IDX Responds to Allegations of Fraud in Telkom's Financial Reports (TLKM)

The Indonesia Stock Exchange (IDX) continues to monitor PT Telkom Indonesia (Persero) Tbk. (TLKM) regarding the investigation conducted by the US stock market regulator into the issue of alleged financial reporting fraud. IDX’s Director of Assessment, I Gede Nyoman Yetna, stated that IDX has carried out a series of monitoring and supervisory actions through a hearing with the company on 8 April 2026. “We have conveyed several requests for explanations regarding the case experienced by the company and coordinated with OJK,” he told reporters on Tuesday (12/5/2026). Furthermore, the exchange will continue to monitor the company’s case and take necessary supervisory actions. “We also urge the public to always pay attention to every information disclosure submitted by the company regarding its developments,” he added. Based on the information disclosure dated 5 May 2026, the company has established a Directorate of Legal & Compliance as well as a Chief Integrity Officer (CIO) to strengthen legal functions, compliance, governance, business process integrity, and internal oversight. In addition, TLKM stated that the SEC investigation began in October 2023 related to the Kominfo BAKTI project, later expanding to include accounting and disclosure issues. Since May 2024, the Department of Justice (DOJ) has also requested information related to the Foreign Corrupt Practices Act (FCPA). “The company emphasises that because its shares are listed in New York, the company is subject to US capital market provisions, including the FCPA,” management revealed. The company also confirmed that its clawback policy has been effectively in place since 30 May 2023. “To date, the company has stated that it has not received official notification regarding a class action lawsuit,” it said. Telkom’s management emphasised that the evaluation of drop cable and last mile assets has been completed, resulting in a conclusion in the form of an accounting policy change that will be applied retrospectively to the 2025 fiscal year reports. Additionally, TLKM has submitted a Notification of Late Filing to the SEC on 30 April 2026 and requires additional time for submitting the 2025 Form 20-F.