Sahroni Backs Review of Whether State Losses Constitute Corruption, Citing Difference from Officials’ Corruption

Deputy chairman of House Commission III Ahmad Sahroni has backed President Prabowo Subianto’s instruction to conduct an in-depth review of a proposal by National Economic Council (DEN) chairman Luhut Binsar Pandjaitan concerning whether state losses should be treated as corruption. Sahroni said state losses differ from corruption committed by officials.

“I strongly agree, and the Corruption Eradication Law does need to be revised to ensure it does not target the wrong people,” Sahroni said when contacted on Tuesday (27 October 2026).

He said state losses should be distinguished from criminal acts of corruption committed by officials. In his view, officials commit corruption when they act for personal gain and cause harm to the public.

“We need to focus on state businesses that should not automatically be considered corrupt, and distinguish them from corruption by, for example, officials who are supposed to serve the public but take money for their own interests. That harms people, so it is considered a criminal act of corruption because it harms many members of the public,” he said.

However, he said state-owned businesses should remain focused on making a profit. Such businesses, he added, should be run by people with genuine expertise in the field.

“If state businesses are focused on profit and losses are not allowed, then they must be run by selected people who understand state business,” he said.

He also called for follow-up action on redefining corruption. “The Corruption Eradication Law should be revised once the study of the above issue has clarified its meaning,” he added.

Prabowo’s instruction

President Prabowo Subianto has instructed his administration to study a redefinition of corruption in the Corruption Eradication Law. The instruction followed a proposal by DEN chairman Luhut Binsar Pandjaitan to redefine corruption.

Coordinating Minister for Legal, Human Rights, Immigration and Corrections Yusril Ihza Mahendra disclosed Prabowo’s instruction after meeting the president at the Presidential Palace in Jakarta on Monday (26 October).

“Mr President stressed that this does not mean he has already approved what the DEN proposed. Rather, he has asked for a more in-depth study so that we can formulate a definition of corruption suited to the circumstances facing the country,” Yusril said.

Yusril said the definition and categories of corruption offences may need to be broadened in line with the United Nations Convention against Corruption (UNCAC), which Indonesia ratified in 2006.

“Our understanding is already quite broad. In addition to gratification and bribery, the Corruption Eradication Law also covers extortion by officials who seek facilities, preferential treatment or other conveniences,” Yusril said.

“The task now is to align the concept of corruption in the UN Convention with improvements to our own anti-corruption law,” he added.

Luhut had previously proposed studying changes to Indonesia’s definition of criminal corruption, raising the proposal directly with President Prabowo.

“The President also agreed to a study prepared by the National Economic Council team on the definition of corruption,” Luhut said at Merdeka Palace in Central Jakarta on Tuesday (20 October).