BKPM Hands Alleged Intimidation of Cilegon Investors to Police, Demands Deterrent Effect
JAKARTA - Alleged thuggery against the management of PT Chengda, the main contractor of PT Chandra Asri Alkali (CAA), a petrochemical company in Cilegon, Banten, by a group of local businesspeople has now become a legal case.
Deputy Minister of Investment and Downstream Industries/Deputy Head of the Investment Coordinating Board (BKPM) Todotua Pasaribu said his office has handed the matter over to the police.
"In this case, the Banten Provincial Police will conduct the examination process, and the outcome falls within the domain of law enforcement," Todotua said in Jakarta on Thursday (15/5).
Previously on Wednesday (14/5), BKPM facilitated a meeting between Banten Governor Andra Soni, Banten Police Chief Inspector General Suyudi Ario Seto, representatives of the national and regional Chambers of Commerce and Industry (Kadin), and representatives of PT Chandra Asri Alkali (CAA) at the Ministry of Investment and Downstream Industries office in Jakarta.
They discussed allegations of intimidation by businesspeople affiliated with Kadin Cilegon against CAA.
Todotua said the government is committed to ensuring the smooth progress of CAA's investment as one of the key pillars in the national industrial downstream effort, and that what occurred in Banten must be a concern for all parties and needs to be properly anticipated.
"Going forward, we want to establish a deterrent effect against improper actions to safeguard the investment climate in our country," he added.
He also assured that the government continues to be proactive in maintaining a conducive and attractive investment climate for investors. "The state must provide guarantees, both domestically and internationally, for investments in our country, so that investment remains conducive and sustainable," Todotua said.
The Deputy Minister also stated that to prevent similar incidents in Banten, there needs to be strengthened oversight of business partnership arrangements. The Ministry of Investment and Downstream Industries/BKPM has regulated partnership procedures through Minister of Investment/Head of BKPM Regulation Number 1 of 2022 on Procedures for Implementing Partnerships in Investment Between Large Enterprises and Micro, Small and Medium Enterprises in the Regions.
"Most importantly, there should be improved regional economic empowerment through the empowerment of local entrepreneurs," he said.
Separately, PT Chandra Asri Alkali (CAA) and Banten Governor Andra Soni committed to jointly maintaining a conducive investment climate. This mutual commitment followed the recent case of thuggery against the management of PT Chengda.
"Chandra Asri remains committed to investing in Indonesia to ensure the 8 per cent growth target can be achieved. It is certainly our commitment to always comply with the rules we must abide by," said Chandra Asri Group Director of Legal, External Relations and Circular Economy Edi Rivai, as quoted from Antara on Thursday.
Meanwhile, Banten Governor Andra Soni also affirmed his support for the joint commitment involving the government, specifically the Ministry of Investment and Downstream Industries/BKPM.
"We have reinforced our commitment to supporting the realisation of investment, particularly in Banten Province, so that it can proceed well, on time, and with benefits felt in the Banten Province area, especially Cilegon City," Andra said.
Banten Police Chief Inspector General Suyudi Ario Seto affirmed that the thuggery case in Cilegon would be investigated in accordance with legal provisions. "We are also part of the regional investment acceleration task force. Following recent events, the Banten Provincial Police will deploy a team to conduct an investigation," he said.
He added that if there are allegations of criminal acts, especially those disrupting the investment climate, the police will ensure a thorough investigation.
Deputy Minister of Investment and Downstream Industries/Deputy Head of the Investment Coordinating Board (BKPM) Todotua Pasaribu said his office has handed the matter over to the police.
"In this case, the Banten Provincial Police will conduct the examination process, and the outcome falls within the domain of law enforcement," Todotua said in Jakarta on Thursday (15/5).
Previously on Wednesday (14/5), BKPM facilitated a meeting between Banten Governor Andra Soni, Banten Police Chief Inspector General Suyudi Ario Seto, representatives of the national and regional Chambers of Commerce and Industry (Kadin), and representatives of PT Chandra Asri Alkali (CAA) at the Ministry of Investment and Downstream Industries office in Jakarta.
They discussed allegations of intimidation by businesspeople affiliated with Kadin Cilegon against CAA.
Todotua said the government is committed to ensuring the smooth progress of CAA's investment as one of the key pillars in the national industrial downstream effort, and that what occurred in Banten must be a concern for all parties and needs to be properly anticipated.
"Going forward, we want to establish a deterrent effect against improper actions to safeguard the investment climate in our country," he added.
He also assured that the government continues to be proactive in maintaining a conducive and attractive investment climate for investors. "The state must provide guarantees, both domestically and internationally, for investments in our country, so that investment remains conducive and sustainable," Todotua said.
The Deputy Minister also stated that to prevent similar incidents in Banten, there needs to be strengthened oversight of business partnership arrangements. The Ministry of Investment and Downstream Industries/BKPM has regulated partnership procedures through Minister of Investment/Head of BKPM Regulation Number 1 of 2022 on Procedures for Implementing Partnerships in Investment Between Large Enterprises and Micro, Small and Medium Enterprises in the Regions.
"Most importantly, there should be improved regional economic empowerment through the empowerment of local entrepreneurs," he said.
Separately, PT Chandra Asri Alkali (CAA) and Banten Governor Andra Soni committed to jointly maintaining a conducive investment climate. This mutual commitment followed the recent case of thuggery against the management of PT Chengda.
"Chandra Asri remains committed to investing in Indonesia to ensure the 8 per cent growth target can be achieved. It is certainly our commitment to always comply with the rules we must abide by," said Chandra Asri Group Director of Legal, External Relations and Circular Economy Edi Rivai, as quoted from Antara on Thursday.
Meanwhile, Banten Governor Andra Soni also affirmed his support for the joint commitment involving the government, specifically the Ministry of Investment and Downstream Industries/BKPM.
"We have reinforced our commitment to supporting the realisation of investment, particularly in Banten Province, so that it can proceed well, on time, and with benefits felt in the Banten Province area, especially Cilegon City," Andra said.
Banten Police Chief Inspector General Suyudi Ario Seto affirmed that the thuggery case in Cilegon would be investigated in accordance with legal provisions. "We are also part of the regional investment acceleration task force. Following recent events, the Banten Provincial Police will deploy a team to conduct an investigation," he said.
He added that if there are allegations of criminal acts, especially those disrupting the investment climate, the police will ensure a thorough investigation.