The End of the Investigation into Freeport Conspiracy? (Part II)
After six months of proceedings, on September 7, 2016, the Constitutional Court (MK) finally reached their decisions regarding the petitions for judicial reviews filed by Setya Novanto. The petitions were filed in connection with the ongoing investigation on the case of alleged conspiracy related to the renewal of PT Freeport Indonesia’s contract involving Setya Novanto and Muhammad Riza Chalid.
The End of the Investigation into Freeport Conspiracy? (Part I)
We can still remember how the political atmosphere heated in mid-2015 after the then Minister of Energy and Mineral Resources (ESDM) Sudirman Said filed a report on a suspected attempt at abuse of authority by the then Speaker of the House of Representatives (DPR) Setya Novanto. Novanto and his friend businessman Muhammad Riza Chalid had supposedly met with PT Freeport Indonesia and promised the Company an extension of contract. Sudirman Said brought a sound recording of the alleged meeting to the DPR’s Board of Ethics (MKD), and parallel to that Sudirman also reported the case to the Attorney General’s Office (AGO). It was around this time that Setya Novanto filed two petitions for judicial review at the Constitutional Court (MK). Novanto’s judicial review requests are focused on the four provisions of law he deemed unconstitutional. On September 7, 2016, the MK granted Setya Novanto’s petitions.
Sukanto Tanoto & The ‘Adoptive Father’
Last week some media quoted Anwar Nasution, former senior deputy governor of Bank Indonesia and chief of the Supreme Audit Agency (BPK), urging the arrest of tycoon Sukanto Tanoto, owner of RGE Group. This week, ministry of environment and forestry affairs, starts investigation into the alleged violation of laws committed by Riau Andalan Pulp & Paper (RAPP), subsidiary of RGE.
Lippo Group Bribery : Indictment for Edy Nasution
In April earlier this year, the Corruption Eradication Commission (KPK) caught Edy receiving bribes from Doddy Arianto Supeno, an employee of PT Artha Pratama Anugerah (APP)—a subsidiary of Lippo Group. And finally, on September 7, 2016,the Corruption Court of the Central Jakarta District Court held the inaugural hearing of the trial of their own Registrar Edy Nasution. The agenda of the hearing was the reading of the indictment against Edy, in the process of which surprises were revealed, including the amount of bribes Edy allegedly took.
The Ballooning Royalty & Fees Paid by Multinationals (1)
Holcim Indonesia (SMCB), the third largest cement producer in Indonesia, reported net loss of Rp51 billion in the first half, while two of the largest producers posted substantial profit. Holcim, parent and controlling shareholder of SMCB, however, enjoyed Rp464 billion revenues from the use of HC-Logo by SMCB in the period.
PKPU for Bhineka Karya Manunggal
PT Bhineka Karya Manunggal (BKM), a subsidiary of Guna Group, had to once again face a lawsuit on Suspension of Debts Payment (PKPU) from one of its creditors of PT Lautan Warna Sari (LWS). The lawsuit is the second PKPU lawsuit the Company has had to face within two months. Although the trials have been held since the end of July 2016, the process of verification of the amount of debt held by the PKPU administrators is still ongoing.
The End for Marudut?
The Corruption Court of the Central Jakarta District Court finally held the last hearing of Marudut Pakpahan’s trial. Marudut was caught for his involvement in the attempted bribery of Jakarta High Court officials. On September 2, 2016 Marudut was declared guilty of all charges.
KPK’s Latest Sting Operation
On September 4, 2016 the Corruption Eradication Commission (KPK) conducted a Sting Operation (OTT) in South Sumatera. The target was the Regent of Banyuasin Yan Anton Ferdian of Golkar. At the same time, the KPK arrested five other people. After undergoing examination in South Sumatera and Jakarta, the KPK named the six men arrested as suspects. That was the KPK’s eleventh OTT conducted in 2016. Yan Anton is the fourth Regent named as a suspect by the KPK in this year so far.
New Regulation for Live Fish Transportation
On April 7, 2016 the Ministry of Marine and Fisheries (KKP) issued the Ministerial Regulation (Permen) No. 15/PERMEN-KP/2016 on Vessels for Transporting Live Fish. This new Permen amended many of regulations contained in Permen No. 49/PERMEN-KP/2014. But only a few months later, on August 22, 2016 the President issued Presidential Instruction (Inpres) No. 7/2016 on the Acceleration of the National Fisheries Industry. This Inpres requires the Minister of Marine and Fisheries to find and evaluate regulations that may hamper the development of the fishing industry as well as several other important matters related to the fisheries industry. On this basis, the KKP decided to revise Permen No. 15/PERMEN-KP/2016.
The End for Ariesman?
After three months of trial at the Corruption Court of the Central Jakarta District Court, on September 1, 2016 the former President Director of PT Agung Podomoro Land Tbk (APLN) Ariesman Widjaja and his aide Trinanda Prihantoro were declared guilty of all charges. Their sentence, however, are believed to be too light given the scale of the corruption scheme both are involved in.