Bribery Case: KAI Subsidiary Ordered to Pay Rp2.6 Billion

Prosecutors from the Corruption Eradication Commission (KPK) have asked judges at the Central Jakarta District Court’s Corruption Court to order PT KA Properti Manajemen (PT KAPM) to pay a fine of Rp200 million and compensation of Rp2.4 billion in a corruption case involving the 2022 Java-Sumatra level-crossing construction project.

Based on the legal facts presented at trial, prosecutors said PT KAPM had violated Article 5, paragraph (1), letter b of the Corruption Eradication Law, in conjunction with Article 20, letter c of Law No. 1/2023 on the Criminal Code and Article 126, paragraph (1) of the Criminal Code, as set out in the second alternative charge.

“We ask the court to find the defendant legally and convincingly guilty of committing corruption jointly and on a continuing basis,” a prosecutor said while reading the sentencing demands at the Central Jakarta Corruption Court on Monday (9 November).

If the principal penalty, a fine of Rp200 million, is not paid, prosecutors said it should be replaced by the revocation of the company’s construction-services licence for one year.

Prosecutors also sought Rp2.4 billion in compensation from PT KAPM, taking into account Rp1.5 billion in funds already seized. If the compensation is not paid, it should be replaced by the closure of all PT KAPM operations for one year.

“The defendant should be ordered to pay the state additional compensation of Rp2,410,092,416, less the seized funds of Rp1,560,434,401, as listed under evidence item No. 203,” the prosecutor said.

In presenting their sentencing demands, prosecutors cited factors that aggravated and mitigated the case. They said PT KAPM had failed to support the government’s programme to establish a clean administration free of corruption, collusion and nepotism, and had actively committed corruption to obtain excessive gains.

As mitigating factors, the company had no previous criminal convictions and had co-operated during the trial.

PT KAPM had previously been charged with paying Rp1.3 billion in bribes related to the 2022 Java-Sumatra level-crossing project, in an effort to be appointed as the project contractor or win the tender.

The alleged acts were committed jointly with Yoseph Ibrahim, PT KAPM’s president director in 2022, and Parjono, the company’s vice-president in 2022.