East Java ESDM Head Suspected of Extortion in Permitting, Rp2.3 Billion Seized
The High Prosecutor’s Office (Kejati) of East Java has officially designated three officials from the Energy and Mineral Resources Office (Dinas ESDM) of East Java Province as suspects in a case of alleged illegal levies (pungli) on permitting. In this case, investigators seized evidence in the form of cash and bank account balances totalling Rp2.3 billion.
The three suspects are the Head of the East Java ESDM Office, Aris Mukiyono, the Head of the Mining Division, Ony Setiawan, and the Chair of the Groundwater Exploitation Working Team, initialled H. All three have been immediately detained for investigative purposes.
Assistant Public Prosecutor (Aspidsus) of Kejati East Java, Wagiyo, stated that the designation of suspects resulted from a marathon investigation conducted quietly by the Kejati East Java team.
“Quietly, we conducted the investigation. Yes, silently we carried out the investigation. Since 14 April 2026, we have been investigating based on public complaints from permit applicants. We proceeded after identifying a criminal incident and obtaining initial evidence of suspected corruption in the permitting process at the East Java Provincial Energy and Mineral Resources Office,” said Wagiyo at the Kejati East Java office on Friday (17/4).
Wagiyo also revealed the modus operandi and sly tactics employed by the suspects. He noted that the permitting system should be handled online through the Online Single Submission (OSS). However, the suspects at the East Java ESDM Office allegedly deliberately delayed administrative processes to provoke payments from applicants.
“The modus operandi involved delaying the permitting process. So, if the person doesn’t ask for help or give money, the permit doesn’t come out. Even if the requirements are met. Imagine that. And there are many reports like this,” he said.
Wagiyo then detailed the extortion rates set by the suspects. For the extension of mining permits, applicants were asked to provide between Rp50 million and Rp100 million. Meanwhile, for new mining permit applications, the amount soared to Rp200 million.
For groundwater exploitation permit (SIPA) applications, the levies varied between Rp5 million and Rp20 million per document, but the total accumulation per permit could reach Rp80 million.
“They were asked for between Rp50 million and Rp200 million. Yes, that’s it. Then for groundwater, it’s similar but smaller amounts. For SIPA applications, the levies vary from Rp5 million to Rp20 million. The total for each SIPA permit can be estimated at Rp50 million up to Rp80 million,” he said.
In fact, Wagiyo stated, all permitting services at the East Java ESDM Office should not incur fees by default. The practice of distributing the proceeds from these levies among the suspects was described as a serious violation of applicable regulations.
“The proceeds from these levies, which are not provided for by law, were divided by the working team chair to the department head. The services should be free, except for taxes and other fees listed in the PNBP (Non-Tax State Revenue) qualifications,” he said.
Based on search results at the office and homes of the suspects, the Kejati East Java Pidana Khusus team secured assets in the form of cash and balances in various ATMs. From ESDM Head Aris Mukiyono, investigators seized a total of Rp494 million.
“We secured evidence of money from suspect Aris Mukiyono: cash Rp259,100,000, BCA account Rp109,039,809.49, Mandiri account Rp126,864,331, totalling Rp494,414,140.49,” he said.
From suspect Ony Setiawan, cash of Rp1,644,550,000 was secured, and from suspect H, a BCA account of Rp229,685,625, with the overall total seized money evidence reaching Rp2,369,239,765.49.
Kejati East Java is charging the suspects under Article 12 letter e or Article 12 letter b of the Corruption Eradication Law, as well as Article 606 of the new Criminal Code regarding extortion and gratification.
Wagiyo emphasised that the possibility of new suspects is not ruled out in the development of this case, including deeper probes into potential Money Laundering Offences (TPPU).
The Kejati side has also ensured coordination with the Financial Transaction Reports and Analysis Centre (PPATK) to trace where and to whom the illicit funds flowed.
“This does not rule out the possibility of new suspects. Therefore, on this occasion, we urge the public, especially investors and those applying for permits who face difficulties or delays despite meeting requirements, to file complaints with us,” he said.