President Demands Thorough Probe into Jiwasraya, Asabri

KOMPAS/ALIF ICHWAN

PT Pan Arcadia Capital asset management director Irawan Gunari leaves the Attorney General\'s Office (AGO) after questioning on Wednesday (15/1/2020) in Jakarta. Irawan was one of six witnesses questioned in the corruption investigation into PT Asuransi Jiwasraya’s financial management and investment funds. The other five witnesses were former PT GAP Capital marketing director Arifadhi Soesilarto, PT Pool Advista Finance director Ferro Budhimeilano, PT MNC Asset Management director Ferry Kojongian, PT Sinarmas Asset Management director Alex Setyawan W.K., and former PT GAP Capital marketing manager Ratna Puspitasari.

President Joko “Jokowi” Widodo and Vice President Ma’ruf Amin have called for a thorough investigation into the alleged corruption at state-owned insurers Jiwasraya and Asabri. The Attorney General’s Office (AGO) is in charge of the Jiwasraya case, while the Corruption Eradication Commission (KPK) and the Supreme Audit Agency (BPK) are in charge of the Asabri case.

JAKARTA, KOMPAS — Amid the AGO’s ongoing investigation into the alleged corruption at state-owned insurance company PT Asuransi Jiwasraya (Persero), which is thought to have incurred losses of up to Rp 27 trillion (US$1.97 billion) for its clients and the state, another case of alleged corruption has surfaced that involves military social insurance company PT Asabri. President Jokowi has ordered law enforcement agencies to thoroughly investigate the alleged corruption at the two state insurers.

The AGO on Wednesday (15/1/2020) questioned six witnesses representing investment management companies in connection with the Jiwasraya case. The AGO’s investigators also raided the residences of two suspects in the case, former Jiwasraya president director Hendrisman Rahim and former Jiwasraya finance and investment director Harry Prasetyo.

The previous day, the AGO detained and named five suspects in the Jiwasaraya case: Hendrisman, Harry, former Jiwasraya finance and investment head Syahmirwan, PT Hanson Internasional Tbk president director Benny Tjokrosaputro and PT Trada Alam Minera Tbk commissioner Heru Hidayat.

KOMPAS/ALIF ICHWAN

PT Sinarmas Asset Management director Alex Setyawan speaks to journalists outside the Attorney General\'s Office in Jakarta after he was questioned on Wednesday (15/1/2020) as one of six witness esin the corruption investigation into PT Asuransi Jiwasraya’s financial management and investment funds.

Thorough probe

Vice President Ma’ruf Amin said on Wednesday at his office in Jakarta that the corruption investigations into the state insurance companies must be thorough. “The government urges the AGO to be thorough in handling the case,” he said.

In addition to Jiwasraya, another state-owned insurer, PT Asuransi Sosial Angkatan Bersenjata Republik Indonesia (Asabri), has also become embroiled in corruption allegations.

Coordinating Political, Legal and Security Affairs Minister Mahfud M.D. said in Jakarta on Tuesday evening, during a special interview with Kompas deputy chief editor Budiman Tanuredjo, that President Joko Widodo wanted the thorough exposure of the alleged corruption at Jiwasraya and Asabri.

“[He] does not care if people close to him are involved. The President said that the case must go to court. Just slam whoever is involved,” said Mahfud.

Mahfud added that it was believed that Asabri had misused more than Rp 10 trillion in funds. The method employed was said to be similar to that used in the Jiwasraya case, which involved investing in non-credible companies. “Some of the key players may be the same,” he noted.

The Jiwasraya corruption case is alleged to involve corporate fraud committed through years of systematic mismanagement of investments and abuse of authority.

Coordination

The AGO is tackling the Jiwasraya case while the KPK works with the BPK to tackle the Asabri case.

“We are continuing to coordinate with the BPK on the Asabri case. Today, the BPK is holding an internal coordination meeting, the result of which will be delivered to us either today or tomorrow,” KPK deputy chair Nurul Ghufron said in Jember.

ANTARA FOTO/DHEMAS REVIYANTO

Police officers escort Hendrisman Rahim (in red vest), the former president director of state insurance company PT Asuransi Jiwasraya, as he is detained on Tuesday (14/1/2020) at the Attorney General’s Office in Jakarta.

Ghufron said that the KPK had also communicated with Indonesian Military (TNI) commander Air Chief Marshal Hadi Tjahjanto on Asabri’s position within the TNI structure. It had learned that the policyholders were military personnel and that third parties filled management and commissioner posts at Asabri.

“The TNI commander said that the policyholders had been members of the TNI since the 1980s. They joined a housing insurance scheme that used their money as down payments for buying houses. The TNI personnel are the victims in this case. To date, a number of TNI personnel are yet to own homes,” he said.

Separately, AGO junior attorney for special crimes (Jampidsus) Adi Toegarisman said that he could not reveal the roles the five suspects played in the Jiwasraya case. Benny Tjokro’s lawyer, Muchtar Arifin, said that he had yet to obtain any explanations regarding the possible role his client may have played.

However, PT Koneksi Kapital research head Alfred Nainggolan said that the five suspects shared a connection. Jiwasraya was known to own funds in investment schemes through private lenders. Alfred said that while this kind of corporate cooperation was common, the suspects might have shared mutual interests that led to the corruption at Jiwasraya. Jiwasraya owned several highly fluctuating stocks.

Refund

Vice President Amin said that the matter of repaying customers was still being studied. What was certain was that the government would establish a mechanism for refunding the customers’ money.

Jiwasraya president director Hexana Tri Sasongko said that the company was committed to gradually refunding all customers of the Savings Plan insurance product. The company did have enough liquidity at present to fulfill this obligation. “We have a time target [for refunding customers’ money], but we cannot mention anything specific,” he said.

ANTARA FOTO/ANITA PERMATA DEWI

PT Trada Alam Minera Tbk (TRAM) president commissioner Heru Hidayat is helped into a car after his interrogation on Tuesday (14/1/2020) at the Attorney General\'s Office in Jakarta. Heru was arrested in connection with the corruption investigation into state insurer PT Asuransi Jiwasraya.

People’s Consultative Assembly (MPR) Speaker Bambang Soesatyo said that all should learn from the Jiwasraya case. State insurance companies must be prudent in carrying out their activities.

House of Representatives Commission VI on Wednesday formed the Jiwasraya Working Committee. Commission VI member Rieke Diah Pitaloka of the Indonesian Democratic Party of Struggle (PDI-P) faction expressed her hope that the committee would assist in mapping the Jiwasraya case and find the right solutions.

(ERK/BER/NIA/FAI/IAN/NTA/AGE)