OJK–Bareskrim raid PT MASI’s office over capital market case

Jakarta – The Financial Services Authority (OJK) together with the Indonesian Police’s Criminal Investigation Directorate (Bareskrim) conducted a raid on the offices of PT MASI (Mirae Asset Sekuritas Indonesia) in an office building in South Jakarta on Wednesday in connection with a capital market offence. According to ANTARA, investigators were seen removing several cardboard boxes and a rolling suitcase from the raid site at 14:53 WIB. Executive Director of Investigations for the Financial Services Sector at OJK, Inspector General Daniel Bolly Hyronimus Tifaona, said that the raid yielded a number of evidentiary items. ‘Most of them are documents. The most is in USB form,’ he said. He explained that the case period spanned 2020–2022 and was essentially already at the investigative stage. The raid was conducted as part of a development of the investigation into alleged manipulation of material facts contravening Article 104 in conjunction with Article 90, supplanted by Article 107 of Law Number 8 of 1995 on the Capital Market. The manipulation of material facts concerns the failure to report an affiliated recipient of fixed allotment in an initial public offering (IPO) and the submission of IPO fund usage reports that did not reflect actual conditions. The suspected manipulation is thought to involve a securities company. ‘Why are we raiding this PT? Based on the investigations we have conducted into the PT in question, this corporation remains involved. So the ongoing investigation is being strengthened by us seeking further evidence at PT MA,’ he said. Additionally, OJK investigators uncovered suspected sham transactions as defined under Article 104 in conjunction with Article 91 of Law Number 8 of 1995 on the Capital Market, involving inter-affiliate transactions that included seven corporate entities and 58 individual nominee entities, executed by six operators under the control of the suspects. The sequence of transactions is believed to have driven BEBS’s share price on the regular market to rise by about 7,150 percent. Daniel disclosed that the illegal gains from insider trading amounted to Rp14.5 trillion. ‘The total value is Rp14.5 trillion. Of the shares we froze, there are about two billion shares at a share price around Rp7,000-plus; in total that amounts to roughly Rp14.4 trillion. We froze them, and they must not be traded,’ he said. From the case, two individuals have been named as suspects, namely ASS as the beneficial owner of PT BEBS, MWK as the former Director of Investment Banking at PT MASI, and the corporate suspect PT MASI.