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View all search resultsGraft bust exposes problems at SOEs
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In this file photo, former state enterprises minister Dahlan Iskan (center) attends his graft trial at the Surabaya Corruption Court in April. (JP/Wahyoe Boediwardhana)
T
wo fresh graft investigations conducted by the National Police have put a spotlight back on rampant corruption at state-owned enterprises (SOEs), which could put a stumbling block in the way of President Joko “Jokowi” Widodo’s effort to reform the firms.
The National Police’s Criminal Investigation Department (Bareskrim) on Sunday announced that they named Achmad Boediono, the director of state-owned salt company PT Garam, a suspect in a corruption case that caused Rp 3.5 billion (US$263,000) in state losses.
Boediono, who was detained on Saturday, was charged with corruption for allegedly abusing his authority in the issuance of an import permit.
The company executive was accused of changing a permit that allowed his firm, PT Garam, to import table salt but then marketed the product as industrial salt to evade a 10-percent tax from the government.
As a result of the change in policy, Boediono was alleged to receive Rp 71 billion in kickbacks from private companies buying salt from PT Garam.
Police also charged Boediono with the 1999 Consumer Protection Law for allegedly distributing industrial salt to consumers in Indonesia, an action prohibited under the 2014 Trade Law.
“The suspect has been detained on allegations of rigging the import and distribution of salt to the amount of 75,000 tons,” Bareskrim economic special investigation director Brig. Gen. Agung Setya said on Sunday.
