Panic Buying of Gold and Assets to Hide Corruption Proceeds

As the Corruption Eradication Commission (KPK) investigated alleged extortion in the processing of immigration documents, several parties suspected of involvement began to panic. They scrambled to sever the trail of corruption by converting money into various assets.

KPK spokesperson Budi Prasetyo revealed that one suspect withdrew money from a bank account after learning the KPK was developing a case related to extortion in immigration services. The money was then used to purchase gold bars.

“JS (Director of Stay Permits and Immigration Status at the Directorate General of Immigration, Jaya Saputra) panicked and pulled out the money in the bank. The story goes that it was then used to buy gold, pieces of it,” Budi told detikX.

The movable assets in the form of precious metals were not only kept as assets but also used in transactions to purchase a house. “Emas itu juga untuk membeli rumah, jadi pembelian rumahnya pakai emas, nggak pakai uang,” he said.

KPK investigators also found a number of assets and cash during searches related to this case. At the home of Silmy Karim, the KPK secured cash in various currencies, consisting of more than Rp 50 million, US$10,000, US$2,200, more than 1,000 euros, 150 euros, and 80,000 yen.

In addition to cash, investigators seized a number of vehicles and luxury goods. The findings included two Porsche cars, seven bicycles, five automatic Vespas, three Harley-Davidson motorcycles, one Ducati, and one Dragster motorcycle.

According to Budi, these items were seized because they are suspected to be related to the case under investigation. He also mentioned that a number of these assets were not listed in the State Officials’ Wealth Report (LHKPN). Apart from that, Silmy Karim’s reported wealth amounted to approximately Rp 234.5 billion.

“These items were seized because they are suspected to be related to the alleged extortion. But technically, these units were not listed in his LHKPN,” Budi said.

The KPK began tracing the alleged extortion within the Immigration department after obtaining information while handling a case concerning the plan to use foreign workers (RPTKA). Investigators received reports that similar practices were suspected to occur in the processing of immigration documents for foreign nationals.

According to Budi, the potential amount of money circulating in this case is even larger than the RPTKA case. This is because immigration services target not only foreign workers but also their family members who reside in Indonesia, as well as other foreign nationals processing various immigration documents.

In the practice being investigated by the KPK, foreign nationals reportedly still paid the official state fees. However, beyond that, there were additional levies demanded to ensure the administrative process ran smoothly. The modus operandi used was to complicate or not process document submissions until the applicant or the service bureau agreed to provide additional money.

“So indeed, their modus operandi was to make things difficult. Or even not process the submissions from foreign nationals through these service bureaus,” Budi said.

According to him, the service bureau would then inform the applicant that there was an additional charge to smooth the document processing. “Then the bureau tells the foreign national that there is an extra charge to facilitate the process,” he stated. The amount of these levies varied, but on average ranged from Rp 1 million to Rp 1.5 million for a single processing.

The money collected from various document processes was then pooled first in a special account that functioned as a collection account. Funds entered either through cash deposits or transfers.

“Because the collected money went into a collector’s account, right. Some was cash, some via transfer,” Budi explained.

After being collected, the money was distributed routinely every week. Besides the periodic distribution, some funds were also used for incidental needs that arose from time to time.

“That was then distributed every Friday. Besides that, if there were incidental needs, some would use that money,” he said.

KPK investigators then monitored the movement of these funds. One important point in the investigation emerged when a transfer transaction related to the distribution of money from the alleged extortion was detected.

“Then there was a money transfer, via mobile banking. That was the beginning of the hand-arrest operation,” Budi said.

The suspects moved the corruption money using nominee accounts. These accounts were frequently opened and closed alternately to disguise the flow of money. Several accounts in the name of support staff, such as office boys, were also used in the practice.

In this case, the KPK has so far named eight suspects. The KPK has also seized various assets suspected to be related to the criminal act of corruption in the extortion case involving immigration document processing. The total value of the evidence secured amounts to approximately Rp 17.5 billion.

From suspect Juniadi Sri Priambudi, investigators seized a bank account balance worth Rp 2.2 billion, three land title certificates in Jakarta, three cars, five motorcycles, and two bicycles. Meanwhile, from suspect Gusti Benardiansyah (GST), the KPK secured four crypto asset accounts worth Rp 1.2 billion. In addition, investigators also seized four cars, one towing truck, seven motorcycles, one bundle of vehicle registration documents for two-wheeled vehicles, eight bicycles, and 500 grams of gold.

As for suspect Ronald Arman Abdullah (RAA), investigators seized bank account balances, 18 pieces of gold with a total weight of 200 grams, and a number of foreign currencies consisting of US$14,500, SGD 10,000, and SAR 30. The KPK also secured one car registration document and two motorcycle registration documents.