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View all search resultsKPK investigators raid BI
The Corruption Eradication Commission (KPK) investigators have raided Bank Indonesia (BI) to get evidence in the investigation into corruption in the extension of minimum requirements for short-term assistance (FPJP) to Bank Century and the determining of Century as a failed bank with a systemic impact
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T
he Corruption Eradication Commission (KPK) investigators have raided Bank Indonesia (BI) to get evidence in the investigation into corruption in the extension of minimum requirements for short-term assistance (FPJP) to Bank Century and the determining of Century as a failed bank with a systemic impact.
'Yes, related to the Century case, there is a raid at the BI office today,' said KPK spokesman Johan Budi on Tuesday.
The raid was conducted in four directorates, including the Monetary Directorate and the Banking Supervision Directorate. This was the first raid related to the Century case.
In the case, the KPK named former BI deputy governor for foreign exchange management, Budi Mulya, as a suspect on Dec.7, 2012. Meanwhile, former BI deputy governor for banking supervision, Siti Chodijah Fajriah, has been considered an official who could be held legally accountable in the case.
Budi Mulya is being prosecuted for an alleged abuse of authority as stipulated in Article 3 of Law No.31/1999 on Corruption Eradication as amended in Law No.20/2001. Initially, Bank Century did not meet the requirements necessary to get the FPJP facility because its capital adequacy ratio (CAR) was only 2.02 percent.
A 2008 BI regulation stipulated a bank was considered eligible for the facility if its CAR had reached a minimum of 8 percent.
An audit by the Supreme Audit Agency (BPK) on the Century bailout concluded that there was a lack of consistency by BI toward the bank owned by Robert Tantular.
It was suspected that the central bank had deliberately changed the FPJP requirement from 'minimum 8 percent CAR' to 'CAR positive' with the aim of Century Bank getting the facility. (fan/ebf)
