Indonesian Political, Business & Finance News

Former PGN CEO Hendi Prio Faces 5-Year Prison Sentence in Rp255 Billion Corruption Case

| Source: VIVA Translated from Indonesian | Legal
Former PGN CEO Hendi Prio Faces 5-Year Prison Sentence in Rp255 Billion Corruption Case
Image: VIVA

Former President Director of PT Perusahaan Gas Negara (PGN) Tbk for the 2008–2017 period, Hendi Prio Santoso, has been sentenced to five years in prison in a case of alleged corruption related to gas trading. The public prosecutor from the Corruption Eradication Commission (KPK) also demanded Hendi pay a fine of Rp200 million, which if not paid must be replaced with 80 days of confinement.

"Declaring that the defendant Hendi Prio Santoso has been legally and convincingly proven guilty of committing a criminal act of corruption carried out jointly," said the prosecutor during the trial on Tuesday, 28 July 2026. Hendi was not additionally burdened with a restitution payment because the prosecutor took into account the sum of 500,000 Singapore dollars that had been deposited into a KPK holding account.

In handing down the sentence, the prosecutor considered aggravating circumstances, namely that the defendant did not support efforts to eradicate corruption and that the defendant enjoyed the proceeds of his criminal act and was not forthcoming about his actions. Meanwhile, mitigating factors considered by the prosecutor included the defendant having family dependents and having never been previously convicted.

According to the prosecutor, all elements of the articles charged against Hendi were proven in court. The defendant Hendi was deemed proven to have enriched himself and others from the illegal gas trading. On that basis, his actions were declared to fulfil the elements of Article 603 of the Criminal Code in conjunction with Article 18 of Law Number 31 of 1999 concerning the Eradication of Criminal Acts of Corruption in conjunction with Article 20 letter c of the Criminal Code.

In addition, the KPK public prosecutor also demanded a sentence of 7 years and 6 months in prison for the President Commissioner of PT Inti Alasindo Energy (IAE) and Commissioner of Isargas Group, Arso Sadewo Tjokrosoebroto. Besides the prison term, Arso was also sentenced to a fine of Rp500 million, subsidiary to 140 days of confinement, and to pay restitution of Rp118,247,843,796.16, subsidiary to four years in prison.

In this case, Hendi Prio Santoso was charged with causing state losses of 15 million US dollars, equivalent to Rp255 billion. According to the prosecutor, the state losses resulted from several parties being enriched through the acquisition of funds from PGN for the Isargas Group, including the defendant Hendi who was enriched by 500,000 Singapore dollars. Hendi’s actions in enriching himself and several other parties in the case were said to have been carried out jointly with Arso Sadewo Tjokrosoebroto.

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