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.
Corruption in the Export-Import Sector
Two days ago, the Attorney General's Office (AGO) announced that it had investigated alleged violations of the law in the provision of export licenses for Crude Palm Oil (CPO) and named four suspects. Three of the suspects are giant CPO producing companies and the...
Verdict for PT Merial Esa
Six years have passed since the Corruption Eradication Commission (KPK) uncovered the Bakamla graft case. Meanwhile, over three years have passed since the KPK named PT Merial Esa as the corporate suspect in the case. This case shows the ability of the KPK to carry out a thorough investigation. On April 19, 2022, the Panel of Judges read out its decision and declared the Company guilty.
Partial Delegation of Mining Licensing Authorities
Law No. 3/2020 concerning Mineral and Coal Mining (UU Minerba) was passed and promulgated in June 2020. In less than a year, various criticisms were leveled against the Law. Some decided to submit Judicial Review applications to the Constitutional Court. Towards the end of 2021, the Assembly of Justices decided to grant one application partially. Recently, we learned that the Government had issued a Presidential Regulation, which delegates the authority to grant business licenses in the minerals and coal (Minerba) mining sector to regional governments.
TIFA v. Tommy Soeharto
The pandemic seems to have brought many difficulties for Hutomo Mandala Putra, a.k.a. Tommy Soeharto. Tommy, as we know, is in dispute with the Ministry of Finance regarding his obligations in the BLBI scandal. In addition, some of his companies are also experiencing legal problems. That said, a new problem for Tommy has emerged. This time, two more of Tommy’s companies have been sued.
Update on the North Lampung Corruption Case
The Corruption Eradication Commission (KPK) uncovered corruption in North Lampung in October 2019. The trial of the disgraced Regent one Agung Ilmu Mangkunegara (Nasdem) and other defendants ended in 2020. However, the KPK did not stop investigating. In 2021, the KPK named Akbar Tandaniria Mangkunegara, Agung’s younger brother, a suspect in the same case. Akbar was found guilty last week.