East Java ESDM Head Named Suspect in Extortion Case, Method Involves Delaying Permit Applications

Surabaya – The High Prosecutor’s Office (Kejati) of East Java has designated the Head of the Energy and Mineral Resources Department (ESDM) of East Java Province, initialled AM, as a suspect in a case of illegal levies (pungli) concerning mining permits.

Wagiyo, Assistant for Special Crimes at Kejati East Java, stated in Surabaya on Friday that the designation of suspect status for the ESDM Head came after conducting an investigation and searches at the East Java ESDM office and residences of related parties.

“From the results of examinations and collection of evidence, investigators have named three individuals as suspects,” Wagiyo said.

In addition to the ESDM Head, the other two suspects are the Head of the Mining Division at the East Java ESDM Department, initialled OS, and the Chairman of the Groundwater Exploitation Working Team, initialled H.

In this case, investigators found that the permitting process, which should be carried out through the Online Single Submission (OSS) system, was allegedly deliberately delayed.

Permit applicants who did not provide a certain amount of money faced obstacles in the permit issuance process, even though the requirements were complete.

He explained that the amount of money demanded varied: for mining permit extensions, it ranged from Rp50 million to Rp100 million, and for new permits, Rp50 million to Rp200 million.

Meanwhile, for groundwater exploitation permits, extensions required Rp5 million to Rp20 million per application, and new permits ranged from Rp50 million to Rp80 million.

Investigators stated that the investigation was conducted discreetly since receiving reports from the public, particularly permit applicants.

Based on those reports, the team found initial evidence of alleged criminal acts of corruption in the permit issuance process within the Provincial Energy and Mineral Resources Department of East Java.

The alleged violations found include practices of illegal levies, gratification, and extortion by rogue officials in that agency.