Former Kemhan Official Leonardi Denies Causing State Losses of Rp306 Billion
Retired Navy Commodore (Laksda TNI Purn) Leonardi, former Head of the Defence Facilities Agency at the Ministry of Defence (Kemhan), has denied accusations of causing the state losses amounting to Rp306 billion in an alleged corruption case concerning the procurement project for satellite slot orbit 123 during the period 2015-2021.
Leonardi made this statement during an exception hearing held at the Military High Court II in Jakarta on Friday (10/4).
In his exception, Leonardi assessed that the state financial loss claims by the Public Prosecutors (JPU) are not real and certain. This is because, he said, Kemhan never made any payments to the provider.
“This means that no state funds were disbursed, no state assets were diminished, and no actual loss has genuinely occurred. If state funds were never paid, then where exactly is the state loss?” he stated.
He considered the JPU’s claims also inconsistent with the Constitutional Court Decision Number 25/PUU-XIV/2016, which clarifies that the element of state financial loss in corruption cases is no longer understood as potential loss.
Instead, it must be understood as a loss that has truly occurred or is real (actual loss). Therefore, Leonardi claimed it odd if this case is forced into a criminal corruption offence, when the element of state loss has never actually existed.
“Criminal law must not be built upon imaginary figures, loss simulations, or constructions that have never materialised in state financial expenditures,” he added.
Previously, retired Navy Commodore Leonardi, former Head of the Defence Facilities Agency at Kemhan, was charged with causing Rp306 billion in state losses in the corruption case for the satellite procurement project slot orbit 123 during 2015-2021.
Leonardi was charged alongside Thomas Anthony Van Der Heyden, an expert at Kemhan, and Gabor Kuti Szilard, CEO of Navayo International AG.
The indictment was read by the military auditor together with the public prosecutors (JPU) at the Military High Court II in Jakarta on Tuesday (31/3). Nevertheless, Leonardi did not appear in military uniform as he holds retired status.
“The defendant has committed acts, either individually or jointly, as a person who commits or participates in unlawfully enriching himself or others or a corporation that can harm the state’s finances or economy,” stated the military auditor.
In the indictment, the prosecutors stated that the project continued to be implemented since 2015 despite lacking budget allocation in the Budget Implementation List (DIPA).
Leonardi was said to have signed a satellite procurement contract with Airbus Defence and Space worth US$495 million. This action was deemed to violate regulations as it was done without available state budget.
The prosecutors noted that the project later faced issues because the government was considered to have failed to meet payment obligations. The non-payment of these obligations led Gabor to file an international arbitration lawsuit at the International Chamber of Commerce (ICC).
The arbitration decision resulted in a payment obligation for the state amounting to US$20,901,209.9 plus interest of US$483,642.74. When converted to rupiah based on the December 2021 exchange rate, the state loss value reaches Rp306 billion.