Indonesian Political, Business & Finance News

Kortastipidkor Searches Four Locations Linked to Sugar Factory Project

| Source: ANTARA_ID Translated from Indonesian | Legal
Kortastipidkor Searches Four Locations Linked to Sugar Factory Project
Image: ANTARA_ID

Investigators from the Corruption Eradication Corps (Kortastipidkor) of the Indonesian National Police have searched four locations in Jakarta, Surabaya, and Gresik in connection with alleged corruption in the revitalisation and modernisation of the Assembagoes Sugar Factory in Situbondo, East Java.

Head of Operations at Kortastipidkor, Senior Commissioner Ahmad Yusuf Afandi, stated that the searches were part of the investigation process. ‘The searches conducted by the investigative team are part of efforts to seek and collect evidence relevant to the alleged corruption in the EPCC (engineering, procurement, construction, and commissioning) of the Asembagoes Sugar Factory currently being handled,’ he said in a statement in Jakarta on Monday.

Ahmad said the various pieces of evidence found during the searches would be analysed and examined further to strengthen the case, including to determine the parties who can be held criminally responsible. He added that the searches were also carried out to expedite the resolution of the case in accordance with applicable legal provisions. ‘We ensure that the entire process is conducted professionally, transparently, and accountably in line with the principles of juridical procedural, technically professional, ethically proportional, and non-interventionist corruption investigations,’ he stated.

The four locations searched by police investigators on Tuesday included the office of a state-owned construction enterprise on Jalan D.I. Panjaitan Kavling 9-10, East Jakarta; the residence of PT Multinas Indonesia President Director Tjahjadi Dajadibrata in the Galaxy Bumi Permai complex, Surabaya; the office of PT Multinas Tjahja Sejahtera at Ruko Klampis Megah, Surabaya; and the office of PT Barata Indonesia on Jalan Veteran Number 241, Gresik, East Java.

The Assembagoes Sugar Factory development and modernisation project was carried out from 2016 to 2022. The project, part of a strategic state-owned enterprise programme, received funding from State Capital Participation (PMN) amounting to Rp650 billion plus additional loans exceeding Rp462 billion. However, the project failed to meet several key targets, including milling capacity, product quality, and electricity production for export. As of now, Kortastipidkor investigators at police headquarters are still deepening the case and have not named any suspects.

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