Police to return Rp 293 billion from cooperative

DENPASAR: Police have said they will return evidence from a fraud case, including Rp 293 billion in cash, to the local De-velop Karangasem Cooperative (KKM).

Director of criminal investigations for the Bali Police Sr. Comr. Wilmar Marpaung said Thursday that his office would also return three certificates of land owner-ship, 27.4 kilograms of gold jewellery, a Daihatsu van and a Suzuki pick-up truck.

"All of this evidence will be returned to the new management of KKM in the next two weeks. KKMs new management then will return the funds to their customers," Wilmar said.

The fraud was uncovered in late February following KKMs closure by police.

The cooperative allegedly operated a Ponzi scheme, promi-sing 150 percent returns for its customers investments and multiplying its capital in a relatively short time.

The business collected some Rp 718.3 billion from around 41,000 customers. It was opened in 2006 and located in Amlapura, the capital of Karangasem regency.

Two suspects - KKM director I Gede Putu Kertia and operational manager I Nengah Wijanegara - have been arrested. -JP