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Jakarta Post

KPK detains PAL Indonesia president director, treasurer

  • News Desk

    The Jakarta Post

Jakarta   /   Sat, April 1, 2017   /   01:09 pm
KPK detains PAL Indonesia president director, treasurer Disgraced: State shipbuilder PAL Indonesia president director M. Firmansyah Arifin enters a Corruption Eradication Commission's (KPK) detainee vehicle after undergoing questioning on March 31. (Antara/Sigid Kurniawan)

The Corruption Eradication Commission (KPK) detained state shipbuilder PAL Indonesia president director M. Firmansyah Arifin after it named him a suspect in a graft case on Friday.

“For investigation purposes, all suspects will be detained for the next 20 days,” KPK spokesperson Febri Diansyah said as quoted by on Friday.

Firmansyah left the KPK at around 11:20 p.m. local time. Wearing a corruption detainee vest, Firman attempted to shield himself from the media. He immediately jumped into a KPK detainee vehicle without responding to questions from journalists.

(Read also: Graft plagues warship export to PH)

Two of Firmansyah’s subordinates were also named suspects in the case, PAL Indonesia treasury general manager Arif Cahyana and the company’s finance director, Saiful Anwar. Firmansyah is detained at the KPK compound, while Arif is detained at the commission’s detention facility at the Jakarta Military Police’s detention center in Manggarai, East Jakarta.

The KPK also named Agus Nugroho, an official with United States-based brokerage firm Ashanti Sales Inc., a suspect in the case. He is detained at the East Jakarta Police.

PAL Indonesia had won a contract to build two warships for the Philippine navy. The US$86.96 million-worth procurement project was sealed in 2014, with the involvement of Ashanti Sales Inc.

It is suspected the PAL officials and the brokerage firm agreed to a cashback deal from the sale, which accounted for 4.75 percent of the project's profit. Around 1.25 percent, $1.09 million was allegedly allocated for the PAL officials, while 3.5 percent was reportedly for the brokerage firm. (dis/ebf)