Former BUKP Tempel Head Creates 200 Fake Borrowers to Embezzle Rp2.1bn
The former head of BUKP Tempel in Sleman, BH (57), and two subordinates were arrested for embezzling Rp2.1 billion from the company. The funds were siphoned off using a scheme involving fictitious loans.
Besides BH, the other suspects are a former operational staff member and a woman identified as S (56), the former cashier of BUKP.
The case occurred between 2014 and 2024 and was uncovered after 485 loans, or 99.5% of the total, went into default. An investigation revealed 200 fictitious borrowers.
“Following this, we traced the borrowers at BUKP Tempel and found around 200 fictitious ones. These individuals used others’ identities to apply for loans they never requested,” stated Inspector Fajar Setiawan, Sub-unit Chief I of Unit IV, Criminal Investigation Unit, Sleman Police Department, during a press conference at the Sleman Police Department on Tuesday (26 May 2026).
The crime was allegedly committed collectively by the former head and his two subordinates. In addition to forging loans, all three also diverted borrowers’ repayments.
“The former head initiated the fictitious loans, with assistance from operational staff and the cashier. Their roles included credit analysis and field surveys, which were never conducted, as they merely used borrowed ID details,” he added.
Fajar noted that auditors from the BPKP (State Financial Supervisory Agency) in DIY recorded a state financial loss of Rp2.1 billion in the case.
“The suspected personal gains for each suspect were: BH with Rp800 million, RBH with Rp1.1 billion, and S with Rp160 million,” he said.
All three were formally named suspects on 11 May 2026 but remain unjailed as they have not yet been interrogated as suspects.
“We are still awaiting their suspect interrogation schedules. One suspect, RBH, is currently uncooperative and his whereabouts are unknown. We urge RBH to cooperate,” he added.
Police have interviewed at least 200 witnesses in the case. The suspects face charges under Sections 603 and 604 of the Indonesian Criminal Code (KUHP), in conjunction with Article 20(c) and Article 66(1)(b) and (d) of Law No. 1 of 2023 on the Criminal Code.
Evidence seized includes a copy of BUKP Tempel’s employee appointment decree, a box of fictitious credit agreements, borrower verifications, fictitious credit summaries, fictitious financial reports, and a box of fictitious repayment deposits.
In addition to pursuing criminal charges, investigators are working to recover the state’s financial losses.
“Next steps include tracing assets for asset recovery to recoup the state’s losses. So far, no restitution has been made by the suspects,” he concluded.