Customs and Military Intelligence Uncover Illegal Alcohol Warehouse in Bali Worth Rp12 Billion
The Directorate General of Customs and Excise (DJBC) at the Ministry of Finance, together with the Strategic Intelligence Agency of the Indonesian National Armed Forces (BAIS TNI), has thwarted the circulation of 19,142 bottles, equivalent to 14,400.36 litres, of ethyl-alcohol-containing beverages (MMEA) or illegal liquor suspected of bearing counterfeit excise stamps in Bali.
The confiscated goods consisted of Category B and C MMEA of various brands, with a value reaching Rp12.55 billion. The operation is estimated to have saved potential state revenue losses of around Rp2.14 billion.
Director General of Customs and Excise Lieutenant General (Ret.) Djaka Budhi Utama said the crackdown on illegal liquor circulation was the result of a joint team operation comprising the Customs Enforcement and Investigation Directorate, the Customs Regional Office for Bali, NTB and NTT, Denpasar Customs, and BAIS TNI.
“Collaboration like this is important to prevent the circulation of illegal excisable goods that could endanger the public, harm law-abiding businesses, and reduce state revenue,” Djaka said in a press release on Tuesday (28/7/2026).
The case came to light following intelligence reports about the suspected circulation and stockpiling of illegal MMEA in the Denpasar area. The joint team followed up on the intelligence by launching an operation on Thursday (23/7/2026).
During the operation, the joint team stopped a vehicle on Padma Street in Legian, Badung, which was known to have just left a building on Laksamana III Street in Banjar Babakan Sari, East Denpasar. An inspection found MMEA bearing suspected counterfeit excise stamps.
Based on the driver’s testimony, officers then searched two buildings at that address and again found thousands of bottles of MMEA of various brands, also suspected of bearing counterfeit excise stamps.
All the evidence was subsequently taken to the Customs Regional Office for Bali, NTB and NTT for further processing.
The case has now entered the investigation stage at the Customs Regional Office for Bali, NTB and NTT. The investigation is being carried out in coordination with the Supervisory Office of Civil Servant Investigators at the Bali Regional Police’s General Crimes Directorate and public prosecutors at the Bali High Prosecutor’s Office. Investigators are still examining witnesses and gathering evidence to determine suspects.
The perpetrators are suspected of violating Article 54 and/or Article 56 of Law No. 11 of 1995 on Excise, as amended by Law No. 39 of 2007.
Article 54 prohibits offering, delivering, selling, or providing for sale excisable goods not affixed with excise stamps. Meanwhile, Article 56 prohibits stockpiling, storing, possessing, selling, exchanging, obtaining, or providing excisable goods known or reasonably suspected to originate from criminal acts in the excise sector.
Djaka said the monitoring of illegal MMEA circulation is also part of efforts to protect the quality of Bali’s tourism ecosystem as Indonesia’s premier tourist destination.
“We want to ensure that the public and tourists obtain products that comply with regulations, while providing business certainty for entrepreneurs who operate compliantly. This creates a fair and conducive business climate for the legal industry,” he said.