Another State-owned Enterprise subsidiary has to face the law after experiencing financial difficulties. In the span of eight months during 2021, PT Waskita Beton Precast Tbk (WSBP) has faced six lawsuits demanding the company to restructure its debts. The last lawsuit on Suspension of Debt Payment (PKPU) was registered in December 2021 and the examination is still ongoing.  Now, the problem is compounded after the Attorney General’s Office (AGO) announced that they are investigating allegations of corruption in the company. It is sad to admit that this allegation is not surprising.

Over a year ago, the Corruption Eradication Commission (KPK) uncovered a case brokering scandal involving one of their own investigator. The KPK managed to ensnared several other parties who were directly contributed in the scandal including then Mayor of Tanjungbalai, M Syahrial, and then Deputy Speaker of the House of Representatives Azis Syamsudin. Syahrial and Azis have been found guilty soon after the revelation, but Syahrial was named suspect in another case for allegedly receiving bribe. Far from media coverage, during a hearing held this week, Syahrial has been declared guilty once again.

In the end of June 2020, we reported on a potential dispute announcement made by the Board of Directors of Geo Energy Resources Limited (SGX: RE4) related to the Company’s corporate action agreed back in September 2019. The corporate action in question is related to the purchase of 100 percent of the existing shares in PT Titan Global Energy (PT TGE), part of PT Titan Infra Energy (PT TIE). The potential dispute arise because the current or former shareholders of PT TIE are reportedly in dispute in Indonesia. At the time, two different lawsuits are being examined at the Central Jakarta District Court, all relating to companies belonging to the Titan business group. Now, two years later, the public is finally aware of the complicated problems faced by the same business group.

The Corruption Eradication Commission (KPK) had to start 2022 with a Sting Operation in the city of Bekasi. The operation was conducted only three months after KPK visited West Java and held a coordination meeting on an integrated corruption eradication program with at least 120 legislators. By now we all know that there are 26 provinces that have been recorded to have dealt with the KPK, and the first place in the ranking is occupied by West Java, and West Java proves that numbers don’t have any effect. The said operation ensnared dozens of people, including then commendable Mayor of Bekasi, Rahmat Effendi. This week, his trial started and Rahmat is indicted with two charges.

Towards the end of 2021, the Attorney General’s Office (AGO) announced the inquisition into the case of alleged corruption in the purchase of natural gas by Perusahaan Daerah Pertambangan dan Energi of South Sumatera (PDPDE Sumsel). It named two suspects including former Governor of South Sumatera Alex Noerdin (Golkar). Just days after that, the local prosecutors’ office with the help from the AGO announced the development of investigation and inquisition into the case of corruption in the construction of the Sriwijaya Mosque, and named several new suspects including Alex Noerdin. With two charges, Alex has been standing trial since February 2022. This week, prosecutors demanded Alex to be punished to 20 years imprisonment. 

Over five years ago, the Corruption Eradication Commission (KPK) named Sri Utami, an officer at the Ministry of Energy and Mineral Resources, suspect in a case of corruption implicating then Minister of Energy, Jero Wacik and then Secretary General of the Ministry, Waryono Karno. The two men were convicted over seven years ago, but the trial of Sri Utami has just started earlier this year. At the latest hearing held this week, the prosecutors read their demands. 

Last year, a high-profile tax scandal was exposed. The Corruption Eradication Commission (KPK) announced the chronology of the case and named two suspects. Both are officials of the Directorate General of Taxation at the Ministry of Finance. The two key persons were found guilty a couple of months ago. This week, the trial of the first batch of bribers begins. 

Back in 2016, the Corruption Eradication Commission (KPK) began the inquisition on the case of corruption involving the Directorate General of Horticulture in the Ministry of Agriculture. But the process took way longer than predicted. Of the three suspects announced, the KPK has only prosecuted two. Both were convicted in 2018. The last suspect had to wait six years before the KPK finally detained him last week.

Towards the end of 2020, the Minister of State-Owned Enterprises (BUMN), Erick Thohir, announced his plan to dissolve 14 State-Owned Enterprises (BUMN). The plan was conveyed by Minister’s special staffer, Arya Sinulingga. Earlier this month, we learned that the Government through PT Perusahaan Pengelola Aset (PT PPA) had sued for the cancellation of the peace agreement reached in the debt restructuring process of PT Merpati Nusantara Airlines (Persero). This week, Arya mentioned the plan to put several BUMNs through the same process. So now they share the same fate as Merpati.