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Jakarta Post

KPK indicts first corporation in Bali hospital graft case

  • Kharishar Kahfi

    The Jakarta Post

Jakarta   /   Thu, October 11, 2018   /   03:30 pm
KPK indicts first corporation in Bali hospital graft case PT Duta Graha Indah (PT DGI) former president Dudung Purwadi (third left) walks after being questioned at the Corruption Eradication Commission (KPK) building on March 6, 2017. (Antara/M Agung Rajasa)



Corruption Eradication Commission (KPK) prosecutors have indicted publicly-listed construction company PT Duta Graha Indah (DGI) in a graft case pertaining to the construction of a state university hospital in Bali during the 2009-2010 fiscal year--the first of its kind in the commission's history.

Prosecutor Lie Putra Setiawan said on Thursday that the company, which had changed its name into PT Nusa Konstruksi Enjiniring (NKE), had accepted benefits from a rigged tender for the construction of state-owned Udayana University hospital in Bali, as the company was chosen for the project.

The tender was rigged by former DGI president director Dudung Purwadi and former House of Representatives lawmaker Muhammad Nazaruddin from the Democratic Party.

"[That wrongdoing has] enriched the corporation by Rp 24.7 billion [US$1.6 million] as well as Nazaruddin and his companies by Rp 10.3 billion," Lie read out the indictment during a hearing at the Jakarta Corruption Court on Tuesday.

The graft case has caused Rp 25.9 billion in state losses.

Several individuals have been convicted in the case, including Dudung, Nazaruddin, former Udayana University official Made Meregawa and businessman Marisi Matondang.

DGI has become the first corporation to be indicted in the antigraft body's history, thanks to a 2016 Supreme Court regulation on directives in handling corporate crime, paving the way for law enforcers to prosecute companies in criminal cases, including corruption cases.