OJK raids securities firm, suspected of involvement in a capital markets case

OJK has raided a securities company identified by the initials PT MASI over alleged capital market offences. The move forms part of an expanded probe into stock trading and initial public offerings (IPOs). The raid by OJK investigators was conducted to develop the inquiry into suspected manipulation of material facts contrary to Articles 104 in conjunction with Article 90, subsidiarily Article 107, of Law No. 8 of 1995 on the Capital Market. There are three initial findings. First, affiliates receiving fixed allotment in the IPO were not disclosed. Second, the reported use of IPO funds did not reflect actual conditions. ‘Manipulation of reports and information is suspected to involve the securities firm,’ an official OJK statement said on Wednesday, 4 March 2026. Additionally, investigators uncovered alleged dummy transactions involving inter-affiliate dealings spanning seven corporate entities and 58 individual nominees. The dummy transactions were executed by six operators under the control of the alleged suspect. The sequence of transactions is said to have caused the share price of one entity, PT BEBS, to rise significantly in the regular market, by around 7,150 percent. The capital market offence is believed to have taken place between 2020 and 2022 and is suspected to involve ASS as the beneficial owner of BEBS, MWK as former Director of Investment Banking at PT MASI, and the corporate entity PT MASI. ‘With a modus operandi of insider trading, IPO manipulation, and dummy transactions.’ Investigators have questioned 25 witnesses from PT MASI, PT BEBS, banking counterparts, nominees, and other parties. OJK is co-ordinating with the District Court and the PPNS division of Bareskrim at the Indonesian National Police in handling this offence in the financial services sector.