the newly appointed names, one name garnered attention, but for all the wrong reasons. He is Zulkifli Hasan, the general chairman of the National Mandate Party (PAN) who as of today is the minister of Trade replacing Muhammad Luthfi. Zulkifli is not a new name for Indonesian politics, but his name was previously associated with several major corruption cases. Although Zulkifli often denied it, the public did not believe him.