Corruption in the Mining Sector
Since before the simultaneous regional elections were held in June 2018, several environmental watchdog agencies had warned the Corruption Eradication Commission (KPK) of the alleged use of mining licensing process as a means of obtaining political campaign funds. Recently, after regional election was held, WALHI submitted a report to the KPK on the alleged involvement of as many as 36 regional leaders in corruption cases related to the granting of mining licenses.
Revisiting the Paid Plastic Bags Policy and Plan for Plastic Excise
In a move to limit the usage of plastic bags, the Ministry of Environment and Forestry tested a policy on paid plastic bags for retail business in 2016. But the program ended only seven months after it was launched. The lack of legal basis and different authorities in each State institutions were some of the challenges. Two years later, the Government listed income from plastic excise in the 2018 State Budget (APBN 2018), and yet the required regulations that would facilitate the collection said income are not yet available.
Financial Service’s Policy Package
The Government has launched a total of 16 Economic Policy Packages as of last year. The results, according to the Government, can be seen in the increasing international trust in Indonesia’s economic resilience. Recently, the Financial Service Authority (OJK) followed the Government’s steps and launched a Policy Package that focuses on policies to encourage increased exports and supports national economy. OJK hopes that the policies to be enacted can help the national economy escape global pressure.
Trade War: Indonesia v. United States
Following the United States’ threat on Indonesian export, Minister of Trade Enggartiasto Lukita visited the country last month. But apparently, the visit did not yield the expected result. Earlier this month, The United States (U.S.) had notified the Dispute...
Ongoing Examinations in the KPPU: Japfa Comfeed and Darma Henwa
The Business Competition Supervisory Commission (KPPU) continued the trials on two cases related to alleged delay in notification of acquisition implicating PT Darma Henwa Tbk (DEWA) and PT Japfa Comfeed Indonesia Tbk (JPFA). DEWA responded to questions by saying that the Company had no obligation to file any notification because the acquisition was done with an affiliated company. The representatives of JPFA, meanwhile, stated that they weren’t aware of the obligation of notification to the KPPU given that the value of transaction was small.
On the National Strategy for the Prevention and Eradication of Corruption
Towards the end on July 2018, President Joko “Jokowi” Widodo promulgated the President Regulation (Perpres) No. 54/2018 on National Strategy for the Prevention of Corruption. On August 15, 2018, several officials of the responsible Ministries gathered to discuss the implementation of the regulation.
Corruption Journal: North Sumatera and Hulu Sungai Tengah Graft Case
We all know that the bribery case in North Sumatera implicating the disgraced governor Gatot Pujo Nugroho caused a lot of damages to the province and had led to several other investigations, including allegation of bribes for the members of the province’s DPRD. Earlier this year, the Corruption Eradication Commission (KPK) named 38 new suspects in the case. The suspects were detained in the past week. Separately, in the case of bribery involving the disgraced regent of Hulu Sungai Tengah one Abdul Latif, the Corruption Court at the Central Jakarta District Court have read their verdict for the bribee and the intermediary in the case.
On Petroselat’s Insolvency: The End?
The Government officially began auctioning the operation of Selat Panjang block on August 154, 2018 along with the operation of five other oil and gas block. This announcement could be the end for the process of insolvency of Petroselat Ltd, the subsidiary of PT Sugih Energy Tbk (SUGI). The creditors previously asked the Government to terminate the contract with Petroselat, but they’ve recently expressed their gratitude for the development.
Corruption Journal: Kebumen and Subang Graft Case
The Corruption Court at the Semarang District Court recently read the verdict for one Khayub Muhamad Lutfi, the commissioner of PT Karya Adi Kencana, who was named suspect earlier this year for allegedly bribing Yahya Fuad, the regent of Kebumen. Yahya’s trial, on the other hand, is still ongoing. In a separate trial held by the Corruption Court at the Bandung District Court related to the Subang graft case, which ensnared the regent one Imas Aryumningsih, the defendant’s legal counsel mentioned the involvement of Imas’ son one Arya Natasusanda in several of the regency’s decision making meeting. This is the first time Arya’s name has been mentioned in the case.
Law Journal: On Molucca Holding’s Lawsuit and Problems around AISA
It has been a while now since the dispute between Luxembourg’s Molucca Holdings S.à.r.l and PT Pelita Cengkareng Paper somehow went quiet. Earlier this week, PT Bank Permata Tbk (BNLI) finally gave a statement on the debt dispute. Separately, PT Tiga Pilar Sejahtera Food Tbk (AISA) reportedly dodged a bullet as the PKPU lawsuit filed at the Central Jakarta District Court was rejected. But other lawsuits are waiting for the Company, and one PKPU lawsuit filed against its subsidiaries at the Semarang District Court was recently granted.