KPK Investigates Alleged Auction Rigging at Ministry of Transportation's Procurement Bureau

The Corruption Eradication Commission (KPK) is investigating alleged auction rigging by a working group within the Bureau of Procurement and State Property Management (LPPBMN) at the Ministry of Transportation, as part of a bribery case involving railway projects.

KPK Spokesperson Budi Prasetyo stated in Jakarta on Wednesday that the investigation was conducted through the examination of a Ministry of Transportation LPPBMN Bureau employee, identified by the initials ADW, as a witness on Tuesday (7/7).

“Witness ADW was present and questioned regarding the alleged auction rigging by the working group at the Ministry of Transportation’s LPPBMN Bureau,” he said.

According to Budi, the examination is part of the investigation into a bribery case related to the construction and maintenance of railway lines within the Directorate General of Railways (DJKA) of the Ministry of Transportation, specifically in the East Java region.

Meanwhile, businessman Billy Haryanto, also known as Billy Beras, failed to comply with a summons from investigators.

“This will certainly be a consideration for investigators regarding the next legal steps, whether to reschedule or issue a second summons,” Budi stated.

The case originated from a sting operation conducted by the KPK at the Class I Railway Engineering Centre for the Central Java Region on 11 April 2023. The centre is now known as the Class I Railway Engineering Centre Semarang.

As the investigation progressed, by 20 January 2026, the KPK had named and detained 21 suspects, including former member of Commission V of the House of Representatives for the 2019–2024 period, Sudewo. The KPK has also named two corporations as suspects.

This case encompasses a number of railway projects in Java, Sumatra, and Sulawesi, including the Solo Balapan–Kadipiro–Kalioso double-track project, the construction of a railway line in Makassar, construction and supervision projects for the railway line in Lampegan, Cianjur, as well as level crossing repairs in Java and Sumatra.

The KPK suspects that the procurement processes for a number of these projects were manipulated, from the administrative stage through to the determination of the tender winner.