Largest Payback in Corruption Case

The panel of judges sentenced two defendants in the Jiwasraya corruption case to life in prison. They were also required to pay Rp 16.8 trillion to compensate the financial loss.

KOMPAS/RADITYA HELABUMI

Chairman of the Panel of Judges Rosmina (center), reads out the verdict for the defendant Benny Tjokrosaputro, the President Director of PT Hanson Internasional in the PT Jiwasraya (Persero) insurance case at the Corruption Crime Court (Tipikor) Jakarta, Monday (26/10/2020).

JAKARTA, KOMPAS -- The panel of judges at the Jakarta Corruption Court on Monday evening (26/10/2020) found the president director of PT Hanson International, Benny Tjokrosaputro, and the president commissioner of PT Trada Alam Minera, Heru Hidayat, guilty in a corruption case pertaining to PT Asuransi Jiwasraya. The two defendants were also considered to have used their expertise to destroy the capital market and insurance industry.

For this act, Benny and Heru were sentenced to life in prison. The panel of judges chaired by Judge Rosmina also ordered Benny to pay Rp 6.08 trillion and Heru to pay Rp 10.73 trillion in compensation for the financial loss.

Also read: Life Imprisonment for Former Jiwasraya Directors

This verdict must be followed by other judges

The Rp 16.8 trillion to be paid in total was based on calculations by the Supreme Audit Agency.

Indonesia Corruption Watch researcher Kurnia Ramadhana said that the Rp 16.8 trillion payback was the largest on record. Previously, the largest payback was Rp 1.5 trillion in the Bank Indonesia liquidity assistance funds case and US$128 million or Rp 1.8 trillion ($1 equivalent to Rp 14,600) in the condensate corruption case.

"This verdict must be followed by other judges," said Kurnia. However, he warned, the payback money set by the panel of judges does not mean anything if state prosecutors do not follow it up by executing the assets of both convicts when the verdicts were legally binding.

Also read: Jiwasraya Case Becomes Political Issue

KOMPAS/SHARON PATRICIA

Indonesia Corruption Watch researcher, Kurnia Ramadhana

With Benny and Heru\'s verdict, all of the six defendants in the Jiwasraya corruption case were sentenced to life imprisonment. The other four defendants who have been sentenced to life in prison are Jiwasraya former finance director Hary Prasetyo, PT Maxima Integra director Joko Hartono Tirto, Jiwasraya former president director Hendrisman Rahim, and Jiwasraya former investment division head Syahmirwan.

Society of Criminal Law and Criminology chairwoman Yenti Garnasih said that the panel of judges decided to apply the maximum sentence for corruption cases in accordance with the guidelines for the criminal law procedure, the Perma No. 1/2020. In this regulation, it is stated that perpetrators of corruption with significant role will receive equal sentence. The equal sentence handed down to the perpetrators of the Jiwasraya corruption case shows the judges start to avoid handing down unequal punishment.

Damaging the capital market

The judges\' verdicts against Benny and Heru were in accordance with the prosecutors\' demands, namely life imprisonment and a fine of Rp 5 billion, a subsidiary of 1 year in prison. The prosecutor also demanded that the two defendants be sentenced to additional compensation.

The panel of judges stated that Benny and Heru jointly managed the investment and financial management of state-owned PT Asuransi Jiwasraya. This was done by placing illiquid stocks with the aim of intervening in prices.

Also read: Justice for Jiwasraya Policyholders

Benny and Heru were also said to have instructed the sale and purchase of shares through a number of entities affiliated with them. That way, they were able adjust the share price. As a result, the placement of investment instruments did not generate returns and liquidity for Jiwasraya.

Benny and Heru also agreed to manage and control 13 investment management companies. The goal was that Jiwasraya\'s investment instruments could be controlled.

KOMPAS/RADITYA HELABUMI

The Jakarta Corruption Court held a virtual trial with the agenda of reading the verdict for the defendant Benny Tjokrosaputro, the President Director of PT Hanson International in the PT Jiwasraya (Persero) insurance case, Monday (26/10/2020).

In his defense, Benny stated that he did not know the investment manager company in question. In addition, he said the Jiwasraya insurance case did not include the realm of corruption, but the realm of the capital market and insurance industry.

"Considering the legal fact that this crime involved many parties, including investment managers, if it is not examined carefully and accurately, it is as if the parties have done their obligations while in fact there was malicious collaboration," said the panel of judges.

The panel of judges said that the elements of corruption committed by the defendant could be proven. The panel of judges said the factor that made the defendant guiltier was the two defendants used their skills to destroy the capital market and insurance industry.

Also read: Settle the Jiwasraya Case

Heru, according to the panel of judges, used the proceeds of the crime to have fun. Meanwhile, customers who collected money little by little did not get benefit.

Heru Hidayat\'s lawyer, Soesilo Aribowo, said his client would appeal. Similar legal action was made by another client, namely Joko Hartono Tirto.

Separately, Hendrisman Rahim\'s lawyer Maqdir Ismail said Hendrisman had appealed against the verdict handed down by the panel of judges. The appeal was filed on 16 October.