Jasindo & Oil-Gas Insurance Corruption
On May 3, 2017, the Corruption Eradication Commission (KPK) once again announced a new inquisition regarding a case of alleged corruption in the State-Owned Insurance Company PT Asuransi Jasa Indonesia (Jasindo). The case in question is related to the provision of insurance services for the Upstream Oil and Gas Regulatory Body (BP Migas, now SKKMigas). In the case, KPK named Jasindo’s former President Director Budi Tjahjono as a suspect with estimated amount of State losses of Rp15 billion.
The Rights to Inquiry against the KPK
The House of Representatives has on April 28, 2017, agreed to sent their rights to inquiry against the Corruption Eradication Commission (KPK). The decision was taken after the controversial statements given by Miryam S Haryani (Hanura) during the trial of the case of the electronic identity cards (E-KTP) procurement graft. However, by law, can the House of Representatives use their rights to inquiry over the KPK?
Bank Danamon v. Heirs of the Founders of Bank Kopra
PT Bank Danamon Indonesia Tbk (IDX: BDMN) (Bank Danamon) must face a tort lawsuit filed by two of the heirs of the founders of PT Bank Kopra Indonesia (Bank Kopra), the company that marked the beginning of Bank Danamon. The two heirs (hereinafter referred to as “the plaintiffs”) filed the lawsuit to the South Jakarta District Court and demanded Bank Danamon to pay compensation amounted to over Rp6 trillion in total due to material and immaterial loss based on historical facts. The process of mediation is ongoing for the next 45 days.
Penalties for Husky-CNOOC Madura and COSL Indo Cancelled
In 2016, the Business Competition Supervisory Commission (KPPU) found the oil and gas contractor Husky-CNOOC Madura Limited (HCML) and PT China Oilfield Services Limited (COSL) Indo guilty of rigging an auction for Jack-Up Drilling Rig Services. But the two companies filed for an objection at the South Jakarta District Court and on April 27, 2017, the objection was granted.
The E-KTP Graft Case: Development
The investigation into the electronic identity card (E-KTP) graft case expanded to several other cases. After naming Miryam Haryani, a Hanura politician, as a suspect of perjury, the Corruption Eradication Commission (KPK) is considering to investigate obstruction of justice. Meanwhile, the trial of the two E-KTP graft suspects continues.
Public Works Minister: No Bailout for Companies Affected by the Lapindo Mudflow
The Government spent years and billions of the taxpayers money to handle the aftermath of the Sidoarjo mudflow. But apparently, enough is enough. After a quick meeting held at the Presidential Palace on April 26, 2017, the Government decided to not compensate the companies affected by the mudflow and to settle all remaining compensation payments by this year.
Citra Maharlika’s Bankruptcy
PT Citra Maharlika Nusantara Corpora Tbk (CPGT) (formerly known as Cipaganti) entered their period of Suspension of Debts Payment (PKPU) in November 2016 as a result of lawsuit filed by Armand Yapsunto Muharamsyah and Partners (AYMP) Law Office (formerly known as DNC Advocates). The troubled transportation company have been struggling to pay their debts and initially offered the creditors with the company’s shares. The majority of the Company’s creditors, however, rejected the offer and voted for the Company’s bankruptcy.
Update on the Bakamla Corruption Case
After several postponement, and later with the guarantee made by the Commander of the Indonesian Military (TNI), the Head of the Maritime Security Agency (Bakamla) finally attended the trial of Fahmi Darmawansyah, who is one of the defendants in the Bakamla bribery scandal. The of Head of Bakamla was confronted with the statements of the defendants and the other witnesses regarding his involvement in the case.
The End for Andi Taufan Tiro?
On April 26, 2017 the Corruption Court of the Central Jakarta District Court read their verdict for Andi Taufan Tiro, the former lawmaker from PAN and the former member of the House Commission V of the House of Representatives, who is a defendant in the Trans-Seram road construction corruption trial. Andi is deemed guilty of all charges and the Panel of Judges decided to revoke his political rights.
Benny Tjokro v. Goldman Sachs et al
The dispute between the stock trader Benny Tjokrosaputro against Goldman Sachs International and two other parties on the alleged illegal sales of Benny’s shares in PT Hanson International Tbk (MYRX) continues. On April 25, 2017, the defendant presented their evidence in trial.