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Jakarta Post

KPK grills Boediono in new probe of Bank Century case

  • Kharishar Kahfi

    The Jakarta Post

Jakarta   /   Thu, November 15, 2018   /   07:53 pm
KPK grills Boediono in new probe of Bank Century case Former vice president Boediono was Bank Indonesia governor when the Bank Century bailout took place in 2008. A year later, he ran with then incumbent president Susilo Bambang Yudhoyono in a presidential election. Boediono served as vice president during Yudhoyono's second term, which ended in 2014. (tempo.co/Aditia Noviansyah)

The Corruption Eradication Commission (KPK) has started a new investigation into the alleged corruption surrounding the 2008 Bank Century bailout, the antigraft body has confirmed.

“It is a new investigation into the case after [the conviction of] Budi Mulya,” KPK spokesman Febri Diansyah said on Thursday, referring to the first and only suspect named in the case.

Budi, who served as Bank Indonesia (BI) deputy governor during the time of the case, was found guilty of abusing his authority by channeling short-term financial assistance (FPJP) worth Rp 689 billion to keep Bank Century afloat and by falsely claiming that the bank posed a systemic threat to the country's financial industry, making it eligible for Rp 6.7 trillion from the Deposit Insurance Corporation (LPS).

Although he had repeatedly claimed during his trial that it was a collective decision of the monetary authorities under former president Susilo Bambang Yudhoyono, the panel of judges was not convinced and sentenced him to 10 years in 2014.

Febri said the graft busters have questioned 23 witnesses for the new case.

One of the 23 witnesses was former vice president Boediono, who served as BI governor in 2008. He was questioned by KPK investigators for four hours on Thursday, but he refused to talk to journalists upon leaving the KPK headquarters.

The interrogation took place only two days after the KPK questioned former BI deputy governors Miranda Goeltom and Wimboh Santoso – the latter is currently serving as the chairman of the Financial Services Authority.