Members v. Herbalife Indonesia

The South Jakarta District Court received and registered three civil lawsuits against PT Herbalife Indonesia filed by its members in May 2017. The lawsuits were filed under allegation of tort and the members demanded hundreds of millions of Rupiah in compensation from Herbalife. What happened?

Update on LuLu Group’s Tax Case : Handang’s Trial

The trial of the former Head of Initial Evidence Sub-Directorate at the Law Enforcement Directorate in the Directorate General of Taxation Handang Soekarno, who was caught for receiving bribes from the Managing Director of a subsidiary of Lulu Group International PT EK Prima Ekspor (EKP), continues. Interesting evidence have been made public through the trial, and Handang is not holding back.

The Trial of Patrialis Akbar

The trial of businessman Basuki Hariman and his secretary Ng Fenny, the two suspected bribers in the graft case involving the former Constitutional Court (MK) Justice Patrialis Akbar began on June 5, 2017. And a week later, it was Patrialis Akbar’s turn to be tried.

Last Chance for the Sujaya Group

Eight months have passed since the Sujaya Group’s two subsidiaries, PT Bintang Jaya Proteina Feedmill (Bintang Jaya) and PT Sinka Sinye Agrotama (Sinka Sinye), entered their period of Suspension of Debts Payment (PKPU). Last week, the Group announced that they were able to find an investor, i.e., Hong Kong-based Macquarie Capital Securities Limited, the subsidiary of Macquarie Group Limited. But even with the good news, the Group seemed to be struggling to find common ground with their creditors. The voting meeting scheduled for June 12, 2017 was postponed. With the help of the supervisory judge the Group received another time extension to fix their peace proposal. But this is the last chance for the Group to resolve this dispute because they have used all the time limits provided by the law in a PKPU. Failure to resolve this dispute will end with the Group deemed bankrupt.

Inquiring the KPK

On June 12, 2017, a group named “Koalisi Tolak Hak Angket KPK” (otherwise known as KOTAK) filed a report to the Ethics Council of the House of Representatives (MKD) against the members of the Special Committee (Pansus) tasked with inquiring the Corruption Eradication Commission (KPK). KOTAK said that the members reported had violated the DPR’s code of ethics for supporting a flawed application of the rights of inquiry. In total, the Pansus has 25 members, including the Deputy Speaker of the House Fadli Zon (Gerindra) and Fahri Hamzah. Will the MKD review and examine this report?

Updates on the E-KTP Graft Case

The trial of the two defendants in the electronic identity cards (E-KTP) procurement graft case continues. The latest hearing was held on June 12, 2017. The accounts of the two defendants were heard, with the demands of the public prosecutors to be read next week. In said hearing, the defendants once again repeated the important part of the case, which were previously denied by several witnesses. Towards the end of the hearing, the defendants burst in tears while recognizing their wrongdoings and said they were sorry.

More Pressure on Pertamina

Two weeks ago, the representatives of the Supreme Audit Agency (BPK) visited the Attorney General’s Office (AGO) and brought with them the Report on Examination Result (LHP) related to the allegation of mismanagement of Dana Pensiun Pertamina (Pertamina Pension Funds), and the allegation of corruption in PT Pertamina Trans Kontinental. Last week the AGO finally announced a suspect on the PT Pertamina Trans Kontinental case. At the same time, however, the National Police’s Criminal Investigation Unit (Bareskrim) raided Pertamina’s headquarter in connection to allegation of misappropriation of the proceeds of the Company’s asset sales that occurred in 2011.

KPK, Prosecutors, and Corruption in Bengkulu

Last week, the Corruption Eradication Commission (KPK) conducted two Sting Operations (OTT), one in East Java and another in Bengkulu. The OTT in Bengkulu, however, drew more attention because the KPK arrested an active prosecutor and directly named him a suspect of bribery.

The Amendment to the Law on Counterterrorism

The House of Representatives has been discussing the Bill to revise the Law No. 15/2003 on Counterterrorism since 2015, but to this day, the lawmakers can’t seem to pass the amendment. After the Kampung Melayu bombing happened on May 24, 2017, President Joko “Jokowi” Widodo called for expedited passage of the Bill. But is this going to happen?

On Hanjung Indonesia’s PKPU

PT Hanjung Indonesia is still in their period of Suspension of Debts Payment (PKPU). The Company submitted their peace proposal to the creditors on April 26, 2017. The offer was to repay debts within seven years after the peace agreement is promulgated. The creditors asked the Company to maximize the debt repayment scheme and thus agreed to give the PKPU period an extension. After two months of extension, however, there hasn’t been many changes in the proposal. The creditors are now asking the company to provide details of the latter’s discussions with potential investors.

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