Embezzlement of Funds from Former BTN Employees, Ombudsman Requests Clarification

ASW places funds in the bank with the promise of getting interest of 10 percent every month or 120 percent a year.

KOMPAS/AGUSTINUS YOGA PRIMANTORO

Ombudsman member Yeka Hendra Fatika (left), BTN Operational and Customer Director Hakim Putratama (center), and BTN Legal Counsel Roni Hutajulu (right) provided a statement regarding the alleged embezzlement case of BTN customer funds, at BTN Headquarters in Jakarta on Wednesday (8/5/2024).

JAKARTA, KOMPAS – It is hoped that a number of cases of alleged embezzlement of customer funds can be a lesson for the public so that they are not easily tempted by the lure of fantastic investment returns. On the other hand, banking is trying to mitigate the recurrence of similar incidents.

The latest case occurred at PT Bank Tabungan Negara (Persero) Tbk or BTN. A group of people demanded the return of customer funds which were suspected to have disappeared after investing in BTN. They demonstrated in front of the BTN head office, Jakarta last week, Tuesday (30/4/2024).

It is alleged that they are victims of former BTN employees' investment, namely ASW and SCP, who were dishonorably dismissed and convicted by the court. BTN has reported both individuals to the Metro Jaya Regional Police on February 6, 2023, for crimes of fraud, embezzlement, and forgery. Currently, ASW and SCP have been sentenced to 6 years and 3 years imprisonment respectively.

Member of RI Ombudsman, Yeka Hendra Fatika, listens to clarification from BTN at BTN Head Office, Jakarta, Wednesday (8/5/2024).

TANGKAPAN LAYAR ZOOM

Member of the Indonesian Ombudsman, Yeka Hendra Fatika at a press conference at the Indonesian Ombudsman Office in Jakarta, Monday (1/4/2024).

Without supporting documents

BTN's Operational and Customer Director, Hakim Putratama, stated that there is indeed money being deposited into accounts registered with BTN. However, a group of people claiming to be customers do not have supporting documents to prove that they are indeed customers.

"We will respect the ongoing legal process. We will fulfill the rights and obligations of those who claim to be customers and BTN according to legal provisions," he said.

This case began when a number of customers collaborated with a perpetrator identified as ASW to place funds in a bank with promises of receiving interest of 10 percent each month or 120 percent per year. However, there was never a BTN product offering such an interest rate.

The judge emphasized that there are no savings or deposit products that offer 10 percent interest per month. The public also needs to know that banks must know that the person who wants to open an account is truly verified (know your customer).

Officers from Bank BTN provided money exchange services at the mobile integrated cash service held by Bank Indonesia alongside other banks at Istora Senayan, Jakarta on Thursday (28/3/2024).

As a follow-up, BTN will continue to investigate and ensure that account opening procedures comply with applicable regulations. One of the ways this will be done is by using technology that can detect indications of fraud (fraud detection system).

"So, those accounts were opened by certain individuals who requested money to be sent to those accounts. The customers then sent the money to those accounts. However, the individuals did not provide account books and ATMs, even though they should have been requested by the customers. That is the customer's right," he said.

BTN Corporate Secretary Ramon Armando added that the public needs to be more careful so as not to be tempted by offers of unreasonably high interest rates which are not in accordance with the provisions of the Financial Services Authority (OJK) and the Deposit Insurance Corporation ( LPS). This also applies even if the offer comes from someone acting on behalf of banking.

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He added that BTN is committed to taking firm action against any legal violations and will not protect anyone, including bank employees who are proven to have committed violations. "We open up opportunities for customers to collectively take legal action and respect the legal decisions that have been made," said Ramon.

KOMPAS/AGUSTINUS YOGA PRIMANTORO

President Director of PT Bank Tabungan Negara (Persero) Tbk or BTN Nixon LP Napitupulu (center) alongside the board of directors during the press conference on the performance presentation of BTN 2023, in Jakarta, Monday (12/2/2024).

BTN's attorney, Roni Hutajulu, explained that BTN also has the right to protect itself legally if what the victims are doing deviates from the law. Moreover, the anarchic demonstration that damaged the environment around the BTN office last week has disrupted the comfort of public space for customers and employees.

Yeka clarified to BTN and stated that the deposit product claimed by the public is not known by BTN. "So it's not a BTN product, especially with the promise of 10 percent per month. As for now, the maximum limit is 4.5-5 percent per year," she said at BTN's headquarters in Jakarta.

So far neither BTN nor the ombudsman have stated the amount of losses and the number of victims harmed in this case.

Many times

Cases like this are not the first time handled by the Indonesian Ombudsman. In recent years, the Indonesian Ombudsman has handled two cases related to fraud disguised as investment products (deposits) with tantalizing promised returns.

Similar cases, according to Yeka, have occurred in 2022 that affected one of the banks with a value of up to Rp 15.58 billion. At that time, the Indonesian Ombudsman received a report from one of the customers who could not withdraw their funds because the deposit bill was not recorded in the banking system.

This is due to having bank employees involved in forgery. After undergoing a series of examinations involving stakeholders, the informant was finally able to receive the disbursement of a deposit worth IDR 15.58 billion.

Continuing with complaints regarding deposits, a second case occurred in 2023 with a value of up to 4.9 billion rupiahs. In this case, the complainant also could not withdraw their funds because it was not recorded in the bank system and is strongly suspected to have been embezzled by a certain employee of the related bank.

The community is more careful towards all tempting promises of returns and profits. It is clear that investments that offer high interest rates are 99.99% indicated as fraud.

Ultimately, the related banks must provide solutions in protecting consumers by expediting the auctioning of assets of suspects as victims. In both cases, Yeka emphasizes that the fault lies not with the banks, but rather in the literacy and education of the community.

"Therefore, we encourage banks to carry out internal supervision so that they can prevent fraud or criminal acts," said Yeka.

As a follow-up to the case that occurred at BTN, the Indonesian Ombudsman wants to ensure that the case will not be repeated elsewhere. Therefore, BTN is requested to mitigate the risk by strengthening internal supervision.

TOTOK WIJAYANTO

A BTN customer is browsing through homes offered on a computer screen at the BTN Harmoni branch in Central Jakarta on Friday (7/2/2020). PT Bank Tabungan Negara (BTN) targets a 10 percent growth in credit in 2020. Credit will be focused on the housing sector, particularly for the millennial segment.

The Indonesian Ombudsman also stated that BTN will be held responsible for the case if proven guilty according to the ongoing legal process. On the other hand, the bank will not compensate for any losses if the fault is purely due to an individual's wrongdoing.

"The public should be more cautious with alluring promises of high returns and profits. It is certain that investments that offer high interest rates, 99.99 percent of the time, are indicated as fraud. It is better to go to official local financial institutions and ask directly. Do not be tempted by individual invitations," added Yeka.

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