The Latest on Bayan Resources v. BCBCS et al
There is nothing simple in a long legal battle between PT Bayan Resources Tbk (BYAN) and its subsidiary Bayan International Pte Ltd against ASX-listed White Energy Co Ltd et al. The dispute concerns their coal upgrading project in Kalimantan, Indonesia. In 2017 the Singapore International Commercial Court (SICC) found that BYAN was in breach of its coal supply obligation in its decision on the second tranche of the proceedings. Recently, the SICC decided on the third and final tranche of the proceedings.
Corruption in Garuda Indonesia: Suspects
Last month the Minister of State-Owned Enterprises (BUMN), Erick Thohir, approached the Attorney General’s Office (AGO) with a report on allegations of corruption in PT Garuda Indonesia (Persero) Tbk. The report mentions known allegations. The details of which were mentioned in the trial of Garuda Indonesia’s former President Director Emirsyah Satar. Soon after the Minister paid AGO a visit, we learned that the AGO has been investigating since November 2021 and the investigation is not limited to the allegations Minister Erick had reported. The AGO have already named two suspects. One of whom is related to the predicate crime since 2017.
Taxing Transactions through Electronic Systems (11)
The Ministry of Finance continues expanding the tax base by appointing new collectors of Value Added Tax (VAT/PPN) for digital products in trading through the electronic system (PMSE). The number of collectors continues to increase. The Ministry recently appointed four new collectors, and by January 2022, there are already 98 companies with the same set of responsibilities. Nearly two years after the policy was implemented, the Government has received deposits from 74 collectors, with more than Rp5 trillion tax value.
Update on the Battle against the Perpetrators of Forest Fires
Towards the end of last year, PT Gandaerah Hendana (PT GH) was declared guilty by the Rengat District Court. The Court is of the opinion that PT Gandaerah Hendana (PT GH) had failed to anticipate and resolve the fires in its concession and thus contributed to the 2019 forest fires. The Panel of Judges also gave the Government a warning. That said, the Company insisted that it did nothing wrong, so it appealed. The Panel of Appeals recently ruled in favor of the Company.
The Latest on Bambang Tri and the SEA Games Feud
Bambang Trihatmodjo has been having a public feud with the Ministry of Finance for the past two years. Not long ago, we learned that Bambang filed a different lawsuit against several other individuals, whom Bambang thinks should be involved in the ongoing feud instead of him. Among the names of the defendants is the former Minister of Trade, Enggartiasto Lukita. The trial of the latest lawsuit is scheduled to be held today, Feb. 23, 2022. However, several days ago, Bambang’s efforts at the cassation stage regarding a different lawsuit were rejected by the Supreme Court. Bambang is now cornered.
SKK Migas Case: Trial of Sri Utami
Nearly four years ago the Corruption Eradication Commission (KPK) named Sri Utami, officer at the Ministry of Energy and Mineral Resources, a suspect of corruption in a case implicating the former Minister of Energy, Jero Wacik, and the former 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.
The Employment Guarantee Controversies
On Feb. 2, 2022, the Minister of Manpower, Ida Fauziyah, established a regulation regarding the procedures and requirements for payment of the Old Age Security (JHT) benefits. Within a few days of its promulgation, the regulation caused a commotion. The new ministerial regulation (Permenaker) limits JHT withdrawals to only when the age of the participants of the Social Security Administration Agency (BPJS) for Manpower (BPJS TK) has reached 56 years or according to the retirement period. Rallies were carried out by labor unions in various regions protesting this one provision. The current commotion is the result of a prolonged absence of legal certainty.
Toshida Corruption Case: Disappointing Results
The investigation into the case of corruption involving PT Toshida Indonesia, a mining company located in Southeast Sulawesi, ended with disappointing results. After over a year filled with drama, the Panel of Judges of the Corruption Court at the Kendari District Court decided to acquit three defendants, stating that the indictment cannot prove their wrongdoings. The Government, however, officially revoked the company’s license last month.
Azis Syamsuddin is Guilty
The disgraced Deputy Speaker of the House of Representatives Azis Syamsuddin (Golkar) was named a suspect for his alleged involvement in the case brokering scandal in the Corruption Eradication Commission (KPK). Six months after the case was uncovered, Azis was found guilty.
PKPU for Tridomain
Producer of industrial chemical raw material PT Tridomain Performance Materials Tbk (TDPM) had a challenging year and finally faced a default on MTN with a principal value of more than Rp400 billion. In the past two years, the company has faced four lawsuits for Suspension of Debt Payment Obligations (PKPU), and the Commercial Court granted the last lawsuit at the Central Jakarta District Court. Tridomain started drafting a peace proposal for its creditors in December 2021. However, it seems that there is no significant development. Recently, several creditors have even voiced plans to report a criminal action.