PKPU for Darma Henwa
In 2021, Highrank Investment Limited asked the South Jakarta District Court to order PT Darma Henwa Tbk (DEWA), controlled by Bumi Resources Group (Bakrie), to settle its outstanding debt. The request for this determination was not granted. Last week, one of the Company’s creditors filed a lawsuit and demanded the Company restructure its debts through a Suspension of Debt Payment (PKPU) lawsuit.
KPK’s Latest Sting Operation: Bogor Regency
Eight years ago, the Corruption Eradication Commission (KPK) caught the then Regent of Bogor, Rachmat Yasin, and the then President Director of Sentul City, Kwee Cahyadi Kumala, a.k.a. Swie Teng, for corruption. Rachmat Yasin was found guilty in two different cases. Rachmat is still in prison, but his case has not produced a deterrent effect. From April 26 to April 27, the KPK detained 12 people, including the current Regent of Bogor, Ade Munawaroh Yasin (PPP), Rachmat Yasin’s younger sister.
Palm Oil Export Ban: Legal Basis
Two weeks ago, the Attorney General’s Office (AGO) announced an investigation into export licensing for Crude Palm Oil (CPO). It named four suspects. Three are members of giant CPO-producing companies, and one is the Director General of Foreign Trade at the Ministry of Trade, Indrasari Wisnu Wardhana. The announcement had an unexpected side effect. On April 22, 2022, President Joko “Jokowi” Widodo decided to ban the exports of Crude Palm Oil (CPO) and processed CPO products. On April 27, 2022, the Ministry of Trade published the legal basis for the moratorium. The decision should take effect starting today, April 28, 2022.
Corruption in Kolaka Timur: Verdict
The Corruption Eradication Commission (KPK) conducted five sting operations in 2021. One of them was the sting operation that ensnared the Regent of Kolaka Timur, Andi Merya Nur (NasDem). However, the problem in the regency is not that simple. Just weeks ago, the KPK announced the result of an investigation in the case and named Andi Merya as a suspect in the second case for allegedly bribing an official at the Ministry of Home Affairs. The Regent’s attempt to take advantage of the Regional National Economic Recovery (PEN) funds is at the heart of the case. This week, Andi Merya is found guilty of the predicate crime.
Corruption in Indonesia Coal Resources: Lawsuit
A decade ago, PT Aneka Tambang Tbk (ANTM), through its subsidiary PT Indonesia Coal Resources (PT ICR), acquired the Sarolangun coal mine in Jambi owned by PT Citra Tobindo Sukses Perkasa (PT CTSP). In January 2019, the Attorney General’s Office (AGO) named six suspects of corruption related to the deal. The estimated losses reached almost 100 percent of the transaction value. In June 2021, the AGO detained the suspects. Earlier this week, we learned that a related party in the case had filed a lawsuit at the South Jakarta District Court.
On the Troubled Kospin Indosurya
Koperasi Simpan Pinjam (Kospin) Indosurya Cipta had run its business like a bank for nearly ten years before its illegal activities were exposed. The case revealed other problems related to the operational activities of savings and loan cooperative unions. The financial dispute in Kospin Indosurya was settled amicably, but the owner of the Company and several parties were named suspects of fraud and embezzlement by the National Police (POLRI). Dozens of creditors challenged the peace agreement, but the attempt failed. Two months ago, hundreds of clients of the Kospin filed a civil lawsuit, and POLRI also detained the individual suspects. POLRI claimed to have confiscated assets worth nearly Rp2 trillion supposedly related to the crimes.
The Rumangkangs v. Wang Xiang Mining
The South Jakarta District Court registered an interesting lawsuit recently. PT Wang Xiang Mining filed a lawsuit against the children of the late Vence Rumangkang (co-founder of the Democratic Party), who controls PT Maesa Optimalah Mineral (PT MOM). The dispute between the parties has been going on for a while now.
Mining Journal
We started 2022 with a heated hearing between Minister of Energy and Mineral Resources, Arifin Tasrif, and lawmakers at House Commission VII of the House of Representatives. The root of the problem was the discussion about illegal miners. One lawmaker from the Democratic Party, Muhammad Nasir (brother of Nazaruddin, former treasurer convicted in a series of corruption cases), questioned Arifin why the so-called coal queen Tan Paulin was yet to be arrested. This rare event prompted several national media outlets to find out about Paulin. Days later, through her legal counsel, Paulin exercised her right to reply to an article reported by CNBC Indonesia and denied Nasir’s accusations. The situation had subsided for a while until last week. Similar accusations are being leveled against PT Batuah Energi Prima (PT BEP), who has a complicated link with Paulin. The House of Representatives demanded the Government revoke the license granted to PT BEP. Meanwhile, in East Kalimantan, it is reported that the police are investigating alleged crimes committed by the Company.
The Cooking Oil Mafia Case: Export Ban
Last week the Attorney General’s Office (AGO) announced that it had investigated alleged violations of the law in the Crude Palm Oil (CPO) licensing process. The AGO named four suspects. Three are of giant CPO companies, and the other one is the Director General of Foreign Trade at the Ministry of Trade, Indrasari Wisnu Wardhana. The announcement was unexpected. Just days after the announcement, on April 22, 2022, President Joko “Jokowi” Widodo decided to ban exports of Crude Palm Oil (CPO) and processed CPO products.
On Sangihe Gold Reserve Case: Plaintiff Losses
The provision of a mining operation license on Sangihe Island in North Sulawesi has become a controversy. At first, we noted some misinformation circulating, which aggrieved the public. As expected, several representatives of the affected residents filed a lawsuit against the decision given to the mining company soon after. The lawsuit raises new questions for us. After nearly a year of proceedings, the lawsuit was rejected this week.