Bang! Sritex Commissioner Iwan Setiawan Lukminto Sentenced to 14 Years in Prison

Jakarta, CNBC Indonesia - PT Sritex’s Chairman Iwan Setiawan Lukminto, the defendant in the alleged corruption case involving the granting of credit facilities that harmed the state by Rp1.3 trillion, has been sentenced to 14 years in prison. However, the verdict read out is lighter than the prosecutors’ demand of 16 years.

In addition to the custodial sentence, the defendant has also been imposed a fine of Rp1 billion, which if not paid will be replaced with imprisonment for 90 days.

“The defendant is found guilty of violating Article 603 of the Criminal Code on corruption offences and Article 607 of the Criminal Code on money laundering offences (ML),” said Chief Judge Rommel Franciskus Tampubolon at the Corruption Court in Semarang, Central Java, on Wednesday (6/5/2026).

In its considerations, the judge stated that the defendant was proven to have applied for loans from three regional banks using fabricated financial reports for the years 2017, 2018, and 2019.

He explained that the purpose of the loans from the three banks was to pay bills to PT Sritex’s suppliers. However, the judge continued, PT Sritex created its own invoices for the claims used to obtain the loans.

The disbursed credit that entered the suppliers’ accounts, he said, was then withdrawn back to PT Sritex’s account under the name Toko Wijaya.

“The loan disbursement was not in accordance with its intended use; the invoices used for disbursement were created by PT Sritex itself,” he said.

The judge also stated that the defendant, along with PT Sritex’s President Director Iwan Kurniawan Lukminto and Finance Director Alan Moran Saverino, fabricated the application for a delay in debt payment obligations (PKPU).

The defendant was proven to have committed money laundering by diverting, placing, or transferring funds from the loan disbursements from the three regional government banks not in accordance with their intended purpose.

The credit disbursement funds that returned to PT Sritex’s coffers and mixed with the company’s legitimate income were used to purchase land, rice fields, buildings, property, and to pay off debts.

He described the defendant’s actions as structured conduct by exploiting Sritex’s prominent name, making it difficult to detect.

The judge stated that the defendant’s actions constituted harm to state finances because the placement of regional budget funds (APBD) as capital in regional government banks is part of state finances.

In its considerations, the defendant’s actions do not support the government’s programme in eradicating corruption, collusion, and nepotism (KKN).

“The defendant does not feel guilty, the defendant does not admit his actions, the state loss that occurred is quite large,” he said.

In the verdict, the judge also imposed an additional penalty of repayment of state loss compensation amounting to Rp677 billion, which if not paid will be replaced with imprisonment for six years.

Regarding the verdict, both the defendant and the public prosecutor still reserve the right to appeal.