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House to form committees to probe Jiwasraya scandal

The AGO arrested five people for their role in alleged corruption at the insurance company on Tuesday. They have been accused of enriching named parties causing state losses. Among the detainees are former Jiwasraya president director Hendrisman Rahim and publicly listed property firm PT Hanson International president director Benny Tjokrosaputro.

Ghina Ghaliya (The Jakarta Post)
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Jakarta
Wed, January 15, 2020

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House to form committees to probe Jiwasraya scandal Former president director of PT Asuransi Jiwasraya Hendrisman Rahim wears a detention vest after a questioning at the Attorney General's Office in Jakarta on Tuesday. (Antara/Dhemas Reviyanto)

T

he House of Representatives will set up working committees tasked with investigating alleged corruption at state-owned insurer Asuransi Jiwasraya, following the company’s default on policies that fell due for payment last year.

House deputy speaker and Gerindra Party lawmaker Sufmi Dasco Ahmad was among the first to talk about the plan, saying the House would ask related commissions to set up working committees and look more into the case.

House Commission VI overseeing state-owned companies, for example, will look into the performance of Jiwasraya and another state-owned insurance firm Asuransi Sosial Angkatan Bersenjata Republik Indonesia (Asabri) while Commission XI overseeing financial affairs will work to ensure affected policyholders get their money back. 

Meanwhile, a working committee under Commission III overseeing legal affairs will monitor the work of the Attorney General’s Office (AGO) and other law enforcers in investigating the case.

“This should be done so we can respond to what the government has done for the affected policyholders immediately,” Sufmi said on Wednesday.

The state-owned insurance company is being investigated by the AGO and the Supreme Audit Agency (BPK) after the insurer failed to pay out Rp 12.4 trillion (US$908 million) on matured policies due in December 2019, leading to allegations of investment mismanagement.

The AGO arrested five people for their role in alleged corruption at the insurance company on Tuesday. They have been accused of enriching named parties causing state losses. Among the detainees are former Jiwasraya president director Hendrisman Rahim and publicly listed property firm PT Hanson International president director Benny Tjokrosaputro.

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