IAW Urges Law Enforcement to Actively Address Alleged Rp 1 Trillion Corruption in Ministry of Public Works
Indonesia Audit Watch (IAW) is urging law enforcement authorities to immediately follow up on the State Audit Agency (BPK) examination report regarding an alleged state loss of Rp 1 trillion at the Ministry of Public Works (PU). The initial BPK finding, reported to reach Rp 3 trillion and now reduced to Rp 1 trillion, is deemed to require swift execution.
IAW Secretary and founder Iskandar Sitorus emphasised that the BPK report documenting a ‘state loss’ automatically serves as valid preliminary evidence for authorities to act.
“That finding, in a legal context, is preliminary evidence. Well, this preliminary evidence must be pushed into the legal realm,” Iskandar stated in a written release on Wednesday (25/3/2026).
He explained that the initial state loss finding amounted to Rp 3 trillion, later reduced to Rp 1 trillion following follow-up processes or administrative recommendations. IAW reminded that Rp 1 trillion is not a small sum that law enforcement can simply ignore.
“Rp 1 trillion is not pocket change. Even corruption of Rp 100 million lands people in prison. Why hasn’t anyone been jailed for Rp 1 trillion?” he said.
Iskandar stated that law enforcement must not allow the Ministry of Public Works to resolve the Rp 1 trillion state loss internally. He warned that doing so could tarnish the rule of law in Indonesia.
“It has the potential to create a new offence in the form of abuse of authority,” he said.
Previously, Public Works Minister Dody Hanggodo explained that the resignations of two director-general level officials within the Ministry of Public Works were part of a ‘clean-up’ effort underway in the ministry. The move is linked to findings of serious violations under internal examination, namely the BPK report’s state loss of Rp 1 trillion.
According to Dody, examinations of the two officials have been conducted by the Ministry of Public Works Inspectorate General for quite some time. At the initial examination stage, both chose to resign from their positions.
“There are indeed violations, and the violations are of various kinds. They point towards serious violations. It could be gratuities, it could be adultery, it could be various things,” Dody said.
He noted that the decision to resign was taken before the ministry imposed further sanctions such as suspension or dishonourable dismissal, which must be submitted to the President.
“At the time of the first examination, they chose to resign rather than being suspended or dismissed dishonourably to the President,” he said.
He affirmed that the report on the case had already been submitted to President Prabowo Subianto before being forwarded to law enforcement authorities.
“The process has been ongoing for a long time; we’ve already reported it to Mr President. After getting the green light, we then submitted it to the prosecutor’s office,” he said.