SKK Migas Case: Demands for Sri Utami
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.
On the Tax Corruption Scandal: A New Trial
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.
Revisiting the Graft Case in the Ministry of Agriculture
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.
Bankruptcy/PKPU Journal: Gorby Putra Utama and KPAL
The number of lawsuits related to debt disputes—attempts to apply for a declaration of bankruptcy and Suspension of Debt Payment (PKPU)—is still high. Last week, a new lawsuit was filed against mining company PT Gorby Putra Utama (PT GPU). PT Steadfast Marine Tbk (KPAL) also faces a similar problem amid threats of delisting from the Indonesia Stock Exchange.
More on the BUMN Liquidation Plan
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.
Revocation of IUP and Following Lawsuits
Since early 2022, the Ministry of Investment (BKPM) has revoked thousands of Mining Business Permits (IUPs). Said move received a strong reaction. Many wondered why the BKPM led the process, not the Ministry of Energy and Mineral Resources. Some resorted to legal actions questioning the legal basis of the revocation. As of this week, 17 companies have challenged the decisions made between February 2022 and early April 2022. The three most recent lawsuits were registered on May 17, 2022, at the Jakarta State Administrative Court (PTUN Jakarta)
MAKI Coordinator and Corruption in Banjarnegara
In recent months, the Indonesian Anti-Corruption Society (MAKI) has come under scrutiny for news that does not match its anti-corruption image. Boyamin Saiman, the MAKI coordinator, was later found to be leading a company owned by the family of a corruption suspect in Banjarnegara. Boyamin, who claims to act only as a family legal counsel, has already faced several examinations as a witness of the Corruption Eradication Commission (KPK). The latest examination session was done earlier this week.
The Cooking Oil Scandal: A New Suspect
The Attorney General’s Office (AGO) announced at a press conference held on May 17, 2022, that Lin Che Wei is the latest suspect in the cooking oil scandal. Lin is one of Indonesia’s leading economists and has proven himself useful in the administrations of two different Presidents.
More on Corruption in Ambon
Towards the end of last week, we reported on a rumor that the Corruption Eradication Commission (KPK) haD named three people as suspects of corruption related to the approval of the principal permit for the construction of the Alfamidi branch in Ambon City, including the Mayor of Ambon, Richard Louhenapessy. The KPK officially announced the case later the same day and explained the chronology of the scheme.
Chevron v. LPPHI: New Chapter
In mid-2021, a lawsuit was filed against PT Chevron Pacific Indonesia (PT CPI) and three Government institutions. The three institutions were deemed negligent in controlling the recovery of Oil Contaminated Land (TTM) due to PT CPI’s operations in the Rokan Block, Riau. PT CPI should have completed its obligations before its contract ended in August 2021, one month after the lawsuit was registered. The court proceedings are ongoing. LPPHI is expected to report the Minister of Environment and Forestry to the Corruption Eradication Commission (KPK) on suspicion of deliberately hiding the result of the Rokan Block’s environmental audit.