On the Corruption in Jambi
Three months ago, we thought the investigation into corruption in Jambi would end after the court read its decisions on the last batch of defendants, but we’re wrong. The Corruption Eradication Commission (KPK) continued developing the case and recently announced four new suspects. So the case uncovered nearly four years ago has ensnared over 20 individuals.
PKPU/Bankruptcy Journal: Kresna Life
In November 2020, PT Asuransi Jiwa Kresna (known as Kresna Life linked to PT Kresna Graha Investama Tbk – KREN) was sued by one of its clients. Within less than a month, the Company was forced to restructure its debts in a period of Suspension of Debts Payment (PKPU). The PKPU process was resolved peacefully in February 2021 and Kresna Life began to repay their obligation starting March 2021. That said, some of its clients were not satisfied with the result and filed for a cassation. The Supreme Court ruled in favor of the cassation petition and annulled the peace agreement. So Kresna Life is declared bankrupt.
PKPU/Bankruptcy Journal: Pan Brothers
PT Pan Brothers Tbk (PBRX) is another textile company in financial problems. The pandemic has taken a toll on the Company’s performance. The situation deteriorated when one of the executives of the Company was examined as a witness in a corruption case involving State-owned insurance company PT Asuransi Jiwasraya (Persero). In the last week of May 2021, PT Maybank Indonesia Tbk (BNII), filed a lawsuit on Suspension of Debt Payment (PKPU) against Pan Brothers.
Problems Surrounding PT Toshida Indonesia
Last week, the Jakarta State Administrative Court (PTUN Jakarta) registered a lawsuit filed by PT Toshida Indonesia, a mining company located in Southeast Sulawesi. The lawsuit is related to issues that cost the Company its operating license. The Company sued the decision made by the Minister of Investment (Head of the Investment Coordinating Board – BKPM).
Another Land Mafia Case
The Chief of the National Police has made the eradication of land mafia a priority. Nevertheless, the process reveals many contradictory decisions made by law enforcement officers and even the Government. Recently, we learned of an alleged land mafia practice around Central Java and Yogyakarta. In this case, we see two contradictory police decisions.
On Joker’s Case: Pinangki’s Appeal
It has been over four months since the Panel of Judges of the Corruption Court of the Central Jakarta District Court read its decision on those who supposedly helped Joko Soegiarto Tjandra, including former prosecutor Pinangki Sirna Malasari. Pinangki was found guilty of evil conspiracy, money laundering, and bribery and because of that the Panel of Judges handed to her a sentence nearly twice more severe than what the prosecutor had demanded. The public praised said decision, but unfortunately, on the stage of appeals the Panel of Appeal reduced Pinangki’s sentence.
Social Assistance Graft Case: Proceedings Updates
The court examination into the corruption case that brought down former Minister of Social Affairs Juliari Peter Batubara (PDIP) continues to reveal interesting details. The prosecutors summoned more important witnesses to the hearings held this week and we finally learned more on the existing allegations. Separately, one of the witnesses in the case filed a report to the Supervisory Board of the Corruption Eradication Commission (KPK) against two investigators, accusing the investigators of excessive actions which caused him to lose his job. The witness denied involvement in the case, but accounts of other witnesses stated otherwise.
Plantation Reform in West Papua
The West Papua province government with the Corruption Eradication Commission (KPK) have conducted an evaluation of the licensing of oil palm plantations in eight regencies since 2018. The result of the evaluation will be used as a reference for the regional governments to decide whether the license of the oil palm company will continue or be revoked. On Feb. 25, 2021, the KPK delivered the evaluation result in a press conference. The government implemented the recommendation and revoked the concession license held by 12 companies. This kind of supervision and coordination is not new to the KPK, but it is not widely known by the public. Now is the time for the KPK to show that the anti-corruption commission is more than just sting operations.
Value Added Tax: Development and Controversy
The news that the Government will implement Value Added Tax (VAT/PPN) on staple products such as rice and beans surfaced after the draft of amendment to Law No. 6/1983 concerning General Provisions and Tax Procedures (KUP) was circulated to the public. Some parties have used this issue to sow dissent. That said, PPN exemption is nothing new. It has undergone many changes throughout the years.
Sangihe Gold Reserve and the Death of the Vice Regent
Not that many people know where the Sangihe Islands are, but the name of one of the regencies in North Sulawesi is suddenly embroiled in a series of controversies related to the issuance of a gold mining operation permit on the main island. The controversy escalated when shocking news arrived in the evening on June 9, 2021. The Vice Regent of Sangihe one Helmud Hontong, who vehemently opposed the gold mining operations on Sangihe Islands, died on a flight from Denpasar to Manado. In less than 30 minutes after Helmud received medical attention on the plane, Helmud was declared dead. This news was only known to the public outside of North Sulawesi several hours later. Various conspiracy theories emerged, including the allegation that Helmud’s death was related to the mining company he was against.