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View all search resultsThe dominance of politically connected figures in state-owned enterprises (SOEs) is again under scrutiny after a survey revealed that one-third of commissioner seats are held by political appointees, many linked to President Prabowo Subianto’s Gerindra party.
Recent appointments of deputy ministers as commissioners at state-owned enterprises (SOEs) in spite of a court ruling prohibiting the practice have garnered criticism that the government is exploiting the grace period before the ban takes place.
Pressure is mounting on President Prabowo Subianto’s administration to remove more than two dozen deputy ministers from their roles as commissioners of state-owned enterprises (SOEs) after the Constitutional Court maintained its position that cabinet members can not hold dual appointments.
The lack of a checking mechanism for underperforming deputy ministers raises the risk of conflicts of interest for cabinet members holding double positions as state-owned enterprises (SOEs) commissioners, which may undermine the government's overall performance, experts have warned.
Several new articles included in the revised State-Owned Enterprises (SOEs) Law suggest that state-owned firm’s directors, commissioners and supervisory board members are not considered state officials, potentially limiting the antigraft body’s authority over them.
As the Corruption Eradication Commission (KPK) continues the search for its next leaders, candidates for commissioner positions have expressed their desire to restore public trust in the antigraft body, which has waned in recent years amid a string of controversies.
The string of recent appointment of Prabowo Subianto's close aide and of Gerindra Party members as state-owned enterprises (SOEs) commissioners or deputy ministers is intended to help prevent any political turbulence during the government transition and to help the president-elect and his party secure long-term political gain for the 2029 elections, observers have said.
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