Police Seize Gold Refinery in Sidoarjo Over Illegal Mining and Money Laundering

The Directorate of Economic and Special Crimes (Dittipideksus) of the Indonesian National Police has seized the facilities and infrastructure of a gold refinery owned by PT Simba Jaya Utama (SJU) located on Jalan Brebek Industri, Waru District, Sidoarjo Regency, East Java. Brigadier General Pol Ade Safri Simanjuntak, Director of Economic and Special Crimes at Bareskrim Polri, stated that the seizure was carried out for the investigation of a criminal case in the mineral and coal mining sector that has led to alleged money laundering (TPPU).

‘Today, based on a seizure order from the Chairman of the Sidoarjo District Court No 563/Pen.Pid.B-SITA/2026/PN Sda dated 9 June 2026, investigators from the Directorate of Economic and Special Crimes have seized the facilities and infrastructure used by PT SJU to process or refine gold suspected to originate from unlicensed mining,’ Ade said in Sidoarjo on Wednesday (10/6).

Ade explained that the seized facilities include movable assets comprising all equipment and machinery used in the gold refining and processing stages up to labelling. The seized infrastructure consists of immovable assets, namely the office building and refinery plant owned by PT SJU. ‘The facilities include all movable objects, the machines used from the initial stage to labelling, printing labels, and the infrastructure related to the buildings, both the office and the refinery plant,’ he stated.

In addition to the seizure, investigators have also named two directors of PT SJU as new suspects: DHB, who served as Director of PT SJU from 13 August 2021 to 14 September 2022, and VC, who has served as Director from 14 September 2022 to the present. ‘The perpetrators involved with the criminal activities of the three previous suspects include SB alias A, who has passed away, DHB, who is the son of SB alias A and served as Director of PT Simba Jaya Utama from 13 August 2021 to 14 September 2022, and another perpetrator, VC, who has served as Director of PT SJU from 14 September 2022 to the present,’ Ade said. He noted that SB alias A, the father of DHB, cannot be held criminally liable as he has died.

To aid the investigation of the two new suspects, investigators have coordinated with the Directorate General of Immigration at the Ministry of Immigration and Corrections to prevent them from travelling abroad.

Ade further explained that the case originated from an investigation into the criminal act of receiving illegally mined products in West Kalimantan, West Papua, and several other regions. Investigators had previously named three suspects, TW, DW, and BSW, who are members of the same family and serve as President Director of PT Semar Permata Emas Mulia and owners of Toko Emas Semar Nganjuk. The three are suspected of purchasing gold bars from illegal mining from FLB, a convicted person in a case of receiving illegal mining products in West Kalimantan based on a Pontianak District Court ruling.

‘The gold from illegal mining obtained by suspect TW and his associates was then sold to several parties, including SB or his affiliated companies, which then refined the gold originating from these unlicensed operations at the PT Simbajaya Utama plant,’ he said. Ade added that the refined gold was subsequently processed into gold bars of specific purity, types, and weights.

The proceeds from the sale of the illegal gold were then placed and transacted through 15 bank accounts under the name of suspect DW to disguise their origin, before being reused to purchase illegal mining gold repeatedly from 2019 to 2025. The three suspects have been detained at the Bareskrim Polri Detention Centre.

For their actions, the three suspects are charged under Article 161 of the Minerba Law in conjunction with Article 20 letter c and/or Article 21 paragraph 1, and Article 607 paragraph 1 letters a, b, and/or c of the Criminal Code, in conjunction with Article 6 and/or Article 10 of the Anti-Money Laundering Law.

Ade stressed that the investigation will not stop at the naming of five suspects and the seizure of PT SJU’s assets. Investigators will continue to trace all parties involved in the illegal mining crime chain, from miners and collectors to those who helped disguise the proceeds of crime. He added that investigators are also continuing to coordinate with the Financial Transaction Reports and Analysis Centre (PPATK) and other ministries and agencies to trace assets related to the case and calculate the state losses resulting from the illegal gold refining activities.