Indonesian Political, Business & Finance News

ITDC Responds to Alleged Corruption in Mandalika Resettlement Programme

| Source: CNBC Translated from Indonesian | Legal
ITDC Responds to Alleged Corruption in Mandalika Resettlement Programme
Image: CNBC

Jakarta, CNBC Indonesia - State-owned tourism enterprise Indonesia Tourism Development Corporation (ITDC), part of the Injourney holding, has responded to a report of alleged corruption in the Resettlement Programme (PPK) in the Mandalika area filed with the Corruption Eradication Commission (KPK).

Corporate Secretary I Gusti Ngurah Agung Dwipramana stated that PT Pengembangan Pariwisata Indonesia (Persero) or ITDC respects every citizen’s right to convey aspirations or reports to authorised institutions in accordance with statutory regulations.

“We need to emphasise that ITDC has neither the obligation nor the authority in determining beneficiaries, providing compensation to the community, or managing the Resettlement Programme (PPK) budget,” he said in a written statement on Tuesday (23/6/2026).

He explained that the Resettlement Action Plan programme was designed and implemented collaboratively by various stakeholders according to their respective duties, functions, and authorities, as part of efforts to address the social impact of the Mandalika Special Economic Zone (KEK) development.

This programme represents a shared commitment to ensure that communities affected by the area’s development receive proper handling through a relocation and settlement restructuring process in accordance with applicable regulations.

ITDC asserted that it did not make payments, distribute, or manage compensation funds to the community in the implementation of the programme.

“ITDC’s involvement in the PPK is limited to supporting the area restructuring process through the provision of temporary land and supporting facilities for the affected communities,” he disclosed.

In its implementation, ITDC provided temporary land on HPL No. 94 at the request of the Central Lombok Regency Government in 2019, to be used as a temporary resettlement location for affected communities occupying the development area of Mandalika, until the resettlement location in Ngolang Village was ready.

Additionally, ITDC supported the provision of basic infrastructure and utilities to meet the community’s needs during the transition period.

ITDC believes that all facts and information related to the programme’s implementation can be fully explained through the applicable mechanisms, and that it consistently conducts all business activities by prioritising the principles of Good Corporate Governance, compliance with laws and regulations, and upholding transparency and accountability.

As conveyed by the KPK Spokesperson, the report received will be followed up through a review and verification process to test the validity of the information, completeness of data, and relevance of the initial evidence submitted by the complainant.

“ITDC will follow the entire legal process in accordance with applicable regulations,” he concluded.

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