Indonesian Political, Business & Finance News

MBG Electric Motorcycle Scandal: Dudung Alleges Mark-Up of Up to Rp200 Billion

| Source: VIVA Translated from Indonesian | Legal
MBG Electric Motorcycle Scandal: Dudung Alleges Mark-Up of Up to Rp200 Billion
Image: VIVA

Jakarta – Alleged irregularities in the Free Nutritious Meal (MBG) programme concerning the procurement of tens of thousands of electric motorcycles worth over Rp1 trillion have come under public scrutiny after it emerged that the units were already paid in full, despite most still being in the assembly process.

Presidential Chief of Staff (KSP) Dudung Abdurachman disclosed indications of a budget mark-up in the National Nutrition Agency’s (BGN) operational vehicle procurement. The value of the discrepancy found is estimated at around Rp200 billion, whilst calculations by audit bodies could reportedly be even higher.

“So it appears that the process for these electric motorcycles is still ongoing, the assembly process. The motorcycles total 21,800 units, including 1,507 trail bikes and 6,431 mopeds, and these are all electric. The total budget is Rp1.03 trillion,” Dudung stated at the KSP Building in Central Jakarta on Wednesday, 10 June 2026.

According to Dudung, the findings emerged after a check on the procurement realisation in April 2026. At that time, it was discovered that most of the vehicles already paid for by the BGN had not yet been finished being produced.

“Upon inspection, it turns out that as of 7 April, these were still being assembled, but payment had already been made by the old official. There is a discrepancy, estimated at around Rp200 billion. It would be different if the BPK calculated it; they might say Rp400 billion. Yes, there is a mark-up. This should be an easy process for the law to act swiftly,” he said.

Dudung’s statement strengthens the corruption allegations previously revealed by the Attorney General’s Office during its investigation of former BGN Head Dadan Hindayana, former BGN Deputy Head Lodewyk Pusung, and Sony Sonjaya. In the case construction presented by investigators, the three former BGN senior officials are suspected of interfering in the procurement of goods and services, resulting in a mismatch with the actual needs of the MBG programme on the ground. Several procurement projects reportedly experienced price mark-ups that led to state losses.

The Director of Investigation for the Junior Attorney General for Special Crimes, Syarief Sulaeman, previously stated that mark-up practices allegedly occurred in several large-value procurements. “There were mark-ups in procurement prices resulting in losses that did not support the operational implementation of the MBG,” Syarief stated.

The electric motorcycle procurement has become one of the largest projects now highlighted by investigators. The total procurement involved approximately 21,801 units with a budget value of more than Rp1 trillion.

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