TheJakartaPost
Please Update your browser
Your browser is out of date, and may not be compatible with our website. A list of the most popular web browsers can be found below.
Just click on the icons to get to the download page.
Revised export policy leads to Edhy's undoing
Change Size
T
he decision by Maritime Affairs and Fisheries Minister Edhy Prabowo to roll back his predecessor’s policy of banning the export of lobster larvae may prove to be his downfall.
The Corruption Eradication Commission (KPK) named Edhy, who has offered to resign as minister, and six other people suspects on Thursday in a bribery case that centers on the issuance of export permits for lobster larvae.
Edhy allegedly received kickbacks amounting to Rp 3.4 billion (US$240,000), some of which he allegedly spent during his working trip to Honolulu, Hawaii, in the United States between Nov. 21 and 23. He also allegedly received $100,000 from a lobster larvae exporting company, reportedly to secure export permits for the company.
The case is linked to the minister’s decision to allow the export of lobster larvae, which was formalized in Ministerial Regulation No. 12/2020 on May 4. The export ban was put in place by his predecessor Susi Pudjiastuti, who served in the ministerial post during President Joko “Jokowi” Widodo’s first term.
Following the issuance, Edhy established a due diligence team for lobster cultivation business permits, to which he assigned his staff members Andreau Pribadi Misata and Safri as chairman and deputy chairman.
In early October, PT Duta Putra Perkasa (DPP) director Suharjito met with Safri at the Maritime Affairs and Fisheries Ministry’s office in Central Jakarta. According to the KPK, it was revealed that the export of lobster larvae could only be conducted through freight forwarder company PT Aero Citra Kargo (ACK) with a tariff of Rp 1,800 per larva following a deal between businessman Amiril Mukminin, Andreau and ACK manager Siswadi.
Suharjito also allegedly gave $100,000 to Edhy, reportedly in exchange for securing the export permit for his company.
Following the deal, the KPK found that DPP transferred Rp 731.5 million to ACK’s account, after which Edhy allegedly instructed the due diligence team to issue an export permit for DPP, which has since exported lobster larvae in 10 batches through ACK.
KPK deputy chairman Nawawi Pomolango said ACK also received money transfers from several lobster larvae exporting companies, which were later transferred to bank accounts of the company’s shareholders Amri and Ahmad Bahtiar.
"From the money wired into ACK's bank account, which is suspected to have originated from a number of lobster larvae export companies, AMR [Amri] and ABT [Ahmad Bahtiar] each received transfers of Rp 9.8 billion in total," Nawawi said in a press conference early on Thursday.
On Nov. 5, the KPK found Rp 3.4 trillion was transferred from Bahtiar’s account into that of Ainul Faqih, who is a staffer for Edhy’s wife Iis Rosyita Dewi. The money was reportedly intended for Iis, Safri and Andreau.
During his recent working trip to the US, Edhy allegedly spent the wired money shopping in Honolulu between Nov. 21 and 23. The total of the spending amounted to around Rp 750 million to purchase a Rolex watch, Tumi and Louis Vuitton bags and an Old Navy shirt, Nawawi said.
The former minister was among 17 people arrested by the KPK during a series of operations that took place in Depok and Bekasi, West Java, as well as South Tangerang and Soekarno-Hatta International Airport in Tangerang, Banten. Edhy was apprehended at 1.23 a.m. at the airport soon after his return from the US.
Aside from Edhy, the KPK has also named six suspects in the case, including Safri, Siswadi, Ainul and Suharjito. Two other suspects, Andreau and Amiril, who were initially still at large, later voluntarily turned themselves in on Thursday.
Speaking after the KPK’s announcement, Edhy apologized for his actions.
“I apologize to all of the Indonesians who might feel betrayed,” said Edhy. “This was an accident and I take responsibility [for it].”
A Tempo magazine report published on July 4 revealed many irregularities following Edhy’s policy of allowing the export of lobster larvae, including many lobster larvae companies that received export permits despite having been established not long after the ministerial regulation was signed.
The report also found that several of the companies had ties to the Gerindra Party, of which Edhy is a member. In an interview with the magazine, Edhy said no special privileges had been given to any companies and the export permits were issued to companies that satisfied the requirements stipulated in the regulation.
Edhy’s policy not only attracted the attention of the KPK; the Business Competition Supervisory Commission (KPPU) also launched a preliminary investigation into alleged unfair practices in the freight forwarding of lobster larvae.
KPPU commissioner Guntur Saragih said the business watchdog had been looking for evidence of unfair business practices since Nov. 10. The preliminary investigation began after information from groups of fishermen who complained about the high freight charges to export lobster larvae, Guntur said.
He went on to say that the KPPU would closely watch the developments of the KPK’s investigation, adding that the KPPU’s process would proceed as usual and if sufficient evidence was found, a full investigation would be launched.
“We continue to monitor the developments, particularly if there is evidence that is uncovered in the KPK’s [investigation], but we will watch the process,” Guntur told The Jakarta Post on Thursday. (nal)
