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Indonesian Law Update:


~ 2008, 2007, 2006, 2005, 2004 ~

[December 2008]

Dismissal of 2.291 Government Officials of Jakarta Province Office. The dismissal is part of the framework to reorganize the structure, according to regulation No.40/2008 on Organization Formation of Local Government Framework. The new law will dismiss 14 district instruments, which will eliminate 5 district secretary assistant to 4, 11 bureau into 10, 26 government service into 20 and 16 district technical institution into 1. The progress will take place in December 2008 and completed in January 2009. The new form is expected to cut budget loss, decrease corruption  and increase efficiency.

Poll: Public Service and Public Safety in Jakarta. The majority of respondent stated that compared to other public services, security services is still disappointing. The citizens of Jakarta admitted extra precaution remain needed in public places, such as bus stop, train station, harbor and highway. According to October 2008 statistics, crimes committed reached 40.124 cases. The major causes to these are the limited of human resources availability, in spite of life pressure socially or economically, triggered by the violence as  shown on television. 77% of respondent see that, bus station is one of the place extremely dangerous for crime, followed by airport (85.0%), traditional market (66.5%), highway (49.9%), train station (40.4%), harbor (37.1%) and house and its surroundings (89.9%). Other polls on public services shows significant quality progress, where citizen found no hassle in obtaining or renewing their Identity  Card at the local government institutions, as to compare to 10 years ago in 1998. The figure shows 22 % in 2008 compared to 40% (1998) of respondent are compelled to utilize  agents to do so, causing them extra expenses, the same figure applied in obtaining driving license and car registration (20% in 2008 to 58% in 1998). Both quality of services also gained positive responses for ID card from 58% compared to 29% in 1998, for driving license, the service is 60% better compared to 52% in 1998.

Police Officer Committed to Crime, increased by 17%. The statistics shows the figure is 6.610 (2008) an increase of 17% from 5.436 (2007), according to the Head of Profession Division and Security of Police Center Station in Jakarta. The types of crime mostly are misuse of authority and leaving duty area without permit. The full figure shows that in 2007, violations committed are by 4 high rank police officers, 147 senior police officers, 561 junior police officers, 4.648 second year officer, 33 freshmen and 48 government officials. Compared to 2008, the figures are 122, 610, 5.767, 41 and 25, respectively. On a provincial basis, the big 5 rank for violations in 2007 are North Sumatra, East Java, West Java, Lampung and South East of Sulawesi. For the year 2008 are West Java, Middle Java, Jogjakarta, East Java, and South Sulawesi. Besides discipline violation, the variants includes late for office, and uniform tidiness, where the figure in are 12.776 cases (2007) and 39.751 cases (2008).

Jakarta Budgetary Madness. The Indonesian budget watchdog, the Indonesia Forum for Budget Transparency (Fitra) voices out, that the proposed budget scheme for year 2009 for the Greater Area of Jakarta of Rp 22 trillion (USD 2 billion) is far from poor-oriented and stresses more on political needs. Surprisingly, the budget for the poor are set at 1,7% as to compare to the budget law harmonization/law making at Rp 7 to Rp 8 billion. The said number is suspected allocated to bribe the legislative to issue �troubled� regulations and to protect the bureaucrats from citizens� legal suit against the troubled regulations and misappropriate use of budgets. According to Fitra, the said proposal breached article 155 of Law No.32/2004 of District Budget Prohibition. Other surprising and less important budgets are the budget for Governor�s dry cleaning at Rp70 million, or laptops at Rp 35 million (where the most laptops are Rp10 millions).


[November 2008]

30 Prisons ready to be operated. The new prisons are ready to be occupied, according to the Social General Directorate of the Indonesia Department of Law and Human rights. The new prisons are to accommodate the over capacity of all prisons in Indonesia, where of those 30 prisons provides 15,000 new rooms with the assumption 500 rooms per prison. Of the capacity of 88.949 rooms of prisons, the total of occupant in the prisons in all over Indonesia counted as of August 2008 are as much as 131.339, consist of 54.494 of prisoner and 76.845 of criminals. In such way, the over capacity reaches 46.051 prisons or 51.7%.

KPK and FBI Concluded MOU. The Federal Bureau of Investigation (FBI) of the United States will support KPK in searching and the return of the corrupted assets by Indonesian corruptors identified in the jurisdiction and territory of the United States. The cooperation will also covers in the area of exchange of information, cooperation development, anti corruption programs and transfer of technology.

A Number of Former High Rank Officers, Arrested for Corruption. At the Indonesian Central Banks, two former deputies  Oey Hoey Tiong (Deputy for Legal Affairs) and Rusli Simanjuntak (Governor's Bureau), are facing six years imprisonment. Both are defendants in a case relating to Rp 100 billion of misappropriated funds from the Indonesian Bank Development Foundation (YPPI) in 2003. Oey allocated Rp 68.5 billion to pay the legal assistance expenses of five former Bank Indonesia officials involved in the bank liquidity assistance funds (BLBI) case. Rusli allocated Rp 31.5 billion to 3 members of the Ninth Commission of the House of Representatives (DPR). During dispersing these funds, Rusli himself illegally received Rp 3 billion for his personal benefit which is against the Anti Corruption Law No. 31/1999 article 2, section 1 and article 18 as amended by Law No. 20/2001 on Corruption Eradication. At West Java Governor's Office, the KPK in a case related to a Fire Brigade Vehicle Procurement Case, West Java Former Governor and Business Partner were arrested. Both Danny Setiawan and an Indonesian-Chinese businessmen Yusuf Setiawan are charged under the article 2 section 1 and article 3 Law No.31/99 jo. Law No.20/2001, where potential state budget loss may harm financial state loss at Rp.56 billion, though both had returned the money at the amount of Rp.12.5 billion to KPK. Other two suspects awaits to be arrested. At Manpower Department, the KPK also detained six suspects in a suspected corruption case, where one of them was the former secretary for the Director General of the Manpower Department, and there are 5 from business partners from private companies. All the six detained under article 2, section 1 and article 3 of Law 31/1999 amended by Law 20/2001. At an Indonesian State Enterprise, former financial director Ranendra Dangin become suspect in a procurement of imported white sugar by the company and the Bureau of Logistics from 2001-2004, a strong indication violating Article 2, section 1, Article 3 and Article 8 of Law No. 31/1999 as amended by Law No. 20/2001 on Corruption Eradication.

Education of Corruption Eradication for University Students. The Cooperation Project by both KPK and the United States Agency International Development (USAID) under the MCC ICCP (Millenium Challenge Corporation Indonesia Control of Corruption Project, is a USAID support project in order to support Indonesian Government in combating corruption). The aim is to educate to corruption eradication for university students. The 2 years-program covers the knowledge to use recording equipments at the anti corruption court to legal research of reports and legal analysis. Trainings are also provided for lecturers and university students, by disseminating to high school students, covering knowledge of corruption, value and ethics at early age. 5 universities are those appointed to conduct the project: University of Sahid (Usahid) a private universities will represent Jakarta, while other 4 are State Universities: the University of Sumatra Utara - Medan, University of Sriwijaya - Palembang, University of Hasanudin - Makasar, and University of Airlangga -Surabaya.

Office of the General Attorney Investigate former minister of Department Law and Human Rights. The investigation of Yusril Ihza Mahendra, is related to corruption case at the General Directorate of General Legal Administration (AHU) in Department of Law and Human Rights (Depkumham). He was mentioned to sign Minister Letter approving the project and directly appointed PT Sarana Rekatama Dinamika as a developer. The project has caused lost financial state for Rp.400 billion. Prior to this, 18 others witness has been investigated, such as former General Secretary of Depkum HAM, Hasanudin, and former Directorate General Secretary AHU, Aan Danu Giatono, including Yusril' ex-wife, Kessy Sukaesih.


[October 2008]

State Auditor (BPK) audited State Assets and Properties. The audit a covers assets and state properties management (BMN) in 23 ministerial and government institution, including the Indonesian Armed Forces Institutions and the Defense Department. The initial audit shows potential State loss as an impact of mismanagement of state property. The report dated as of 17 July 2008, stated that the mismanagement occurred in various forms, such as the misuse of state property, improper use of state property, wrong  implementation to secure and the maintenance of state property, and illegal transfers of titles. In some cases it also finds the right utilization but improperly reported. The detail of the report remain under progress.

KPK Searched West Java Provincial Government Office. The searched offices are of the office of the Governor, deputies and secretary with regard to initial indication of fire brigade and heavy equipment corruption in 2003 by the said former persons in charge in 2003. The case may incurred state loss at Rp 50 billion. Three person has been identified as a suspect, such as the former Governor of West Java, former head secretariat for equipment bureau of West Java and a supplier of the equipment and fire alarms. All suspects actually has returned the state loss for Rp.11 billion. The current Vice Governor, however fully support the search and investigations as its commitment to build an open and transparent administration, a lesson the senior shall learn from the junior of the spirit of a clean and respectable government.

2 Former Indonesian High Officials of the Indonesian Consulate General in Kinabalu arrested by KPK. Two former high official at Indonesian Consulate General connecting office (KJRI) in Kinabalu. Kuching, Malaysia, Ayi Nugraha and Kamso Simatupang was arrested by Corruption Extermination Commission (KPK). The arrest of the former Head of Immigration Sub Directorate, was a result of further investigation from the arrested of former Kinabalu (Malaysia) Consulate General Arifin Hamzah, earlier. KPK Spokesman, Johan Budi said, AN (Ayi Nugraha) and KS (Kamso Simatyupang) and AH (Arifin Hamzah) become the suspect of corruption case for double tariff immigration in Kinabalu in the period of 1999-2000. This case will harm Indonesia for the loss of Rp.11.7 billion. Previously the same case occurred at the Indonesian Embassy in Kuala Lumpur, the case has brought a number of high officers to jail, including the two former ambassadors, which one, General Rusdiharjo, happen to be the former Indonesian Chief Police).

KPK Investigate Project at the Forestry Ministry
. Corruption Extermination Commission (KPK) investigate an integrated radio communication system project in forest Department. The said project was held on years 2007 in order to cope with illegal logging and forest fire. The  Indonesian parliament has previously rejected the project, since bubbling budget was identified, of which is Rp.730 billion. Nevertheless, Minister of Finance' letter required the project to keep on going as it has been a part of loan package from United States Government. This KPK  investigation was part of updated cases that KPK has investigated, such as the mangrove forest case at Tanjung Api-Api port in South Sumatera and Forest Department last August.


[September 2008]

Member of Indonesian Fair Competition Committee Arrested for Graft. The person was arrested following the 2 months initial watch by the KPK, where he then was caught in hand carrying a suitcase with Rp500 million from one of the other arrested person, Billy, a president director of a private TV Cable services who are party in a competition case. Both persons are now detained for the next 2 months for further investigations by KPK.

Public Attorney Sentenced 20 years Imprisonment. The Anti Corruption Court has its verdict early this month of September following set of court sessions with the suspect Urip Tri Gunawan, a senior officer at the Attorney General Office (AGO) allegedly receiving bribe of USD 660,000 from Artalyta Suryani, an Indonesian Chinese businesswoman. The court found that the bribe was allegedly related to his position as leader at AGO's team investigating the embezzlement of Bank Indonesia liquidity support (BLBI) involving Indonesian tycoon Syamsul Nursalim who now a fugitive staying in Singapore. Syamsul, former director of Bank Dagang Nasional Indonesia, misappropriated Rp28,4 trillion in BLBI funds during 1997. Artalyta herself was also a suspect, has been sentenced for 5 year imprison. The case keep rolling, where KPK taps a number of telephone conversations, where still a number of high rank officers at the AGO, are linked and directly involved.


[August 2008]

Indonesian Broadcasting Commitee Team Published 4 Improper TV Programs.  The programs breached the Law 32/2004, are film with title Bleach (Cartoon), Detective Conan (Cartoon), Naruto (Cartoon), and other High School TV Programs, notably such program did not suit and did not protect students and teenagers morality. Further, the Team found other 84 TV titles of 316 episodes broadcasted by 9 private TV stations (Indosiar, SCTV, TPI, RCTI, Global TV, ANTV, TransTV) and one government TV (TVRI), breach the abovementioned law. Such TV programs contained non-rated of visualization and substance including coarse language, verbal and non verbal violence (physical and non-physical), no rating of norms and classification of audiences.

20 percent Annual Budget for Education Sector. The Indonesian Constitutional Court has its decision in 13 August demanding the Indonesian government to raise up to 20 percent of state annual budget allocated for education sector as  addresses by the Indonesian Constitution 1945. The budget shall raise from Rp 154.2 trillion to Rp 224 trillion next year, where in 2005 was Rp 78,5 trillion. The current 2008 budget of Law 16/2008 was challenged against the Constitution 1945, since Law 16/2008 provide only 15,6% budget portion. The budget is expected to meet education standard all over Indonesia. In line with the decision, two days priori to the 13 August 2008, the President addressed a speech confirming his administration to set higherbudget for education the next annual state budget 2009.

Legal Notes: The Indonesian Constitutional Court decision and government commitment over 20% education budget for 2009 hailed positive responses from teachers and education institutions, particularly state owned-universities. People now noted that 57 state owned-universities (providing 99,360 seats for undergraduate degree leading bachelor degree, annually) all over Indonesia are receiving a very low budget since year 2000, compelling them to set out new independent financial and budgetary as allowed by the National Education Law through BHMN concept. Under the BHMN, 6 state universities (ITB, IPB, UI, UGM, Airlangga and USU) are free to set their own fees and tuitions, which is considered high. Other state universities follows later in 2004. Previously, students are fully funded by the government during 5 to 7 years study period, provided they passed the national examination. Unfortunately, such conception with fee orientation now provide more rooms for the haves but lesser portion below 20% of seats (out of 99,360) for the poor students, who  may not be able to pay high tuition as much as private universities. While it remain undisputable, that prior to the BHMN concept in 2004, the National Entry Exam to Indonesian State Universities are very tough, with annual from 400,000 contestants out of 750,000 high school graduates, the competition rate are 1 to 20 to 1 to 300 (depending on the reputation of state universities and favorite faculties), where the best and the brightest high school graduates are those who studied at state universities filling total 99,360 seats. As for its good reputation, state graduates received positive job market within and outside Indonesia, a university for thousands of foreign students, mostly from Malaysia who studied engineering and medicine. However, as a result of its current independent financial and policy, now state universities orientation are merely of benefit where bright students but poor are given limited access and seats, where in the future its reputation may be at stake.


[July 2008]

The Indonesian KPK - Corruption Extermination Commission Publicly  Displays Presents Received Part of Gratification. The presents and gifts are those reported and returned by government officers received from third party in relation to their duties as a public servant, including the member of the KPK, displayed at the lobby of the KPK Office in Jakarta. The presents are classified into gratification presents since it is reported and returned within 30 days to the KPK upon receiving. The aim is part of lesson to public that no exception can be made whatsoever for government officer receiving presents during his tenure as a public servant. More gratification presents will be displayed, according to KPK spokesman.

Legal Notes: The idea to display presents part of gratification by KPK is an original  breakthrough by KPK. It is also a good lesson for public now to start adopting zero tolerance bribing government officers. Earlier last month, a number of anti corruption movement of individuals and organizations has suggested KPK to expand their task not only by enforcing anti corruption through law, but also through customary law. The main idea is to put social sanction by disgracing the corruptors displaying through media their corrupted wealth, family, lifestyle and their crimes. Further, the government has consider death penalty for corruptors to be included in the new bill of anti corruption. Basically, the implementation of this idea is an effective law as social tool and will bring a great social shift to build a strong, clean and respectable government.


[June 2008]

Indonesia Anti Corruption Commission (KPK) Initiate Investigation at the Supreme Court. The warrant has been released to start the investigation at the Indonesian Supreme Court (equal to High Court at Common Law) in accordance to fees applied illegally and unreported to the Indonesian State Auditor. There are Rp 31,1 billion (USD 300 million) revenue unreported, an income  paid by law seekers at all level of the Indonesian court during 2005-2007, according to the Indonesian Corruption Watch - an Indonesian NGO watchdog.

KPK initiate to Investigate State Loss at BP Migas. The total loss of the Central Government budget to the Local Government of Rp 225 trillion (USD 21 billion) is at Rp 25 trillion. The said de-consentration budget was paid to BP Migas, an independent authority in oil and as exploration and management which shares are fully owned by government. Previously, KPK also investigate state loss at 10 Departments, 11 State Enterprises and 1 Provincial Government, where a bigger number loss was found, where state properties has been awarded and illegally transferred into private properties by government officials during tenure. A number of lands and houses has been identified and confiscated, and the private personnel are now facing trial at the Anti Corruption Court.


[April 2008]

Houses of Government  Asset valued at Rp371 trillion , missing. The said numbers are houses under government proprietary being reviewed, which big numbers has been transformed illegally into private proprietary, according to the calculation of the Directorate General for State Inventory of the Department of Finance, recently. KPK then seized at least 11 government-owned houses in Bandung, West Java, which has long been illegally transferred into private by the government officers for themselves. Other houses will follow. Of 77 department and government institutions, only 20 has conducted reviews of its assets since 2007.


[March 2008]

8 years sentence in Prison for Judicial Commission Member. The anti-corruption Court verdict included a Rp 400 million fine  for Irawady Joenoes for accepting bribes in a land procurement deal, as the court has proven it violate the 1999 Law on Corruption. Irawady act also  had damaged his institution�s reputations. The initial case was the Corruption Eradication Commission (KPK) investigators arrested Irawady and an Indonesian-Chinese businessman Freddy Santosa on Sept. 27 last year. Freddy was sentenced four years in prison on February 21.

Government School Text book Copyrights Take Over. The Indonesian government now has taken over a number of school text book from its authors and will list them on the web for free to public. This in order to provide free and cheap school text books and to reduce the text book price which amazingly reaching 3 to 4x times higher than it has to be as a result of oligopoly practices by bookstores. The policy will also eradicate collusion and corruption between authors, publishers, bookstores and school. Students and pupils now can download any school text book valid for five years period available for free at the official website of department of education.

KPK Seizes Houses of ex-Indonesian Central Bank (BI) Deputy Chief. The confiscated house and an apartment belonging to Iwan R Prawiranata was related to him as a witness in a graft scandal involving the Central Bank, where it is suspected the house bought was from illegal money amounted at Rp13 billion. Iwan soon then become suspect, where three other suspects are current Central Bank Governor Burhanudin Abdullah, director of Legal Affairs Oey Hoy Tiong and Rusli Simandjuntak, head of the central bank s office in Surabaya, East Java. All except Burhanudin are being detained. The report says in 2003 Burhanudin led a meeting of BI directors to Approve the disbursement of Rp. 100 billion from the YPPI. The money was handed over to Oey by YPPI chairman Baridjusalam Hadi and treasure

Indonesian Finance Minister: Bureaucrats are Prone to be Bribed. Ms Sri Muljani a former of Indonesian' IMF officer, strongly suggest private sectors to star to adopt 'zero tolerance of corruption' through not to support bribe as part of culture, in order to create a clean, responsible and respectable  government. She noted that bureaucrat who asked for 'grease' do not gain respects from the community. According to a source, the community are very active in reporting bribery and blackmailing by bureaucrats.

Indonesian General Attorney' Officer Caught for Graft. The KPK undercover agents caught the officer, Urip Tri Gunawan, at Syamsul Nursalim house in West Jakarta, an Indonesian Chinese- Conglomerate who then bribed the officer at the amount of USD 660,000 (equal to Rp 6 billion). The graft was suspected in connection to General Attorney' decision to discontinue the investigation of the Liquidity Bank Support by the Indonesian Central Bank in 1997, involving Rp600 trillion (USD 66 billion) financial support to a number of Indonesian banks, which money was then robbed and transferred by the bank owners to a number of Indonesian surrounding countries such as Singapore, Malaysia, Australia, Hong Kong and China.


[February 2008]

Graft Rampant in Education Sector: Corruption Watchdog. The release by the Indonesian Corruption Watch (ICW) are based on the facts that parents found increase in extra fees for their children at public schools, though the government has increased its budget over the school, annually. The ICW urge that corruption in the education sectors is still rampant and that the government must take action to stop the practices. ICW also pointed out the corruption has also become a common practice between teachers and school principal, as well as in regency/municipality education agencies and the Education Ministry. ICW further discovers that teachers commit corruption by charging numerous levies on to student, principals by embezzling or doubling school budgets, and education agencies by extorting or receiving bribes from school, while the ministry meanwhile has allegedly committed corruption through a number of projects. Recent ICW study showed the total amount of money parents had to pay for their elementary school children increased by 18.9%, from Rp.4.01 million (US$436) per year in 2006 to Rp.4.77 million last year. The government set aside 9.1% of the state budget, or Rp.44.1 Trillion in 2006, and 11.8% or Rp.54.06 trillion in 2007 for the education sector. In 2008, it has allocated 12.02% of the state budget, or Rp.48 trillion. The increase in school fees was triggered by increases in direct and indirect fees, direct fees included charges for courses at school, exams, building maintenance, textbooks, study tours, re-registration and farewell ceremonies, where totally reached average of Rp.600.000,- per month for a child�s education. Meanwhile indirect fees include fees for school uniform, transportation, stationery, exercise book, and after-school course. The government allocated Rp.254.000,-/student of financial aids per year in 2007 and 2008 through the School Operational Aid (BOS) program.

Public Service Law Must Also Cover Private Sector. A group of activists has its voice, that public services should focus on the wider context of the state�s responsibility in fulfilling the community�s basic needs, where private sector must be included in the legislation since its role to provide services to public. The consumer law is one of the concern where the law covers only public service, therefore it does not guarantee that private business will provide good services. To reach its effectiveness, the proposed new law shall not only stipulate administrative sanctions which cover civil services, but also criminal and civil sanctions which cover all parties including private providers of public services. However, others has its legally based-opinion, that private sector was outside the public service domain, because it was profit oriented. Private sector are based on full services, where competition is the keyword to grab the market. The new legislation is expected not only cover government officials but also those who worked in the state owned companies. the House plans to finish the legislation later this year.

[January 2008]

Corruption Exterminatiaon Fails to Touch High Rank Officers. Indonesian Corruption Watch (ICW) released its research, that only a small number of corruption case solved in 2007, saving state loss only the figure of Rp46,74 billion, which significantly different to numbers released by State Financial Controler (BPK) of 5.717 corruption cases of Rp 8.085 trillion. ICW stressed out that those who were arrested by the the General office Attorney' Offices and sit for trial are those at middle level of provincial government officers instead current director generals or directors at state departments.

Indonesian Central Bank Directors become Suspects. Again, KPK determined 3 high rank officers at the Indonesian Central Bank as suspect for corruption case of illegal transfers of money to  the member of the house, which was related to the bill of central banks issued earlier. Burhanuddin Abdullah (as Chairman), Oey Hoeng Tiong and Rusli Simanjuntak as deputies are responsible and will soon sit for trial at the Anti Corruption Trial. Previously two Chairman Sjahril Sabirin and Soedradjat Djiwandono were sentenced and spent their days in jail for corruption.

New Year Hit by KPK. Following its appointment for the period of 2008-2012, the new team announced a suspect Rusdihardjo (Ret Police General), also an ex Indonesian Ambassador (2005-2007) for Malaysia and ex indonesian Police Chief (2001-2005), the highest rank in Police. Rusdihardjo will be charged for illegal fee admissions at the immigration desk at the Indonesian Embassy during his tenure. Mr Wayarabi Alhadar, his predecessor was also charged 2,5 years imprisoned and Rp1,7 billion fee payable to government account, an amount he illegally received during his tenure. An immigration staff was also charged for corruption.

~ 2007 ~

[December 2007]

Indonesian Police is the Most Corrupt Institution. Following the findings by the International Human Rights Commission (IHRC), where the Indonesian Police Institution is on top of human rights violation, now the International Transparency (TI) has its another findings. The score for Indonesia police is the highest of 4,2, compared to the Indonesian parliament and judicial body and political parties (4,1 and 4,0 respectively). The  key finding factors in Indonesia in 3 years in row 2005-2007, found the scores are
4,0-4,2-4,2 (police), 4,0-4,2-4,1 (parliament and judiciary) and 4,2-4,1-4,0 (political parties). The identified problems is of perception, where most people think corruption is defined only for state loss, far from the legal definition covering also bribe, authority misconduct, gifts, a promise to give, and others under the Indonesian Corruption Law. In respect to the corruption extermination by 6 independent and government institutions, the Indonesian Vice President Jusuf Kalla recently also shows his confusion of how confident Indonesia corruptors these days until found guilty by the court and imprisoned. The poll held in Indonesia with 1,010 respondents in big cities in Indonesia , out of 63,199 respondents at 60 countries held by TI.

New KPK Chairman and Deputies, Took Oath. The new chairman Antasari Azhar and other 4 deputies Chandra M Hamzah, Bibid Samad Rianto, Haryono and Mochammad Jasin inaugurated under the President' Decision Number 117/P/2007. The phenomenal predecessors are Chairman Taufiqurachman Ruki, and its 4 deputies Amiens Sunaryadi, Tumpak Hatorangan Panggabean, Sjahrudin Rasul and Erry Riyana Hardjapamekas who took the seat since 2002. The new composition passed the House on 5 December 2007 through tough decision by Commission III, to sit for the period of 2007-2011. Antasari Azhar previously sit as Director at the General Attorney' Office, Chandra was an advocate, Bibit was a police retiree who now a rector of a police university of Bhayangkari, Haryono was staff at BPKP (National Development and Financial Supervisory Body) and M Jasin himself was KPK' Research and Development Director.

Indonesian Private business Partners under Criminal Investigations and Trials. The Indonesian General Attorneys' Office currently calls an Indonesian businessmen for investigation over a Liquidity Bank Support (BLBI) case involving Rp35 trillion debt in May 1998, such amount then increased to Rp 52,7 trillion in September 1998 bear by the shareholders. Unfortunately the surrendered asset value was only Rp 27 trillion after valuation by the IBRA, a big difference valued by Lehman Brothers who value it at Rp52,6 trillion. In a separate bribe case of fire brigade utilization, a bureaucrat in Makassar is charged for corruption, where he was found for blackmailing the business partner. In another case of bribe to number Indonesian bureaucrats by PT Monagro Kimia (subsidiary of Monsanto Company in the US), the president director of PT Monagro Kimia, Gyanendra Shukla (an India national) attended interrogation process at the General Attorneys' office.

[November 2007]

Ex Minister of Agriculture investigated for Bribe by Monsanto. The case was based on the facts that Mansanto Company alleged for bribing a number of Indonesian high officials in order to a limited release of controversial transgenic products to Indonesian farmers in 2003. The transfer of bribe was amounted at US 700,000.

[October 2007]

An Indonesian Corruptor Returned Corrupted Rp 25 billion (USD 3 million) State Fund. The fund was part of the court ruling in a corruption case against Mr Liem in late 2006, where Mr. Liem was involved for corruption and collusion in a release of two pieces of government lands under the proprietary of a State Enterprise, PT Industri Sandang Nusantara (ISN) in Cipadung, West Java. The Supreme Court sentenced him 4 years in jail, plus Rp 1 billion (USD 112,000) fine, together with the President Director of ISN, Kuntjoro Hendartono with 10 years in jail plus Rp 1 billion fine and Rp25 billion compulsory to return the state fund.

[September 2007]

A number of High Rank Government Officers under Investigation for Corruption. Indonesian ex-Minister of Manpower Fahmi Idris and its director general are now detained for further investigation for expatriates posting programm at 46 regencies in 2004 causing state fund loss of Rp 9,27 billion, while ex Minister of Law and Human Rights Yusril Ihza Mahendra sit as a witness for corruption of fingerprints government project causing state fund loss of Rp 18 billion. Ex-Indonesian Chief of Army Forces returned an expensive house from an Indonesian Chinese businessmen Henry Leo in a corruption of state budgets of Rp 410 billion. In a BLBI case, Kwik Kian Gie, Bambang Subianto (both ex minister of Finance) and Syafrudin Temenggung (ex Chairman of IBRA)  are now under serious investigation for corruption for releasing policies to assist banks during the financial crash 1997, causing a great financial loss.

7 Chief of District Attorneys, Dismissed. The dismissal by the Indonesian General Attorneys' order was based on the community reports for their misbehave, unprofessional conduct and  breaching the law 30/1980 of Government Officer Conducts. The 7 persons will then face the Public Attorneys Commission for further indiciplinary sanctions.

[August 2007]

Poll of the Member of the Parliament' Performance. The poll held in commemorating its 62 years of its rule in the Indonesian lawmaking and politics. Since reformation 1998, the parliament have undergone significant changes, where member are more educated, younger, and with various background of professions. The Parliament also empowered to take over the control for lawmaking (77 new laws since 2004 for the member for the period of 2004-2009). However, 78% (or 60 laws) of such laws are under the initiative of the government instead by the member of parliament. Respondents perceive that the law qualities degrade since a number of laws (law 22/2004, 27/2004, 32/2004) wholly annulled by the Constitution Court, with argument the laws are in contrary to the constitution. Respondents also are in view that parliament members are less able to control the government (76,3%), less able to well-function (65,6%), less able to respond to public needs (66,7%), less able to be the forefront for national politic accelerator (64%), less able to uphold human rights issues (71,5%), and only aware of its own politic party representation (66,9%). In spite of the above, member of parliaments' images are negative, since they always being absent for hearings (70,4%), late to attend hearings (68,4%), too many trips abroad (74,2%), critism-prove (69,2%). In general, the positive image remain below 30% since they took the seat in 2001. The poll by 822 -
1.379 respondents shall however, do not represent general national perceptions.

Vice President' worries of government officer' glamourous lifestyle. The statement was released to respond the National Technology Gathering 2007 held by BPPT (Bureau for Technology Research and Application). He critizesed BPPT' low performance instead of high performance and result and benefit for the people according to their tasks and duties to produce applicable technologies. He also warned to refrain from requesting foreign consultants to do their duties, an undermining statement of domestic capabilities. A number of government office buildings are grandeur, built at prestigious areas, supported with first class facilities and glamour lifestyles funded by people' state and federal budgets and taxes, which however in turn gives no significant result. Vice president requested them to start a modest lifestyle, humble and hardworking.

Bureaucracy Reform for Indonesian Migrant Workers Procedures. The reform was based on the founding of 11 points of offences, where the responsible departments are at Department of Domestic Affairs (for illegal documents release), Department of Foreign Affairs (for not protecting migrant workers) and Department of Human Rights and Law (for immigration matters). All 11 points of offences were found during the departure and arrivals of migrant workers, such founding was based by community reports and surveillances by KPK and department of manpower, where illegal practices occurred and related to bribe, authority abuse and blackmailing towards migrant workers by a number of bureaucrats.

Judges and public Attorneys at the lowest for Obedience Rate. This is in relation to the compulsory report of their personal wealth according to the Indonesian Corruption Extermination Body - KPK, where judges and public attorneys are those the lowest (only 43,77% out of 20.991 staffs) after the government officers, member of the parliament and state enterprises executives, where the statistic obedience rate are 67,564% (out of 61.809 staffs), 70,06% (out of 23.78 staffs) and 73,09% (out of 7413 staffs), respectively.

New Governor for Jakarta. The direct-elected candidates Fauzi Bowo (and Priyanto for deputy) and its competitor Adang Darajatun (and Dani for Deputy) runs for governor seat of Jakarta, with 3,2 million voters out of 11 million inhabitant of Jakarta. The election held on 8 August, where initial result by Election Commission of Jakarta shows that Fauzi gained 1,884 million votes (57,9%) and Adang-Dani gained 1,369 million votes (42,1%). Fauzi Bowo is supported by at least 40 politic parties and community organizations, while Adang is only supported by one politic party, PKS - Partai Keadilan Sejahtera, a relatively new political party. The calculation at 367 voting points was held by 600 volunteers. The volunteers found no fraud during the election.

Ex ministers accused for Corruption. Laksamana Sukardi (ex minister of State Enterprises) was called for investigation sessions at the General Attorney' Office for corruption accusation causing state loss of USD 56 millions, Rokhmin Damhuri (ex minister of Sea and Fisheries) charged for 7 year imprisonment, Glenn M Yusuf (ex Chairman of IBRA) and other ex chairman has been called for series of investigation at the General Attorney' Office for BLBI-related cases of Rp 35 trillion (USD 4 billion) and Rp 37 trillion (USD 4,1 billion) state liquidity funds in 1997-1998. Ex DG of Law and Human Rights was also investigated by KPK for corruption and gratification. A big number of other high rank officers are also under investigations. Lately, AR Soehoed (87 years), ex minister of Industries and 3 others become corruption suspect for corruption during 1988-1998, where a big state funds was used for personal/family expenses.

Indonesian Independent Candidate allowed in the Provincial Governor Election. The judicial review released by the Indonesian Constitution Court (Mahkamah Konstitusi - MK) is to respond the request by pro democracy group, supported by Partai Keadilan Sejahtera (PKS). The request is for the amendment of the law 32 year 2004 by inserting independent candidates clause during provincial election of a direct elected governor in Indonesia. this breakthrough will empower civil rights and democracy, where candidates may not only those from political parties, but also independent person. The request shows, that people of Indonesia are reluctant to support current candidates from political parties but shall also aware for artificial politicians in full democracy system. This judicial review marks another pillar of democracy in Indonesia, the only most democratic country in the region, an archipelagic country of 5,000 populated island with 240 millions of population and 580 different ethnics/dialogues.

[July 2007]

Public Officer must Increase Comprehension on Human Rigths. The release by Minister of Law and Human Rights research shows, that the Indonesian public officers need to improve the comprehension on Human rights, those in particular deals with the implementation of people' rights in civil, social, politics and economy. Indonesia has established 426 National Action on Human Rights plan all over Indonesia during 2004-2009, where 423 government officers has been trained for human rights in Australia, Sweden, Norway, Canada, South Africa and France. Unfortunately, still a big numbers, policemen in particular, has no knowledge in human rights. This is respond to strong public criticism on the conduct of the arrest a number of persons. Recent research shows that, police institution are those on the lowest rank in passing grade among other government institutions.  As a result, a big number of policemen stands for criminal trials and imprisoned under the civil law for unprofessional conduct and abuses.

400 public officers dismissed.
The numbers are those dismissed within the last 2 years, after following a number of procedures, where they were identified being indicipline, incompetent, involved in drug and other improper conduct. The report released by the Minister of State Officer Empowerment. Recently, also 60 District Attorneys received sanctions for unprofessional conduct, involved in court mafia and gratification.

Reformation of System at the Indonesian Anti Dumping Committee (KADI). The reformation will cover the system and the Government Regulation 34 year 1996 on Anti Dumping Duty and Safeguards. This is in respond to entrepreneurs' and domestic industries' request for KADI to be more protective and proactive in response to the dumped products of electronics, steel and foods from various sources, mostly from China, following its rejection from the market in the US and Europe. The KADI consist by officers from the department of finance, trade, industry and statistic. The reform will cover public legal certainty during investigation, period of investigation, parties' company secrecy, fairness, and in-depth knowledge. KADI promised the reform will be completed in October 2007.

Note: Generally, the KADI should also reform its human resources, where public knew only small number members are capable and reliable, those days. A notably criminal case involving 8 KADI member are in 2003, where KADI' Secretary Ms. Halida Miljani (now KADI Chairman) found its 8 members received bribe from one of the party' lawyer in order to drop the case under investigation. They accordingly were expelled after found guilty proven by the Indonesian secret agents who tapped their office and home phones, fax, mobile phones, and bank accounts.

[June 2007]

Reformation of Tanjung Priok Port Authority Increased additional Rp200 billion/month State Revenue. The new so-called Office of Public Services for Port Custom and Clearance now employed full Electronic Data Interchange where contact between the on-site users and the data officers at the port are maintained, electronically. The new system is effective and efficient, cutting-off smuggling, false data, fraud and collusion. Previous 1,300 employees were replaced and 848 new well-trained, educated and professional staffs are securely recruited from all over Indonesia. The new system will officially take place on 1 July 2007, where the state revenue is expected higher than it is now.

A number of ex-Government Senior Officials Stand for Trials for Corruption Cases. The ex-Minister of Sea and Fisheries is ruled for 6 years imprisonment for gratification subject to article 65 paragraph 1 Criminal Code. In a different corruption case, the ex-Chief for Land Office ruled for 3 years, while in the case of fingerscan project, the ex-Director General of Department of Law and Human Rights is charged for 20 years imprisonment under article 2 paragraph 1 and article 18 law 20/2001 of Corruption Law. The ex-Indonesian Ambassador for Malaysia is arrested for corruption charges, including recently under investigation of ex-Chairman of BBD State Bank, chairman of Bukopin state Bank, Director of Operational of State Logistic and ex-Chairman of State Clove Authority. Other 15 Majors and member of Provincial Representative also stand for trial for corruptions. Most of the cases occurred between 1992 to 2003.

[May 2007]

New Presidential Regulation (PP) for Governor Report. The obligatory PP no. 3 year 2007 stipulate the governors and local governors to submit their performance reports periodically and upon their termination of period to the central government, provincial house of representatives and the community, through local newspapers and electronic media. The community may respond and challenge for further responsibilities of the report under the state administrative law, criminal code and other related laws available to secure the governors and all of its staff works correctly and to secure people's right. This is the first law ever been applied in Indonesia.

[April 2007]

18 Indonesian Judges Reported never been Sanctioned by the Supreme Court. The said numbers of judges are based on 1,200 community reports of which 500 has been investigated for series of professional misconduct and involved in court mafia, as reported by the Judicial Committee (KY). The law they breached is the Ethic Code, where KY has filed recommendation to the Supreme Court. KY also aware that their authority has been slashed down by the Constitutional Court ruling, and expected that under the new bill of KY will empower the President for direct order to put sanctions for the said judges. In a different official occasion, President Susilo Bambang Yudhoyono said, that he is not afraid and will keep maintain the combat of corruption and the imprisoned corruptors, as proven during his administration. His administrative order may be seems to be slow, because he is fully aware about the laws.

 16 Supreme Court Candidates' Wealth are Suspicious Following the passing serial test of quality, personal and administration by the 7 members of the Judicial Committee (KY), the said 16 candidate of the supreme court judges now will face people' responses, where it was found that their wealth exceeds their normal income. Previous polls and community reports also result the same findings According to the findings, one candidate of judge owned a house at the value of USD 105.000, others has its monthly household exceeded to USD 6,000 to 13,000 as to compared to their monthly salary at most at USD 1,750. The Judicial Committee will respond to this findings by NGOs. The whole process of election are the second round after the rejection of candidates by the House on the first one conducted by the KY last year.

Presidential Advisory Council, established. Under the President' Decision signed 26 March, the definitive of 9 advisors, appointed. Each eminent person will advise in its particular expertise, such as international relation (by Mr.Ali Alatas), law (Mr. Adnan Buyung Nasution), economy (Mr. Sjahrir), defense and security (Mr. TB Silalahi),  agriculture (Rady A Gani), politics (Ms. Rahmawati Soekarnoputri), religion (Mr. Ma'ruf Amin), social and culture (Mr. Subur Budhi Santosa), and environment and sustainable development (Mr. Emil Salim).

[March 2007]

A number of Chairman of State Enterprises called for Corruption Suspect. Laksamana Sukardi (ex Minister of State Enterprises) were interrogated for causing state loss during the selling of government Very Large Crude Cruise in 2004. Eddie Wiyono (Chairman of State Electric Enterprise) for causing state loss of USD 2,6 million during the procurement of two truck mounted electrical power in Borang, South Sumatera, where an Australian businessmen John David McDonald, will be one of the suspect for corruption. Private partner of the Local Government Busway Project was also charged for 5 years imprisonment for state loss of USD1,1 million. Recently, Chairman for State Logistic sit for trial for corruption, where all predecessors happen to be the chairman now are criminals and imprisoned.

Chairman of Logistics State Company become Corruption Suspect. Other 5 inferior staffs were then arrested by the District Attorney Officers after evidences of corruption found, causing state loss of USD 1,1 million in 2001. 3 other private companies part of the corruption, were involved and soon will be arrested and charged. Since 2000, two other Chairman of State Logistic were also involved in corruption ruled the Supreme Court, and they served their time in jail and returned the money to the government (Beddu Amang - 4 years since 2004 and Rahardi Ramelan - 2 years since 2004).

Indonesia and Thailand gained 8,03 point for Corruption Perception. The said numbers range from 0 for the less and 10 for the worst, according to a recent research during January to February 2007 with 1,500 respondents of foreign investors executives at 13 cities in Southeast Asian Countries, held by PERC based in Hong Kong. Indonesia' rank is better than 2006, and in contrary for Thailand and the Philippines (9,40). Singapore (1,20) and Hongkong (1,87) remain the less corrupt. However, PERC admitted that corruption perception are closely related to transparency and freedom of speech, and that foreign business and investors are taking advantages from the corrupted countries and treated them as a save heaven  for corruption.

Indonesian Bureaucrats Fails to Perform. A new poll result by an Indonesian national circulation newspaper with 885 respondents of at least 17 years old at 10 big cities, interviewed by phone in 28 February through 1 March 2007 shows in general that, bureaucrat are opt to be bribed (58%), less discipline (35%), are tied to their political parties (30,3%) and it took long time to deal with them for such a public service (62,9%). Respondents also unsatisfied with their services, in terms of work speed where they tend to be slow (64,7%), ineffective (65,3%), less responsive (64,9%), less discipline (64,6%), less able in details (62,1%) and less hospitable (42,8%). In cities basis, respondents at 9 cities are generally also not satisfied with bureaucrat services. In terms of its various failure in serving the public (particularly in public transportation accidents, recently), the respondents also in agreement the urgency to replace the incapable persons in order to increase its responsibility (51,6%) and performance (47,2%). In Indonesia, particularly during the new order era, it is well known that nepotism and bribe plays significant role in the success of recruitment of public officers/bureaucrats.

[February 2007]

General Attorney Orders to Push to Search for 12 Indonesian Fugitives. The 5 orders include the cooperation with the Indonesian embassies and consulates abroad to report their presence nearby.  The 12 fugitives are related to the corruption of the Indonesian government Bank Liquidity Support in 1997 (BLBI) for a number of private banks leaded by Indonesian-Chinese. Singapore, unfortunately is the one of the country being uncooperative since Singapore has been well known protecting a number of the said Indonesian bank criminals. The Indonesia' request of retroactive extradition has not been responded by Singapore, whereas the Singapore government request for a long list  discretions has been rejected by the Indonesian government. The 12 persons are Eko Edi Putranto (BLBI Bank Harapan Sentosa/BHS Rp 2,6 trillions), Sherny Kojongian (BLBI BHS ), Lesmana Basuki (medium term notes/MTN Rp 209 billion and USD 105 million corruption case), and Tony Suherman (promissory notes and medium term notes/MTN case of Rp 209 billion and USD 105 million), Bambang Sutrisno (BLBI Bank Surya Rp 1,5 trillion), Andrian Kiki Ariawan (BLBI Bank Surya Rp 1,5 trillion), Nader Thaher (Bank Mandiri case), Hary Matalata, Hendro Bambang Sumantri, and Eddy Djunaedi. According to Andy Xie, Indonesian' wealth in Singapore are valued at USD 78 billions, which 200 are identified to be Indonesian-Chinese businessman/bank criminals

Indonesian Middle Class must promote Law Supremacy. An inauguration speech at the Gadjah Mada State University addressed by Profesor Boediono (current Coordinating minister for Economy), warns that a sustainable democracy for Indonesia for the next 9 years must be promoted by the Indonesian middle class. To secure its sincere intention toward reformation, the typical of middle class are expected those particularly who grew free from past corruption collusion and nepotism, instead those who previously enjoyed royal treatment and fed by social and economic priviledges prior to the 1998 reformation. The typical of such Indonesian middle class remain small in numbers, where it is represented by the professionals, NGO, and private entities. In terms of Indonesia's economy these days, it is likely that law supremacy must take place  for a sustainable democracy.

Indonesian Police Force under the Department of Domestic Affairs. New laws will put the Police Force not under the President's Office, but under a ministry. In spite of rejection from the Police Forces, the draft however increased big positive responses, where police authority must be limited only to security issues, and not beyond it as it is now. Currently, the police may conduct district attorney's tasks to investigate and interrogate crime suspects. The human resources during recruitment is also the concern, since study shows the policemen recruitment' passing grade is the lowest among other public institution, including bribe and nepotism issues.

KPK Cooperate with KY (Judicial Commitee) and PPATK (Center for Financial Transaction Analysis). All the three institutions shall share data and information, including exchange of staffs, education and training. Declined attitude of judges are also covered, where each may report and take legal actions.

KPK called a number of Governors for Corruption indications. The governors are from Central Java for a corruption case of public transport procurements and ex governors of South Kalimantan for land procurements public project. Other 7 governors are also investigated for corruption indication, which are from the provinces of West Java, Lampung, North Sumatera, West Sumatera, Riau, Bali and Irian Jaya. A number of regents also called for corruption investigations at various public projects and budgets. Indonesia is the only country in the region where high rank civil and military public officers are called and punished for authority misconduct.

[January 2007]

KPK Cooperate with KY (Judicial Commitee) and PPATK (Center for Financial Transaction Analysis). All the three institutions shall share data and information, including exchange of staffs, education and training. Declined attitude of judges are also covered, where each may report and take legal actions. Other cooperation between the Indonesian government (the General Attorney Office and the Police) and the US (the FBI and the DEA) also recently resulted that, an Indonesian corruption fugitive in the US will soon be arrested and deported for trial in Indonesia.

 ~ 2006 ~

[December 2006]

KPK (the Indonesian Corruption Extermination Committee) 'seized' USD 3 mllion Corruptors' Assets in 2006. The number will escalates with additional USD 1,7 million under investigation, where assets seized are vehicles, properties, lands, machineries and office equipments. Assets are seized from 26 cases out of 120 cases in 2006 only. Up to November 2006 there are 15.861 community reports of corruption, where 95 percent assessed and 226 corruption cases are seriously investigated, recently, and 78 cases on trial and 11 cases received verdicts. In 2007, KPK will remain targeting at big amount corrupted by public figures, where in 2006 KPK conducted legal due processes to - including but not limited to - 8 governors, ministers and 3 ex-ministers, army generals and police generals, majors, high rank officers and member of parliaments, and a big number of businessmen.

Indonesian Constitution Court (MK) revoked article 53 of the Anti Corruption Law. Upon 10 article requested, MK only admit 1 of the article 53 of the establishment of the Anti Corruption Court. The article is considered weak in legal ground, but do not necessarily in contrary to the Indonesian Constitution. The MK then suggest the lawmaker to enact new laws to establish the said court within 3 years. The decision is made considering corruption is an extraordinary crime and the people's opinion.

 KPK reinvestigates 30 out of 52 pending Corruption Cases of Bank Liquidity Support (BLBI) 1997.  The case involved new evidences of assets 'dismissal' by obligors during their debt settlement to the Indonesian Authority, the IBRA, during 2001-2005. A number of suspect from the involved obligors of private entities, IBRA's staffs, notaries and lawyers are now under serious investigation. KPK has the extended authority to investigate business fraud cases leading to public interest' loss and state financial loss. In relation to that, 3 of Indonesian high rank Central Bank officers was held responsible(duringthose time in 1997) and imprisoned for 2 and 3 years. On other BLBI cases, the Minister of Finance urge other 8 major fugitives obligors soon to pay their debts in cash, instead of assets. 6 obligors has previously surrendered. Their personal details has been published through televisions and gained positive community responses. Some of the fugitives, mostly are Indonesian Chinese businessman, stays in Singapore, China and Australia.

Indonesian State Auditor Findings of Corruption at State Owned-Companies. The corrupted funds at 4 state owned-companies are of Rp 85,11 billion (equal to USD 9 million) and USD 4,23 million at Bank Negara Indonesia Pension Fund, 2 other insurance companies, and corruption during the procurement of choppers for state purposes. KPK will soon will make further actions responding the reports.

[November 2006]

Indonesian ex Minister of Sea and Fisheries is Arrested for Corruption. The said minister is held responsible for illegal levies of 1% from the collected Rp15 billion (USD 1,7 million) from the municipals in 2004. The business partners private companies for the said program, is also under arrested. This the third ex-ministers arrested and criminalized for corruption cases, where also 5 government projects' business partners from private entities are involved, some already imprisoned. Another illegal levies corruption case also under investigation by KPK toward the Indonesian ex Consul in Johor Baru, Malaysia in 2003. he was just arrested and held responsible for state financial loss of  USD 1,8 million.

Government Officers, Slashed Down. This is the government of Indonesia's reform plan to reduce the current numbers of government officers from total 4 millions to 2 millions all over Indonesia, gradually. Around 160,000 retired annually, but the government will only recruit new staffs based on urgent necessity, to improve their quality and effectiveness based on integrity, moral and intelligence. In doing so, the government also support through a set of new bills of State Ministerial, of Public Services, of Government Ethics, of Government Administrative Law, and of Government Official Law.

President Susilo Bambang Yudhoyono Establishes a Working Unit. The Presidential Working Unit of 5 major tasks are to accelerate reformation in law, investment, SMEs, bureaucracy administration and economy. The Unit composed of a number of eminent person having integrity, clean background, professional and commitment to progressive development, such as Marsilam Simanjuntak (ex General Attorney and State Secretary) and Edwin Gerungan (ex Chairman of IBRA). The establishment based on a Presidential Decree, however built up controversies where the super body is suspected to have more power to touch those the untouchable in corruption.

A Number of Indonesian Governors Stand  for Corruption Trial. The recent is the Governor of West Java Province for corruption in providing lands for the member of the local parliament in 2003 causing USD 3,75 million state loss, others are the Governor of East Kalimantan Province (4 years in jail) and his 24 year daughter (for nepotism and corruption in the daughter's private business in 2005). The other is the Governor for South Sulawesi Province, who previously happen to be a lawyer then charged for direct involvement in document falsification and other crime committed to of state land rights in Jakarta in 2004.  Based on the law 32/2004, the above active governors shall be temporary replaced by the deputies until the trial resume. Indonesia has 33 governors, where previously other 5 governors also face for trial corruption in 2004 only.

[October 2006]

Government Officers Must not Accept Parcels: a Policy. The said policy has been effectively implemented since 2004 under the President Susilo Bambang Yudhoyono' administration, where such policy are in order to avoid from indirect bribery or gratification from anyone towards government officers. This policy gained full support not only by the people, but also followed by the business community at large. The KPK this year implement a reverse paradigm, that parcels are given to the staffs and those the less fortunate.

14 Corruptors Publicated. 14 Indonesian corruptors identities already broadcasted through a private and government television networks, according to the General Attorneys Office. The said 14 are those who has been ruled and binding by law and therefore must take effect. In relation to that, it was confirmed by the Department of Justice, that almost all of 86 recent corruption cases are on trial, mostly ruled.

The Bill of Government Ethics. The bill emphasize more on moral, ethics and norms applied to all government officials covering from the president and the vice president, members of the parliament, office of the central banks, and all other government institution funded by the state budget. The law are to respond the community complains on bad public services, nepotism in recruitment and low quality of human resources at some institutions.

9 out of 100 applicants for the Supreme Court Judges. This is the initial number of the candidates for the Indonesian Supreme Court Judges after passing a number of examination by the Indonesian Judicial Committee, where only 3 are from the career judges. The criteria are tight, based on merit system, the qualification also covers intellectuality, moral, clean background, deep investigation of candidate's wealth and proprietary, and commitment to uphold the law and justice in Indonesia. Based on the current poll, the community perceived, that the Indonesian court and judges has fallen to the lowest point of trust, since most judges are considered less intellect, moral hazard, no commitment to uphold law and justice.

[September 2006]

7,038 corruptors out of total 111,000 persons imprisoned and detained.  This is the number of corruptors imprisoned and detained for corruption cases, where those include the very recent of 4 provincial governors (equal to state), 2 ex-ministers, a big number of people' representatives and number of persons of high rank civil officers, including a number of police general and army generals, which are arrested for further investigation and interrogation, under trial and imprisoned for corruption cases in Indonesia. 33 foreigners out of 99 are also those awaiting for capital sentences. The said numbers released by the Minister of Law and Regulation, where numbers is believed will escalates.

Indonesian ex-Consul General in Penang (Malaysia) sentenced for 3 years Imprisonment. The said person during duty in Malaysia abused his consular authority for discrimination and corrupted levies to Indonesian Migrant Workers, which has caused state financial loss of USD 3,2 million. Another case in corruption also has led the anti corruption court sentencing from 4, 7 and 12 years to three officials from the General Election Committee. Another Indonesian fugitive for illegal lodging was also arrested in Beijing, recently. He was rearrested for an attempt to escape. However, other 50 suspects are now on the list, where most stayed in Beijing, China.

The Indonesian Financial Controller Freezed 579 Government Officers Personal Bank Account. This is due to suspicion that around USD 25 billion government funds are identified missing and being suspected misused for personal and family interest and purposes by the said number of government officers and the retired. A big number has its overseas accounts, also detected.

[August 2006]

Revision of the Law of the Supreme Court. This is in line with the revision of the Judicial Commission Law planned by the parliament right after its annulment by the Constitution Court due to inconsistency to the Indonesian Constitution, where the said laws allows both institution to take control of judges manners and behaviours. The annulment creates many responses from the legal reformist, where it is well known that 40% Indonesian judges are involved in court mafias, according to a report. A number legal reformist compels the issuance of interim laws by the president to keep the consistency of the law and legal reform.

KPK Investigates Foreign Investment Companies. This is due to the community reports of foreign investment companies bribed Indonesian government officers for various interests and purposes. A British foreign investment company is now under consideration to be investigated. Previously, 3 social foundations from Europe, were indicated for corruption during the Aceh Tsunami Recovery Program, based on early investigation.

KPK will make Aceh Province as a model free from corruption. This will be initiated by KPK to investigate all foreign NGOs in Aceh during the Tsunami recovery program since strong indication of corruption, existed. This action is based on article 7 law 20/2001, where private and individual entities committed to business fraud, are subject to criminal charge of corruption. KPK has received at least 14.000 community reports of corruption, where only 54% bear criminal charges.

New Prison at Nusakambangan Island. The new high technology prison at southern island part of Central Java, has 400 cells, which is expected for corruptors and bank criminals, is now open. The Indonesian Minister of Law and Regulation said, that the prison utilize high technology will help the operation. By the end of this month, the Minister will also consider to publish to television, the said bank criminals and corruptors to make people aware of their presence in the community and report them to the police.

[July 2006]

Private and Business Entity are Subject to Corruption Charges of article 21 UN Convention. This is a new issue to be applied in the revised Indonesian anti corruption law to conform with the article 21 of the UN Convention Against Corruption (UN CAC). The UN CAC stipulates, that corruption charges do apply not only to public officers but also to any parties involved in corruption, directly and indirectly, including private entities. The punishment will cover criminal code and private law.

Indonesian Financial Controller investigate 3 Government Departments. The 3 are the Department of Education, Department of Health and Department of Public works, where strong evidences proofed that most projects are identified for mark up, collusion, corruption and nepotism between government officers and private sectors. This has caused state loss are up to 30%.

Bill on Witness and Victim Protection, passed the parliament. The new law is expected also to disclose crimes at various entities such as in state offices, state enterprises, judicial bodies, police and public attorneys office. The law will support KPK, where the law covers protection to also whistleblowers, and do not limit crime reported. Any parties threaten witnesses are subject 1 to 7 years imprisonment plus fine of Rp40 million to Rp500 million. Additional one third crime penalty applied if threat is conducted by a government officer. According to ICW, there were 39 witness, victim and whistleblowers under threat for defamation charge during 1996 to 2006.

KPK (the Indonesian Corruption Eradication Commission) pushes Statutory Declaration for Government Officers. This applies to those at middle management and higher, including those the army officers. The said subjects of law must report any current proprietary and wealth on his/her behalf and/or other, spouse, children, in-laws, and grand children. The report must be submitted to the Internal Monitoring Institution (Inspectorate-General Office) at each of their departments, the tax offices and the KPK office. In the event any findings beyond reported, the court will make summon for clarification to the subjects.

The Indonesia Advocate Association Objects KPK Eavesdropping. The association, one of other 7 associations, argued that this is related to the right of immunity bear by advocates on duty. KPK now has the right to make investigation through eavesdropping, phone tapping, monitoring of bank accounts and other means to collect information to those suspected for corruption by government officials.

Seminar Implementation on UN Convention Against Corruption. The seminar held by KPK together with a number of university academics. The result are to empower and broaden the definition of gratification, covering pre-gratification to public legal officers in judicial bodies and sub-criminalization to parties receiving illegal money derived from corruption.

Indonesian Governors Indicated in Corruption. The two governors are from province of West Java and province of Banten, both adjacent to the province of DKI Jakarta, has been investigated by KPK for various corruption indication in a number of government projects. Another governor, from Kalimantan Timur, has been detained by KPK for abuse of authority that lead to corruption. All are active governors. Indonesia consist of 33 provinces equal to states in a federal system, 340 regencies equal to district/city.

Indonesian General Attorney dismissed 2 Senior Attorneys. The said attorneys was considered indicipline by possessing illegal materials. Another 5 senior attorneys (Chairman of Provincial Attorney Office) are also investigated for involvement in court mafias.

[June 2006]

188 community reports of Public Attorneys. This is the number received by the Public Attorneys Commission since its establishment in March 2006, where 45 are directly sent to the office of General Attorney. Reports are unprofessional attitude of public attorneys. The Commission task are to monitor and make recommendation to the General Attorney instead of punishing.

Indonesian Police Commission established. The law is the Presidential Decision No 5/2006, chaired by Coordinating Minister of Politics, Laws and Security, the deputy is the Domestic Affairs Minister, with members from NGO academics and other legal professions. The Commission tasks are to support the government in setting up police strategic policies and to respond citizen's report of police public services.

Indonesian Bureaucracy score at 8,2 out of scale 10. This is slightly better than India with score 8,95, compared to Singapore (2,2) and Hong Kong (3.1), a report released by PERC in 2005. 3,3 millions of  government officers are serving 230 millions of Indonesian people at 33 provinces and 340 regencies, which are spread into 5 major island and others thousands islands at an area of 1,9 million square kilometers. This is to compare to Singapore with 3 millions people.

Police Officer Performances. A recent research conducted by a national circulation newspaper shows, that public disappointment and dissatisfactory to police performance increased significantly 53% to 77%  in 2006 compared to 45% to 65% last year for 5 major police services. The bad performances are, such as involving police creates bribe, creates more problems than solving it, police protecting illegal businesses and human rights violations. Recruitment transparencies to be a police officers are also the main concern with regard to their professionalism and morality , an NGO reported.

[May 2006]

Bureaucracy Reform. At about 30-40 Indonesian regencies successfully conduct its bureaucracy reform through simplification of public services and annulment of various levies. An example is, the County of Kebumen (in Central Java Province), who successfully operate e-government and applying low cost internet access to its people and free internet access for public schools. The County of Solok (West Sumatera Province) implement one roof public service (for 62 public needs), transparency, public participation, financial support for local government, including reducing chief salary up to 87%. Other successful model regencies for good governances are Sragen and Sidoardjo (Central Java), Jembrana and Tabanan (Bali Province), Pekanbaru (West Sumatera Province), and Gorontalo (Sulawesi Tenggara Province). Those regencies will play as a model for Good Governance for other regencies. Good governance will also implement moral building to reduce KKN, be it at the regional (state) offices or at the central (federal) government. On the contrary, Bogor and Bandung (West Java) considered fail to perform in this area, Ministry of State Government Apparatus Enforcement reported.

200 Indonesian Criminals and Corruptors. KPK, (the Indonesian Corruption Eradication Commission) released its latest info, that the above numbers are those details has been identified stay and live in Singapore. Mutual Legal Assistance to extradite them between both government has not been yet concluded since end 2004. However, 8 of them has voluntarily surrendered to the Indonesian authority since early this year. Further info on KPK can be obtained at this link.

Government Procurement. New Presidential Decree number 8 year 2006 amended some article of previous Presidential Decree number 80 year 2003, released. Any goods and services procurement and government�s projects conduct and procedures must be transparent and open to public to access. This law will reduce KKN (Corruption, Collusion and Nepotism) between government officials and business entities.

133 judges to be investigated for KKN. This is in relation to their decisions releasing 142 Indonesian corruptors during the period of 1999 to 2004. The Indonesian Corruption Watch (ICW) requested the Indonesian Judicial Commission to investigate the said 133 judges, including a number of public attorneys for indication of receiving bribe during the trial process. Other legal profession related to, are also under close surveillance for involvement in court mafia.

Indonesian Court Mafia Veil Revealed. This was initiated by a defendant disappointment who revealed right after a court session in the court room, that he bribed the public attorney Rp 600 million (USD 62,000). This incident now increased public awareness that actors of court mafia are not only the judges, public attorneys, police, and advocate, but also initiated by the disputing parties.

11 Big Gratification Cases since November 2005. The above numbers are public officers involved in court mafias covering 3 high rank police officers, 3 judges (one is a court chairman), 2 court registrars, 2 High Court officers and 3 advocates. 3 out of them had been punished for 2 years imprisonment. KPK has also identified officers involved in gratification, corruption and nepotism at various state entities and judicial entities covering for at least 1000 people at the people' assembly, 15 at happens to be the chief of the local assembly, 7 governors and 6 ministers and ex ministers, 4 Chairman of State Enterprises and hundreds of governments officers.

[April 2006]

Commission of Public Attorney established. 8 members tasks are to monitor, control and punish deviations during service to all public attorneys during service. The establishment is based on Presidential Regulation.

[February 2006]

News Draft of supporting Laws on Good Governance. The set of draft of laws aims at an efficient and effective governance, such as the draft of law of Ethics of Governance. The laws is expected to be released upon approval from the House. Other related new draft of laws are Draft of Public Services, Draft of Law of Nationality, and Draft of Law of Civic Administration. The latter law is expected to cover the basic rights for civil for good, services and administration services by the government officers. Current  Law on Good Governance Law is Law 28 year 1999.

~ 2005 ~

[December 2005]

Pertamina go for efficiency. The only Indonesian state oil company will soon restructure its human resources management, by slash down half of its staffs within 1 year. It is admitted that past staffs recruitment at many state-owned companies were not transparent and has a strong indication of collusion and nepotism. This is due to efficiency to respond global competition.

[November 2005]

Draft of Law of Freedom of Acces to Public Information will soon be released. The draft of the said law (since 2001) will empower the people to be involved in public decision making process and avoid public and government officers from corruption-collusion and nepotism through the enforcement of the access of public informations by public. The law will also impose government officer for 6 months of improsenment and 5 million fine for any case to hinderance to access the public information.

Seven Indonesian Suspected Judges for Corruption under Investigation of Indonesian Judicial Comittee. The said report are based on thorough investigations conducted by ICW (Indonesian Corruption Watch) and MaPPI (the Society to Monitor Indonesian Courts) covering the said judges' friends, family & home, inner circles, workplaces, where they found strong indication and evidences of unreported ownership of luxurious properties to the government. An example is, a judge owns 7 luxury houses, 5 luxury cars.

[October 2005]

60 Permits for Investigations of Suspected for Corruption. The 60 permits are the number of permits issued by the President Susilo Bambang Yudhoyono during his term since October 2004, for its government official for criminal investigation by the police. This is to respond community reports for government officials involved in corruption, covering 8 members of the house, 4 governors, 32 local chiefs, 8 deputy of local chiefs, 6 majors, and 1 deputy of majors.

KPK searched the Indonesian Supreme Court Office. KPK (the Indonesian Corruption Eradication Commission) then arrested 5 staffs and a lawyer who happen to be an retired High Court Judge accused for involvement of bribe to a supreme court judge panelist, which is against the law no.19/1999. KPK seized money of USD 400.000 and  Rp 800million from their offices. KPK actions is within the plan to execute investigations of hundreds of KKN (Corruption-Collusion-Nepotism) cases in Indonesia, supported by the wide spread community.

[September 2005]

Bribe Case on Trial. Court' staffs and a regristrar' officer together with an Indonesian lawyer are on trial for bribe of board of judges on a high political case of corruption by a provincial governor. In another case, the Indonesian Judicial Commission, after an investigation of a board of judges in a decision of a dispute of election votes, has recommended the Supreme Court to suspend a judge from its duty in court for 1 year. More other tens of cases on bribe are now on court trial sessions.

Court ruled over Bank Corruption. Life sentence was ruled in absentia toward another Indonesian bank criminal for corruption of a state owned bank fund of Rp 1,24 trillion (USD 1,24 billion) in 2004. The said person now stay and live in Singapore, following other 12 fugitives Indonesian bank criminals. Talks between both governments of Indonesia and Singapore for extradition are at the final stage.

15 Indonesian Police Officers personal Bank Account are Suspected. The KPK suspected that their personal bank accounts are abnormal, which one of them have almost USD 900 million. Half of the suspected are still active, some are retired, some are high rank police officers. KPK suspicions are related to the report from the community of their illegal businesses, such as protection money, illegal lodging, abuse of authority, and gambling, which business are now under serious attack by the new appointed Police Chairman. Recently, the Indonesian KPK also seized a number of Indonesian personal bank account in the Switzerland suspected from illegal sources.

[August 2005]

7 member of the Judicial Committee.  Members are inaugurated by President Susilo Bambang Yudhoyono. The committee' first tasks are to compile data of 6000 Indonesian Judges all over Indonesia.

[July 2005]

Financial Auditors Dismissed for Receiving Bribes: The 15 auditor dismissed due to evidences for misconduct of authority by receiving bribes from some State Companies during routine financial session. Other hundred Indonesian government officials also imposed the same discipline for receiving bribes since 2001.

Commission of Public Attorneys, appointed. 7 appointed members of the Indonesian Commission of Public Attorneys was determined by the President of the Republic of Indonesia through Presidential Decision number 116/M/2005 earlier this month, after selected from 206 applicants. Two of the members was a Public Attorneys officers, others are advocate, NGO activist, lecturer, and community members.

[June 2005]

7 Judicial Committee Candidates. Indonesia will soon have its Judicial Committee, after hundreds applicants being selected, finally there are 7 candidates to be proposed to the parliament. The main task are to make recommendations to the Indonesian High Court and to watch judges during their duty, all over Indonesia.

[April 2005]

Member of Indonesian Election Committee (KPU) caught for bribe attempt An Indonesian member of the KPU has been caught by an under cover Indonesian official of KPK for an attempt to bribe an Indonesian Financial Controller Authority (BPK) of Rp 150 million during financial investigation of the said committee. During the initial investigation, most of KPU staffs and some of the member of the parliament are involved.

Public Prosecutor/District Attorney Commission. At least 66 lawyers candidate recruited during the second stage to be appointed to sit as a member of the Public Prosecutor Commission of Indonesia. The main tasks of the Commission are to watch closely to avoid deviation of duty and authority of the Public Prosecutors and make recommendation to the General Attorneys Office. Currently, 14 candidate members of the Judicial Commission are also under recruitment.

[January 2005]

Anti Corruption. New Government Regulation (Perpu) will be released, called the 'Acceleration Action to Exterminate Extraordinary Corruption'. The law is tougher, covering corruption and bribe by and/or towards any public officials, civil person and non-civil persons, which are subject to serious criminal charge. The KPK has the authority to revoke passport, tapping any communication means, blocking bank accounts and arrest persons within 24 hours without notice anyone regardless their nationality residing in Indonesia. Bribery to public officers is also subject to criminal charge, a penalty of Rp 200 million to Rp 1 billion and 4-20 years imprisonment, live sentence in jail up to death sentence.

200 Corruption Charges. More than 200 corruption charges against Indonesian public officers from Governors to Chief of Districts and member of people' representatives, 100 cases are now under investigation, some other 100 cases on trial, some ruled and imprisoned. The Indonesian KPK is also planning to take actions against public prosecutors, police and judges for corruption charges in mid 2005.

~ 2004 ~ 

[September 2004]

Limitation of Gratification to Public Officers. New laws will be released on limitation of gratification for government and public officers. Penalty and years of imprisonment applies to both wrong doers. This law aims to avoid from bribery and  to put more public control on public officers in the spirit of good and clean government of Indonesia

Public Prosecutor Watch. the Indonesian Parliament agreed to release new laws on the possibility to establish an independent body to watch over the Indonesian public prosecutor while on duty, to avoid public prosecutor from deviation conducting the laws. Currently, some NGO are also watching over the Indonesian courts proceeding and the judges.

[January - April 2004]

Supreme Court, Judicial Body Laws. Indonesian Parliament passed new bills: the Law of the Supreme Court (Law no. 5/2004), the Law of the Judicial Body (Law no. 4/2004) The major issue for both laws was that the judicial body is now under the authority of the Indonesian Supreme Court (Mahkamah Agung RI). The law also allows any person/legal entity to sue any legal officials (policemen, judges, prosecutors)  from illegal arrest, groundless judicial decision and wrongful imprisonment.





Indonesian Law Update:


2015 to 2009



[ 2 0 1 5 ]


Review of SNMPTN Candidate Student Recruitment to State Universities. The Indonesian Minister of Technology and Higher Education has its release on its plan to review the mechanism and portion of candidate students to state universities trough recruitment model called as SNMPTN. SNMPTN is a model of national recruitment without national exam test but based on the self report and trust of candidate students’ 3 years high school academic performance, art and sport achievement high school report to enter prestigious state universities all over Indonesia. This platform model relies to only to the 3 major achievement, submitted by the school director to the ministry of education to be accepted and secure 60% of the total available seats the state universities, recruited 3 months earlier than SBMPTN in July each respective year. SNMPTN differs from SBMPTN - a model of collective recruitment through set of highly competitive national recruitment on a computer–based individual writing test. However this SNMPTN recruitment model in fact found its downside when the said recruited during their university year performance are very low, far from expected. The minister suspects the school report are dishonest, not transparent and bribe-prone. These findings are submitted by state universities chancellors where its findings are surprisingly a wide gap of academic performance, where the SNMPTN are very low in contrast to those students recruited through SBMPTN model. The minister warned this dishonest practices may lead to sanctions. Indonesian State  Universities remain the most wanted for Indonesian high school graduates to continue their higher studies due to state universities excellent facilities, good teaching, academic performance and good job market.

[June 2015]

     June 2015. State Universities to Comply 20% quota for Government -Bidikmisi- Programm. Minister of Technology and Higher Education M. Nasir warned all Indonesian state universities to comply with the government regulation to allow 20% of their annual university student seats for the government program called Bidikmisi. Breach of the said 20% quota may cause sanctions from the ministry. Bidikmisi is a government public fellowship program for intelligent and/or talented student but with poor parents all over Indonesia to study at any state universities through national recruitment (SNMPTN) or cooperative recruitment held independently. The minister also warned state universities directors and management to adopt a proper evaluation of student' parents economic background in determining tuitions. State universities in Indonesia has the highest reputation for its tight recruitment, excellent education facilities, and best job market. The competition rate ranges from 1:40 to 1:85, depends on the most wanted faculties or universities.

     June 2015. KPK findings on Potential Corruption over Strategic Food Importation. The said research released by KPK point out on particular cow importation in quota determination, including other strategic foods import with identification import embezzlement, fictious import, procedural disfunction, and pricing mark. These all are based on the community and commerce stakeholder complain received by KPK. KPK also points on commercial management policy being prone to intervention and hence taken benefits by some groups and as a result these bad practice do not meet the ideal management food for the people, including protection of the domestic breeders in cow importation. Other findings include the market game by some player through holding foods in their group stock to create market scarcity, which then caseu the government being compelled  to release temporary unfair and unregulated importation of the same food. In the end, it increased profits to the said particular group. KPK indicated these happened to 5 commodities namely cow, meat, rice, corn and sugar with 11 weak points need to be re-regulated where extra state power is required to find its complete long term solution including tight monitoring at the central and local government level. The KPK research also recommend to decrease the gap between import management level to factual implementation on site to see the big differences.

[February 2015]

Mental Revolution Budget, Allocated. The budget if Rp 149 billion (equal to USD 130 million) has been approved by the government to fill in the social slot with target to change people’ mindset into a positive one. The program being held at the National Development Plan chaired by Minster Andrinof Chaniago told the program aim at law obedience, positive mindset, combat laziness, and all other mindset need to be changed in order for a progress development.

--- o ---

[ 2 0 1 4 ]

January 2014

Generale attorney's in Asian Agri tax embezzlement case: strong indication of money laundering. Following the year 2012 Indonesian Supreme Court final ruling on a gigantic tax scam by foreign investment company in Indonesia Asian agri, the office of the general attorney release its strong indication of money laundering, another case is a probability. 14 of Asian agri subsidiaries has been found for tax scam, there for to repay the state of Rp 2.519 trillion, ewaul to USD 3 billion. The Office seized all assets owed to 14 Asian agri' subsidiaries, namely a number of plantations in jamb, riau, North Sumatra, and other 19 plants and land spread if no payment  is being made. The Office has initiated a research over the scam to transfers a number of assets, where if so proven, might face a harder law, the money laundering law.




May 2013

291 Local Chiefs and 1200 Governmet Officers indicated for Corruption since 2004. KPK released a statisctic showing the corruption become more acute, lately. Within the last 9 years in charge, there are huge number public servant involved in corruption, the figure are 291 majors/ governors and 1.200 other public officers (2004 to February 2013). The breakdown figure are 21 governors, 7 deputy governors, 156 city majors, 46 deputy of city majors, 41 majors and 20 deputy of majors, a statistic drawn from the ministry of home affairs, recently. The figure do no include government apparatus of 1.221, wheras 185 has been the accused, 112 punished and 887 imprisoned and the rest 44 sit as witnesses. KPK urged corruption to be slashed down to minimize state budgets for the sake of public goods. He admitted the presence of KPK make corruption extermination possible than before, but he admit the corruption quantity remain the same only more massive structured and systemic.

August 2013

Indonesian President facing legal claim over direct appointment. The public claim was over the President direct appointment of Patrialis Akbar (previously a politician) to sit as senior judge at the Indonesian Constituion Court, breaching article 9 the Law of Constituion Court (Mahkamah Konstitusi), compelling a clear and transparent recruitment. The claimant is the Civil Society Coalition to Save MK, a group of ICW (Indonesian Corruption Watch), Indonesia Legal Roundtable, Puat UGM (Gajah mada University), ELSAM, LBH Padang, submitted 12 August 2013. The coalition further accused the President is in brach article 15, whereas they see Patrialis do nt meet the qualification of good integrity just and good.

June 2013

KPK to monitor of Recruitment at National Domestic Governance Institute - IPDN. The role by the KPK shall be to slash bribery and nepotism during the recruitment, including monitoring transparency of student candidate during the recruitment at all levels at the IPDN, and its other 7 IPDN campuses in Indonesia. The IPDN has long been known for its bad recruitment for future public servant at the government institution under the Domestic Affairs Ministry. However, for years the recruitment has always been not transparent, nepotism, and full of bribe, and as a result the gradute quality are way too low in terms of integrity and capacity. A number criminals cases also are part of this academy, including suicide, rape and murders to juniors. KPK will also implement tight monitoring to recruitment at the Police Academy, School of Public Attorney and School of Judges.

2013 is seen as the year for Justice Collaborator. The statement was released by the Indonesian Protection for Witness and Victim Authority � LPSK following the reward granted by the state legal officer of conditional release of two Indonesians in a mega corruption case at the Indonesian ministry office and the Indonesian police headquaters. The recent development has shown an increase of individuals to voluntarily become a justice collaborator as statistically shown from 344 in 2011 to 655 individuals in 2012. The percentages reach 100% growth. The 2012 shows 215 individuals only were those reporting for human rights abuses, while 34 are for corruption. The major cases in 2012 involves mega corruption of Rp 100 billion (Simulator case), Rp128 billion (Hambalang case), and the big catch of Asian Agri case of Rp1,3 trillion (USD 1.500 billion). However, there are also challenges where the witnesses also report being threat and revenge by the corruptor and their group. 22 out of 30 reported so, and the state has conducted a full protection instead. Currently LPSK is handling 48 witnesses of corruption cases.

January 2013

Mahfud MD: Law Enforcement is effective upon the free Strings-attached of Stateman. The statement was addressed in response to Mahfud's concern over the ineffective law upholding, recently. This is identified by the government officer responsible are likely string-attached to its political power with various interests. He urges the government and law officers to compel all level of staffs to be clean and do not tolerate collusions during duties. A leader must be tough and hard. Indonesia in the 50s is a good example of the effectiveness of the government since none of the staffs are involved in corruption, and therefore freed from any interest but public. Pancasila as the ground of Indonesia nationhood is a blessing for Indonesia to be kept united along the history.

Asian Agri Decision: another Paramount Decision in Tax Embezzlement. The Indonenesian Mahkamah Agung - MA, High Court punished an Indonesian company PT Asian Agri for tax emblezzlement by its tax manager with 3 years imprisonment and 14 of its subsidiary companies to pay taxes at 2 times of Rp 1.259.977.695.652 within 1 year effectice from the date of the verdict. The tax manager Suwi Laut or known as Lie Che Sui, was committed for crime by tax falsification and untrue tax report being exercised sequently for years during the period of 2002-2005, infringing the criminal code of self assesment priciple of Indonesian tax law. The MA� paramaount decision is away from the mainstream where usually tax falsification was treated as merely a crime administration with limited fine punishment. The High Court did not folow the mainsteram instead, but a breakthrough to take effect of the law conception of �ultimum remedium� by utilizing criminal code as a tool. The court consider this will entail the crime-awareness of of tax subjects. As a result of tax falsification, the Indonesian Government suffered from tax loss of Rp1,25 triliun, which is broke down into Rp301,4 billion in year 2002, Rp309,6 billion (2003), Rp358,7 billion (2004), and Rp280,4 billion in 2005. The case has brought seven other directors of PT Asian Agri and three other government officer of the Finance Minsiter.

Indonesian RSBI - International Standar School at Public School: Dismissed. The MK in its early year decision shocked the nation with its verdict to annull partially the article 50 paragraph (3) of the National Education System Law 20 year 2003, then subsequently dismiss the said clause of so-called RSBI international standar school at public school all over Indonesia. The decision came into force on the date of the verdict. The said article 50(3) infringed the Indonesian Constitution 1945 article 28C paragraph (1), article 28I paragraph (2), article 32 paragraph (1), (2), (3), and article 36 Constituion 1945. The ground of the verdict of more than 100 pages were of long considerations and excessive 6 long hearings than usual from various stakeholders, including ex minister of edcuation who was in contrary to the RSBI existence since 2006. The major consideration was public school is not allowed to take any single charges to pupils' parents whatsoever, since the consitution has guaranteed 20% or equal to Rp290 trillion (USD 320 billion) state budget, annually. Such illegal charges clearly tend to commercialize public rights, a right has been put forward and is secured by the Constituion 1945. The MK also extended its deisions to three other consideration as that English language command tought at school also infringed the article on Flag and Language of the Constituion 1945, where the conduct of English language in 2 subjects (out of 10) as a standar language at school do not necesariliy and do not guarantee the quality of its gradutes and is not in line with the national education guidance. As for commercialization also has shown a clear discrimination and segregation of social classes between the poor and the rich, where public school seats are traded through so called 'voluntary donation' of pupils parents being set at millions Rupiahs afforded only by the riches, in turn the poor access is limited. The government must secure equality and quality of each of the citizen' right to access education whatsoever. Finally, MK also in its previous decisions made, that the said article has clearly shown a potential harm in the near future of infringemnt of citizens' rights under the constituion 1945. The request of material test of law has been submitted by parents, education activist and NGO activist in late 2011 on the ground of discrimination.


[December 2012]

Ailianz to pay fine us 12.4 mil for bribery. The US security Commission (SEC) ruled that Allianz has breached the US anti corruption practices (FCPA) as Allianz has been found guilty for bribing Indonesian goverment officers at USD 650,000 to win 295 Indonesian government insurance contracts between 2001 to 2008. For such contractcs made, the German-based Company took benefit at USD 5.3million.

Indonesia is better than the US in Transparancy of Public Information. Indonesia ranked the 20th, better than Great Britain (27), the US (36), Australia (38) and France (61). As a result, Indonesia become the leader in open government together with the Great Britain in the UN Forum for Open Government Partnership, where 4 commitments haa been put forward, namely the increase to provide information availability, supporting public participation, high integrity applicability, and the increase technology access. Indonesia' reputation are based on transparency managed with accountibility, supported by a critical community, with many information references available, which do not necessary in line with the mainstream.

[September 2012]

16 Indonesian State Universities found for Budget Misuse.  The report released by the Indonesian Parliament Financial Accountability was according to year 2008 to 2010 budget disbursement of procurement of goods and services with a number of misuse categories, totaling of Rp 309 billion at 16 state universities all over Indonesia. The Parliament  accused parties involved to bear responsibilities under the criminal code. The particular misuses are (1) procurement of goods and services specs under the contract required, worth of Rp122,53 billion, (2) state loss at 3 universities worth Rp22,88 billion, (3) insufficient evidence or proof of procurement of goods and services of Rp74,49 miliar. (4) overpricing Rp17,82 miliar, (5) incomplete construction facilities,  Rp9,01 miliar, (6) fictious budget Rp595,70 juta., and (7) no fee imposment delay Rp6,90 miliar.

[August 2012]

Citizen Law Suit on Road Traffic. Two Indonesian citizens filed a citizen law suit against the Indonesian President and the Governor of Greater Area of Jakarta, the capital city of Indonesia, for both failures and soon to take action to control and solve the severe acute road traffic problems in the greater area of Jakarta. Both persons are perceived  to be responsible for the road traffic management. The greater city of Jakarta is a home of 11 millions of people during the day, and a home for 7 million during the night, where the road has been filled with 11.362.396 vehicle, of 8.244.346 motor-cycles and 3.118.050 cars starting the early day at 5 until late night at 10. The ground of the law suit is to compel both the president and the governor to urge them to take actions since the traffic has been tremendously a pain for the road users from and to home and workplace in the city. The registrar office of the Fist Instance Court of Central Jakarta finally accepted the legal complain to go on trial, according to the judge panels. This fenomenal preliminary judge decision marked the third new branch of law suit within the area of civil procedure in Indonesia, following the ordinary civil legal suit and class actions. The first class action filed was in 2003, where the government has been considered being wrongful for not taking action towards legal problem faced by Indonesian migrant workers in Nunukan, Indonesia, adjacent to Malaysia. The second was a case where the government was compelled to establish a social net regulation to reduce poverty. The third case was for national exam for the people with disadvantages.

KPPU - the Indonesian Anti Monopoly suspects Cartel Practices in Bean Price. The suspicion by the KPPU is of the sudden price surge of bean in the Indonesian market, for the period of two weeks of August 2012. KPPU suspected, the importers are behind the unfair trade, as has been proven by the case in 2008, whereas the private companies who hold 74,66 of the bean market (PT Cargill Indonesia at 28% and PT Gerbang Cahaya Utama 47%, the rest are 11%, 10% and 4%) was suspected for controlling the supply of beans into the market as well as the import volume. The reason of failure of crops and global warming is less acceptable. Even worst, the national regulation did not limit other private business to join in into the market. The government have no control over it, as been previously controlled by BULOG � the Indonesian Logistic Body during the Soeharto era.

The Indonesian Financial Intelligence � PPATK reported 11  million Suspicious Transactions. The 11 million transactions are those qualified as nominal transaction with value above Rp 500 million each (equally to USD 55,000 which are suspicious, and are close to corruption qualification, as previously also been caught by the act by KPK � Anti Corruption and extermination Body, a bribe by private entity to a tax officer. PPATK also reported 2,300 bank accounts are suspicious, owned by senior officers at most local government during 2004 to 2011. Yunus Husein, special officer at the office of the President,  those suspicious bank accounts meet a qualification where the transactions are within the family, from husband to wife and children, son-in-law or other members in the family. Yunus denied PPATK moves in tracking accounts is against the law, as this is legally based on the Law 28/2010.

July 2012

Indonesian President Dissatisfaction over Law Upholding. 3 main legal institutions are now under close attention, namely the police,  the Office of the General Attorneys and the National Land Bureau (BPN), as identified by their low performance where as a result a clear increase of social and security hinderance, land use overlaps, land ownership conflicts, corruption and horizontal conflicts in the community. As for corruption, there are 5 sectors of corruption, mostly incurred in the area of state and local budgets - APBN, tax, goods and services procurement, oil and gas, and customs and clearance. In the area of state budgets, it was clearly identified that although efforts has shown positive trends in preventing and to exterminate corruption, however there were remain and a growing numbers of local government involved in corruption of such budgets for the last 2 years. In the procurement, it was the practice of mark up of the normal budget remain a common practice in most public projects. In taxation, there remain a big number of tax payers did not perform in paying their taxes, as well as the need to control over the tax officers from corruption of taxes paid. In customs, deviation of imported goods still an object that cost state lost of prospective taxes. Lastly in oil and gas, the President ordered the BPK - State Financial Auditors and the BPKP - State Auditor for Financial Development to work harder. The President however admitted that the are three main institutions has adopted a good mechanism of control, although a harder effort remain required. The efforts are shown as the general attorney office punished administrative sanction to 120 public attorneys and 63 staffs, while the police has increased its numbers to 10.000 to 25,000 new police officers. Land conflicts reached 8307 cases, where's 4000 has been settled. The figure of problems are expected to be reduced and settled within the next 2 years.

Improvident State Budgets. The Indonesian Financial Control Body found a huge amount of improvident and wasteful state budgets at the central and local government over the 'official' travels by the government officers. the wasteful of such state budgets is reaching 30-40% (Rp5,0-Rp7,6 Trillion) of total official budget of Rp18 trillion (USD 2,0 billion). The modus are to create improper official traveling , through 3 ways, namely fiction, non-fictious and mark up that are related to the manipulating budgeting. Fictious modus is to create a fictious tickets of airlines and fictious boarding passes. Non-fictious modus is by way of a real official travel but no job report is required. The mark up is the last modus by way of escalating the budgets. The mafia of such loss may be traced right from the beginning of budgeting at the parliament to implementation level at ministries and non-ministries offices. The BPK strongly urge the Indonesian police to keep tracking and sight over the improvident budgets, particularly to government officers at ministries and ministries.

Corruption after 14 years of Reformation. The Indonesian reformation in May 1998 marks a great leap toward a new Indonesia in terms of acceleration in democracy and economic growth, a success story in the region. However, the clean government do not accelerate in line, and reformation is seen merely as a political resultant instead culture, according to Busyro Muqqodas deputy of KPK the Indonesian Anti Corruption Committee. Most people perceive corruption grows and gets worst in the reformation era, where collusion and nepotism remain in the political system as proven by those who took the benefits are those within the inner circle of the elite politics, to sit in the executive, legislative and judicative bodies. While the remaining outer-circle who fought with idealism during 1998 are now spread into 2 categories, those being politically independent or allies with an NGO to keep their independency. According to KPK statistics during the period of 2004 to 2011, the inner circles involved in the term of KKN for corruption-nepotism-collusion are 10 actors, namely high rank government officers with 91 cases, private entities or private individuals (55), parliament members (49), majors (29), governors (8), commissioners (7), chief of ministries (6), judges (4), ambassadors (4) and others (31). As for the modus, government goods and services procurement sits on top of the quantity for 96 cases, which has been the concern by elimination through 2 tight regulations released by the goverment itself, followed by bribery (82), budget misuse (35), illegal levies (12) and licensing (10). the yesr on year statistics shows an increase in the above actors, mostly by government officers. (Source: KPK official site).

[January 2012]

1414 Mischievious Judges reported in 2011. The Indonesian committee on Judges, KY - Komisi Judisial reported that there were more than 1,000 judges being complained by the public for being mischievious within the period of the first quarter 2011 last year. However, only 1 judges has been punished, namely Judge Syarifuddin allegedly receiving bribe Rp250 million in 2011, followed by 3 being suspended, 6 warned. As for the first instance of court level, 329 judges were reported, followed by the high court 68, commercial court 37, administrative court 18 and religion court 15 judges. As for region, Jakarta is on top, with 110 complains, 53 for North Sumatera, 49 in East java. KY identified, the low intergrity lies mostly on the judges quality, where recruitment lies on nepotism instead of clean recruitments and merit-based of career valuation.

Indonesian Police Authority Slashed. The bill of National Security 2012 slashed in terms of police power in national security, where the power shall be bear by a compromised  national authorities, the army, the administration, including the community. The bill proposed numerous new conceptions, definitions, functions and tools in handling national security . According to historian, the current police power in holding national security is a misconception of long serve of  Indonesian history, the current police authority is a wrong repetition of Indonesian history in controlling so-called national security. The draft has been in discussion since 2005, and reached its first draft in 2011. The bill incorporates various laws, such as law 34 year 2002 of Indonesia Military Law. The main police power is now limited to only handling social and security order in the community due to the limitation of the Indonesian police human resources and its total failures to control national security. Recently, the police task failures are more evitable and widely covered by domestic and international media since the police are drawn to 'concentrate' more on petty crimes such as the stealing of sandals, underwear, stealing fruits, to killing innocent people rather than to completing tasks in corruption, drug, human trafficking and other white collar crimes. Therefore, police role will be returned to its proportion under the bill. The enactment of the bill of National Defense is expected soon to be released this 2012.


[December 2011]

Government Young Officer� Illegal Big Account Modus. The Indonesian center for Financial Report and Analysis � PPATK unveiled thousands of suspicious transactions by local government officers, reaching 1,287 bank accounts of treasurer at local government, 376 by Majors and local government senior officer and 729 Civil Servants� accounts. Their personal bank account reaching billion of Rupiah, far and abnormal from their official income as a government officer. PPATK further details the modus, by way of treasurer� fund withdrawal and transfer, paid to their personal bank account. Treasurer�s account is under the authority of development section, or tax receiving section in the office. The amount transferred can be partly or wholly, where they benefited the gap of time from the budget withdrawal to project payment. Other modus are to intentionally transfer year end budget into their account prior to be re-send to the central government. There is also cash transaction instead of banking transfers, where the number reached 220 transactions with the amount of Rp 500 million to Rp 20 billion. The practices has been under PPATK� investigation since 2005, and is being under suspicion for local government election all over Indonesia.

Indonesian Anti Graft Commission � KPK Received 5,742 reports during 2011. The figure then being under review reached 1,026 with corruption assumptions, where 938 complains were internally investigated by the KPK, 88 complains being coordinated by other related government institutions. Out of 938 complains, 617 complains being taken over under the Deputy of Action in KPK, 204 under the Deputy of Prevention in KPK, 38 to other sections in KPK and the remaining 79 being investigated by the KPK chairmanship. Further, as for the 88 figure, 1 complain being distributed to the police institution, 2 to the general Attorney� Office, 8 complains to State Auditor Office and the remaining 14 to Local Government Supervisory Body.


Indonesia' Energy Souvergnity is in Danger. The danger is merely of the exclusion energy mining from strategic energy sources into commodity, where Presidential or parliament approval is no longer compulsory. Under the new legal regime of regional autonomy, approval now can be obtained from local government to mine energy, coal, gas and oil in particular. As a result, foreign investors are free to mine anywhere without central government approval. This in turn threat Indonesia' energy independence until 2025. Statistic shows, the incontrollable licenses reaches 8.000 mining locations, approved by the local governments, which are controlled mostly by China and India companies. Both countries aggressively supplies their domestic needs of energy, whilst their domestic energy reserve is kept for future domestic needs.The British Petroleum Statistical Review shows, that Indonesia coal reserve is only 4,3 tones (equal to 0,5% world coal reserve), as to compare with China' of 114,5 tones (13,9 world reserve). Indonesia' gas mining data shows, that 28 blocks are under the government control, 77 under joint venture scheme of local-foreign investors, 120 fully foreign ownership and 225 under contract with non-government. The government-foreign investor portion of shares are 25-75 until 2025.

Survey: Soeharto the Populous and Most Successful President. The survey held by Indobarometer, shows that following reformation era for 13 years and 18 month of Susilo Bambang Yudhoyono� 2nd term, 36,5% respondents are in favor of Soeharto, the 2nd president of Indonesia who was in power for 32 years. Yudhoyono himself is on the 2nd in favor (20,9%), Soekarno (9,8%), Megawati (9,2%), BJ Habibie (4,4%) and Abdurrahman Wahid (4,3%). In terms of success, still Soeharto is considered far more succesfull than other Indonesian presidents (40,5%), Yudhoyono (21,9%), Soekarno (8,9%), Megawati (6,5%), BJ Habibie (2,0%) and Abdurahman Wahid (1,85). The poll was held on 25 April 2011 to 4 May 2011 with 1200 respondents age over 17, with the method of questionaire and interview.


Indonesian Anti Law Mafia Task Force received 2529 Complaints. The figure is for the period of 2010 only, recorded until July 2010. Most complaints are on land cases (282), corruption (202), and fraud (149). Other categories falls into public services performed by the government officers, where three most institutions received the most compliant, namely the police (391), court (356) and general attorney office (220). The complaints however do not all relate to corruption, but also mafia issues and low public trusts. The Office of the Anti Mafia has previously identified nine major mafia to combat, namely court mafia, corruption mafia, tax mafia, land mafia, drugs mafia, banking mafia, capital market mafia and fishery mafia. The Office movements in turn created an uneasy environment for the Mafioso, for them to revenge through various possible means to slash down the Anti Mafia eligibility. The Office has identified the three parties who are presently and clearly dangerous, namely the academics who fight on the statehood platform, second is those who directly criticize the President administration�s policies, and thirdly those who criticize the Office itself for its fear being sentenced. The Office further emphasize, that mafia extermination is part of democracy on the ground that mafias has systematically steal people� right over the country�s wealth.



407 local government regulations in 2010 are irrelevant. The release by the office of the Ministry of Domestic Affairs shows those regulations do not comply with the Law 28 year 2009, noting it as irrelevant to business and investment permit and trading licenses, including illicit regulation related to local taxes and customs which in turn are counter productive. According to the Law 28, the local government (and municipals) are limited to submit regulations related to only taxes for hotel, restaurant, entertainment, advertising, public lighting, parking, soil waters, land and building-related only. The 407 regulations are out of 3000 regulations, where 2593 regulations classified as relevant with the Law 28. The Ministry urged the regulations to be revoked, as 1.878 typical local government regulations has been also revoked during the period of 2002-2009.

The Government to Implement  New Assessment Remuneration Method at 14 Ministrial Offices  The initial release is from the Vice President Office acting as the Independent for Bureaucracy Reformation, chaired by Mr. Erry Riyana (ex KPK deputy) with members from University of Indonesia, Gadjah MAda University, State Enterprises, and the KNKG (National Committee for Governance Policy). The above complete assessment method shall be released mid this February, to be implemented at government re-assessment of staff' integrity, infrastructure, and business process, including Human Resource Management. The report will also stipulate that government staff career monitoring and assessment will be conducted by an independent team and Quality Assurance Team, instead of the internal administration conducted so far. The next only entity to enforce is the National Guidance Committee for Bureaucracy Reformation. Remuneration will be the key credit for government staff performance, those with higher remuneration are those who are good in performance, integrity, and moral. Reward and penalty mechanism will be applied, including publication of staff wrongdoers. The Indonesian Budgetary Body will also be involved in technology-base for ministrial financial report to reduce the contact between the auditor staff and the said ministrial staf' office. The said remuneration program has been earlier-implemented at 3 ministries, namely Finance Minister, State Auditor Office, and the Supreme Court since 2007. The second round will be the office of the State, followed by other 9 offices.


17 Indonesian Governors, Suspect of Corruption of Provincial and Local Budgets. The number released by the Ministry of Domestic Affairs, mid Januari 2011, where the numbers increased every week or forthnigthly out of the total 33 governors in 33 Indonesian provinces. The number are those not included in other 138 Indonesian Majors/Chiefs of Local Government (out of 459 Majors in Indonesia), suspect of corruption of Local Government Budgets. The corruption suspects now facing charges under the Indonesian Anti Corruption Law, for them illegally spent local budgets for their personal political campaign during the pre-election sessions to run for the governor' seat. The corrupted budget ranged from Rp60billion to Rp100 billion.

Poll of Administration' Performance and Trust. The poll released by a major national circulation newspaper in January 2011 shows, that the administration of Indonesian President Susilo Bambang Yudhoyono' popularity in general has decreased significantly, from 75% (January 2010) to 55% (December 2010), as to compare to the same decrease  in 2009 from 90% (January) to 65% (December). A detailed figure are explained in various areas, where people in perceptions are of being satisfied, not satisfied, and abstain, with figures in corruption extermination are 26%-78,6%-0%, crime busting 40%-60%-0%, politics issues 23,3%-71,7%-4%, human rights violation 25,7%-70,9%-3,4%, public legal officers resettlement 27,6%-70,6%-1,8%, and law empowerment 28,7%-68,3%-3%, respectively. Respondents also asked to view their utmost urgency for the administration to solve, are corruption extermination 31% and economy 21,3%. Others are social welfare 13,6%, law enforcement 12,6%, jobs/employment 10,8%, politics 5,9% and others 2,2%. As of for the 20110, respondents have faith and expect more in better education system (85,2%), health (83,2%), security (80,7%) and freedom of expression (80,4%). The poll was held over the phone with 725 respondents in 33 provinces and 57 majors/cities in Indonesia, with respondent minimum age of 17 in December 29-30, 2010. The poll, however do not represent the general perception of Indonesians.


[August 2010]

Dominating Complain for Police Institution. The Indonesian Anti Law Mafia Task Force admitted that among 2,700 reports, complains for police institution is dominating, followed by general attorneys and judges. Mostly they come from regional area, according Yunus Husein, member of Task Force. Task Force ensured that the claims are checked and they are coordinating with other law institutions.

Private enterprisers corrupt suspect are more than politicians. Private Enterprisers conducts corruption more than the politicians, an Indonesian NGO Indonesian Corruption Watch reported. Out of 176 corruption cases in 2010, 61 accuses private sector, which not the same figure last year, where politicians dominates on corruption list. ICW said that corruptions were being premeditated mostly in the procurement of goods process, like bribing, direct appointment, price bubbling, and fictious report. Another corruptors� profession came after private enterprisers are: section head-officer/ field head-officer (56 people), regional parliament members (52), staff in regional governmental office (35), and head of government service (33).

Performance in Bad Political System. People consider that presidential cabinet could not serve effectively. As shown from a poll in four governmental tasks: strengthening national economic, strengthening social welfare, ordering law and human right, and keeping political and security stability; people only believe on the last one�s result (52.4%). Only 25.6% believe in effectiveness of national economic performance, 27.3% believe in effectiveness of social welfare performance, and only 23.6% in law and human right. Oddly, perception to President Yudhoyono is quite fair nonetheless the result of abovementioned percentage. 57% respondent considers Mr. President�s leadership in cabinet is effective. However, people are not satisfied with performance of the ministers (32.4%) though they are presidents� appointee in helping his tasks. People believe that it is because Indonesian political system forced the President to be unable to appoint freely of his minister. Political bargain and President�s accommodative policy to all parties to minimize opposition made the ministers are those the incorrect person at the correct place. Such kind of system is seems to be effective only for 24.8% respondent. When the respondents were to choose between President�s leadership, minister�s performance, and multi-party system, of which made the governance not running well, 53.6% respondents chosen the political system to be blame.

[July 2010]

KPK� difficulty in Investigating High Rank Police Officer�s Account Case. The Indonesian Corruption Eradication Commission (�KPK�) is still undergoing process to find criminal aspect in high rank police officer�s banking accounts case, a pre-request of legal procedure to be completed prior to investigation of  the corruption indication. Deputy of Prevention, M Jassin, admitted the difficulty is regarding to the modus of money transfer to banking account as it could not be directly stated as corruption act. Meanwhile, Indonesian Police is also investigating the case. The case was triggered due to a report of a major Indonesian magazine showing more tens of general police personal account ranging from USD 120 million to USD 1,25 billion as officially reported by the Indonesian Centre for Financial Transaction Analysis and Trace (�PPATK�). The issue has been started in 2005 but no significant progress and clearance has been made.

75% Decrease of Illegal Logging in Indonesia. The statement was issued by the Chatham House, an Independent Thinking of International Affairs. This success is the answer of Indonesian commitment to decrease emission from forest deforestation and degradation, according to Indonesian Minister of Life Environment Rahmat Witoelar in Chatham House, London, where he said that the problem must be handled incessantly, with cooperation of producer states and consumer states, including a sharpened Indonesian policy, regulation, and strategy to fight the challenges. The data exposed shows Indonesia� strong commitment to overcome challenge in climate change, emission from deforestation and forest degradation, and to fight illegal logging and trading of illegal product, a commitment delivered during the United Nations 2007 Climate Change Conference and succeeded in resulting Bali Roadmap and Bali Action Plan, in Bali. Similar commitment by the Indonesian President Yudhoyono was also expressed during the G20 Summit held on September 2009 in Pittsburgh, where Indonesia was the early state to give its commitment in decreasing 26% emission per 2020, including Forest and Climate Conference. Also during in Oslo May 2010, Indonesia will introduce moratorium for two years since 2011 to stop turf and forest conversion, which will means a great effect to prevent deforestation and climate change. Other country successfully in decreasing of deforestation are Cameron 50% and Amazon Brazil at 50-75%.

[April 2010]

9 Mafias at War. The war declaration was addressed by the Chairman of the Indonesian Anti Mafia Special Task Force, Deny Indrayana, a task force established and as ordered by the Indonesian president, Susilo Bambang Yudhoyono. The Task Force identified 9 Big Fishes of mafia currently urged to be diminished, those are Court Mafia, Corruption Mafia, Tax and Duties Mafia, Forestry Mafia, Mining Mafia, Drug Mafia, Land Mafia, Banking and Capital Market Mafia, and Fisheries Mafia. The Court mafia sit on the top of the list as it has hurt people� just and law. Currently the task force has received 383 significant public report regarding the mafia practices in Indonesia.

Rp.140 Trillion Tax Money Lost by Tax Embezzlement, Annually. Indonesia has suffered Rp.140 trillion lost every year caused by tax embezzlement which occurred in tax office. 23 % of tax income is stolen, according to a parliament member from Gerindra Party-Faction. State income targeted to obtain Rp.577 trillion from tax, but only received Rp.560 trillion. Ideally, state could obtain up to Rp.700 trillion, where it is urged for all law enforcers to eradicate those perpetrators.

[March 2010]

39 Parliament Members Bribed over the Senior Governor Deputy Election in 2004. The alleged members for the period of 1999-2004 are from PDI-P (19 members), Golkar (12), PPP (4), and TNI/Police faction (4). The case was initialized during the appointment of Ms. Miranda Goeltom, one of the candidate for the Central Bank Deputy, where it is found that she then bribed 39 parliament members to make her pass the examination process by the parliament. The antigraft body KPK emerged the case when Agus Tjondro Prayitno (former legislator of PDI-P) testified before the KPK for he received a traveller�s check of Rp 500 million (US$50,000) from his colleague Emir Moeis, shortly after the House of Representatives approved Miranda's nomination for the position in June 2004.Miranda was elected with 41 out of 54 votes by the House� Commission IX on Banking and Financial, covering most of all of PDI-P's 17 lawmakers in the commission, 15 Golkar legislators and several commission members from other parties. The Financial Transaction Report Analysis Center (PPATK) later identified 400 traveler's checks allegedly linked to legislators mentioned by Agus. The parliament under the law, has the authority to select  among those are KPK members, Chief of Supreme Court, Chairman of the Indonesian Police, Head of Judicial Commission, and other state officer. However, it is clear that the selection process merely relied on the power of money rather than its qualification, where now people questions parliament members� integrity, morality and qualification.

Police Monitoring Weakness. Police duty performance is being complained by people for being contradictive with the rules and the need of justice. Complaints received by National Police Commission (�Kompolnas�) increased significantly from 2007 to 2009, from 597 complaints, 344 then 1.446, respectively. From 1.466, the complaints mostly related to poor service (1.151 claims), abuse of authority (239 claims), discrimination (48 claims), discretion (20), and corruption (8 claims). Poor service is related to prolonging cancellation of case, not willing to accept case, or not reporting case progress. Abuse of authority is related to oppression by police, wrongful arrest, wrongful detention, or wrongful search. Corruption is related to operational budget usage and possessing illegal wealth by the police. Discrimination occurred in giving privilege to particular person or case and abiding the poor. Wrong discretion occurred when police intentionally directing a non-criminal case to be measured by criminal procedure. Investigator unit is the most frequently reported in that claims (1.386), followed by traffic police (13), rookie (1), and other units (66). Bribery culture to higher authority resulted on several crime set-up conducted by the police, said Adnan Pandu Praja, member of Kompolnas. Police members are forced to �voluntarily� provide money to higher ranking-officer, such money are indirectly �paid� through criminal set up of persons, then accused the victim for committing crime, and black-mailed them to give amount of money for their freedom. Weakness in external monitoring, exercised by Kompolnas and internal monitoring by Security and Profession Division (�Propam�), leads to this problem, as indicated by three major issues, such as: (1) Claims from public to Kompolnas which directed to regional police monitoring inspectorate, is directed again to local police chief. Thus, any claims wouldn�t be continued by investigation, but only answered by the chief, (2) Misunderstanding concept of independency when Propam investigation towards investigator officer�s violation is considered as intervention of duty by investigator unit, and (3) Esprit des corps, misunderstanding where every officer misdemeanor shall automatically be regarded as spoiling police chief�s reputation. Hence, all violations will be kept to protect chief reputation.

Indonesian Government Finance Consultants to be European Government Consultant. The recent request of the Indonesian government finance consultants to foreign finance institutions (such as Spain and Portugal) was conveyed by the Indonesian Secretary of Finance to the World Bank Head of Delegation in Indonesia. The statement instead of an arrogant one, was triggered by the success story of Indonesian finance consultant to curb the ratio decrease to level 30% (October 2009) from 89% debt ratio to GNP (2000). Early in January 2010, the world was shocked by debt crisis potential in Europe. Public debt of 16 European Union members came to average of 84% of Gross National Product (�GNP�) in 2010, beyond the maximum 60% of GNP limit of public debt, according to Development and Stability Pact. Germany which known for its strictness to maintain fiscal stability has been suffered 78% of GNP rising on public debt this year. France public debt has attained 75.8% of GNP on III quarterly period of 2008, while Greece already in the level 120% of GNP in 2010 (Kompas, January 4, 2010). In Asia, Japan�s debt was estimated to reach 53.5 trillion yen, equal as US$ 597 billion, in undergoing budget period 1April 2009-31 March 2010, which already a record for this country.

[February 2010]

Corruption Eradication Commission (�KPK�) to investigate 15 High Rank Police Officers� Accounts. The said 15 account are in a big amount, suspicious and unusual, where in conducting the investigation, the KPK will join with Indonesian Police Head Quarters. This was a request response of the Indonesian Parliament Member from Democrat Faction, since the issue was rolled years ago towards the Police institution but not responded. The case was brought to public after Indonesia Transaction and Report Analysis Center (�PPATK�) found 15 officers and members of Indonesian Police possessing suspicious accounts.

Judicial Commission Found Court Mafia Tape. The court mafia evidences was taped by an advocate, where it was found various modus of court mafia, ranging from statement manipulation, judgement manipulation to evidences manipulation during trial, according to the Indonesian Judicial Commission chairman, Busyro Muqoddas. The same record also occurred at the Indonesian Office of the General Attorneys and Indonesian Police Institution.

CMC: 70% Candidates of Judges for Anti Corruption Court Are Not Recommended. The Indonesian Court Monitoring Coalition � CMC and the Coalition concerns are related to the un-transparent of the recruitment and selection process for the above matter. In spite of guarded by a number of the Coalition (the Indonesian Corruption Watch - ICW, Indonesian Transparency Society � MTI and the Indonesian Center of Law and Policy Study), the Judicial Court has set its own qualification, which do not put on priority candidate� skill and competency, integrity and clean track record, proper wealth, not affiliated with political party, and no direct interaction with corruptors. The Coalition found that among 79 candidates, 55 are not recommended since they do not pass the above Coalition�s proposed requirements.


~ 2009 ~

[December 2009]

The Coinage of Justice: Indonesian Prita Case Supporters Collect Coins. The collected Indonesian Rupiah coins reaching Rp400 million (USD 58,000) within 3 weeks by her supporters all over Indonesia, aimed to help her to pay the Rp204 million fines in civil trial at the Appeal Court of Banten. Prita, the defendant, is an Indonesian woman who was charged both for civil case and crime case for defamation, in respond to her wide spread email complaining the hospital medical mal practices, which was not well-settled by the hospital administration. Prita suffered her partial eye loss as a consequence of the said malpractice. The public merely see the trial as a �game� or hideaous trial performed by the local hospital in Banten Province (100 km west of Jakarta) and the local law officers of the court, the judge panel, the public prosecutors and the police, for the benefit of the hospital as a plaintiff. The �Coinage of Justice� is a symbol of an unjust trial, represent the urgency to reform the incapable and low integrity of the law personnel since no sufficient articles were charged, and no sufficient legal rationale were applied. The court initially dropped the charges based on article in the IT Law. Recently, the civil trial was dropped by the hospital through a reconciliation scheme involving the Indonesian Department of Health as mediator, but still the draft is seen to be unfair for Prita. However, the criminal trial, remain. Lately, it was found that most local government public officers enjoyed medical services from the said hospital, for free. In a different case at the same hospital, a mother of twins, give birth to two blind child as a result of mal practices, but her case was dropped by the police for the mother is capable for the blindness of the babies. Interestingly, a different opinion has been brought by a hospital in Australia confirming the mother herself is in a good health during delivery and no possible of eye loss may result.

Indonesia' forests 28% deforested. The Indonesian forest stakeholders met to seek synchronization between the local and central government of regulation suspected nit inconformity to the Law 41 year 1991 on Forestry and Law 18 year 2004 on Farm. It is noted that most local licenses are mislead due to law misunderstandings by the locals and local government official, such as farming licenes at forest area  indeed required minister of forestry in Jakarta, which is found covering 3,1 millions hectare of misuses. The total deforested area now reached 40 million hectares out of total 135,9 millions.

Smuggling, Increased in Number, Decrease in Loss. The Indonesian Minister of Finance announced the number of the attempts in 2009 increased 7 times compared to 2008, particularly cell phones smuggling. The success effort of the Indonesian customs has decreased the number of cases to 2093 (2009) from 2109 (2008), but in turn the potential loss increased almost double from Rp254 billion (2008) to Rp598 billion this year. For particular items such cell phones and its accessories, there are 85 cases with potential loss of Rp11 billion (2008), while the figure in 2009 is 141 (Rp75 billion) for textile is 82 (Rp3,1 billion) to 56 (Rp43.3 billion), respectively.

[November 2009]

Momentum for Self-Reflection of Public Law Enforcers. Following the publicly-broadcasted the notoriously bribery-conversation over the telephone of 4 hours and 30 minutes between a number of high rank police officers, officers of general attorney and businessmen as tapped by the KPK mid 2009, public is hailed to rage and brought all those officers and institutions at the lowest trust as the conversations indicated strong evidences of a corrupt police and the AGO including a scenario to tear down two deputies of KPK. The breakthrough at the Indonesian Constitutional Court to publicly heard the recording held  numerous comments from law academics and reformist says that it is the right time to make self-reflection for reformation at those law public enforcers, not only of institution reform, but also to speed up  corruption extermination. Since 1999, corruption extermination has been supported by 5 laws and 13 regulations, 3 laws as legal basis for each police institutions and AGO, is seen more than sufficient to establish a good governance in Indonesia. The police institution in particular, has been at the lowest public trust and disgrace so far, for its reformation is seen merely only at structural levels instead of cultural reform, according to a law professor at a state law school. Whilst transparent recruitment and merit system for a new police member must be implemented accordingly to secure and to assure that the best persons are recruited, in spite of to increase its welfare, which other law academics sees welfare increase is irrelevant. Public urge to conduct total reform accordingly, to avoid street mass rage, which is now clearly seen, as well as 1,3 millions Indonesians facebookers supports toward the legal settlement of the current bribery by the said Indonesian-Chinese businessmen Anggoro Widjoyo and Anggodo Widjojo toward the police and AGO, and further the police and AGO grand scenario to disfunction and authority dismantle of KPK.

Ex Head of Banten High Attorney Office Found Guilty For Arresting Prita The Indonesian Attorney General Office Inspector found guilty 3 of the 7 public attorneys involved in the of Ms. Prita Mulyasari case, for the disciplinary violation during the arrest and detain. The said 7 public attorneys are; Ex Head of Banten High Attorney Office Dondy K Sudirman, the Head-Section of Prosecution Raharjo, the Document Examiner Attorney Rachmawati, the Head-Section of General Criminal Act of Tangerang Second Instance Office M Irfan Jaya, the Assistant of General Criminal Act of Banten Second Instance Office Office Indra Gunawan, Chairman of Tangerang Second Instance Office Suyono, and the Court registrar Riyadi. Raharjo and Rachmawati found guilty for ordering the return of case documents by violating the procedure, while Dondy found guilty for issuing arrest order of Prita without a consideration to the condition of the suspect, Prita who is a mother to a child/baby at that moment.s

[October 2009]

The General Attorney Office to Fix The Recruitment System. Recruitment system in the Attorney General Office (AGO) are still considered flaw. The office plans to revise the attorney candidate requirement, such as irrelevant requirement of body heights, a regulation effective in 2007 in simplification and a system point on the principle of transparency, accountability, and public interest. The selection committee must be clean to make sure the regulations are well enforced and to avoid corruption.

[September 2009]

Increase of Public Satisfaction Level on Susilo Bambang Yudhoyono� Administrator Performances; The survey by Lembaga Survei Indonesia (LSI) on 18-28 July 2009, was held randomly to 1.270 respondents all around Indonesia. On the national security and public order issues, only 55% respondent gave positive response (July 2009), as to compare to 67% (May 2009), which may caused by the bombing incident 17 July 2009. On the Economics and educations issues, there is an increase to 59% (July 2009) as to compare to 29% (September 2008). On the war against corruption, 84% (July 2009) are satisfied as to compare to  only 45% (September 2007), and particular 84%. respondents agreed that the government is capable on eradicating corruption. In general, 85% of the public are satisfied with SBY�s performance as president, while only 63% satisfy with Jusuf Kalla (JK) performances as Vice President.

Public are satisfied with Susilo Bambang Yudhoyono� performance as President of the Republic of Indonesia. Based on the survey conduct by Indo Barometer, Susilo Bambang Yudhoyono (SBY)�s performances are even better then the performances of vice president, Jusuf Kalla (JK) and the parliament. In general, the public satisfaction reaches 90.4%, while for JK is 67%. Meanwhile, the satisfaction for the parliament performance on 2004-2009 periods reaches 51.4%. Public are satisfied with SBY�s performance on politics and law enforcement sectors, as his policies on these sectors considered better then the previous administrator. The public satisfaction on politics policy reach 88.9%, 88% for law enforcement, 85.4% in social sector, 81,9% in security, 78,8% for foreign affairs, and 76.2% for economy.

[August 2009]

Transparency Indonesia Poll 2008: Indonesian Police the Most Corrupt Institution. The survey held in 2008 along the year 2008 of 3.841 respondents (2.371 business stakeholders, 1,074 public servants and 396 public figure) at 50 cities of 33 provincial and 17 big cities shows that, out of 1.218 interaction, 48% deals with bribery to the police at the amount approximately of Rp 2,273,000 each. The second most corrupt is the office of custom. where out of 423 interactions, 41% deals with bribe at the amount of Rp3,272,000 each. The third is the Immigration Office with 353 interactions, where 34% deals with bribe at the amount of Rp 2,802,000 each. The court rank to 8 out of 15 government institution but rank the first in the amount of bribe. where 204 interactions, 30% deals with bribe at the amount of Rp 102,412,000 each. In the scope of area, Yogyakarta listed the lowest corrupt city with Perception Corruption Index of 6,43, followed by Palangkaraya (6,1), Banda Aceh (5,87), Jambi (5,57) and Mataram (5,41). The most corrupt city are Kupang ((2,97), Tegal (3,32), Manokwari (3,39), Kendari (3,43) and Purwokerto..

[July 2009]

KPK Lead, a Picture of Bad Performance of AGO. The statement was addressed by the Chief of High Court at West Java, whereas most corruption cases are taken over from the AGO by the KPK and succeeded to resolve it. He added, that the public attorney performance shall not merely judged by its intelligence, but also their professionalism and punctuality in solving cases. Again, He firmly emphasized to everyone in the institution should not take any form of bribe related to cases under investigation, a statement earlier addressed by the General Attorney Hendarman Supandji.

Legal note: good governance through government reformation has seriously  been the agenda and adopted by the current administration of President Susilo Bambang Yudhoyono since he took the seat in 2004. Such pressure are from various and large stakeholders in the community. The people judged the performance through recruitment mechanism, where transparency is a must and must free from nepotism and collusion, as been performed by the KPK, Department of Foreign Affairs, Department of Finance, Judicial Committee, Anti Monopoly Commission,  and most Commission, where good result is seen through its excellent performance as a public service. However, such program become slip service agenda only at the AGO and other government judicial instruments, including the police institution.

[June 2009]

Corruption Survey at the Indonesian Parliament and Judicial Insitution: Transparency International Indonesia (TII). The TII Survey on behalf of Gallup International placed both the above Indonesian institutions as the most corrupt Institution. The Survey was held in between 11-20 November 2008 with 500 respondents on the age of 16 and above, where 300 of the respondents are in Jakarta while the rest are in Surabaya. This survey was also held in 69 countries. The object in this survey are political parties, public services, Parliament, private sector, judicial institution, and media. Score 1 are given to the institution without corruption and 5 are given to the most corrupt institution. The survey results are: Parliament (4.4), judicial institution (4.1), political party and public service (4.0), private sector (3.2), and the last one media (2.3). The parliament score is up 0.3 from 2007, while the judicial institution score remain steady.

[May 2009]

Jakarta and West Java are on the Top List the Most Corrupted Provinces. The research conduct by Indonesia Corruption Watch (ICW) based on the data from the Attorney General Office - AGO, the Indonesian Finance Supervisory Body- BPK, media, and public report, in 2008 there were 275 corruption cases found in 9 provinces, with potential Rp. 18,72 billion state loss. Those nine provinces are Jakarta, Banten, West Java (both next to Jakarta), Central Celebes, West Sumatra, Central Java, East Java, West Nusa Tenggara, and East Nusa Tenggara. The corruption cases are mostly in the government sector (111 cases), in infrastructure sector (50 cases), and education sector (36 cases). From an institution side, the executive is the most corrupted with 275 cases, private company (27), and legislative (17). Actors on the corruption cases mostly are the executive (403 persons), legislative body (127), and private company (122). The biggest state loss potential are in the banking sector (Rp. 9.49 billion), government sector (Rp. 2.9 billion), and infrastructure (Rp. 1.1 billion). The biggest state loss is Rp. 9 billion from the central bank, Rp. 8.5 billion from the executive, and Rp. 572 billion from the state enterprise.

The Promotion of 8 General Attorney officers are Legally Flawed. The said promotions are clear in contrary to the Attorney General Rule No: Per-065/A/JA/07/2007, where the 8 do not meet the minimum requirement to serve at least for 25 years (article 14), according to the Indonesian Corruption Watch (ICW). Integrity, like in most cases in government official recruitment is also another issue, as one of the promoted public attorneys is a former head of West Jakarta Attorney office whose been given a mid-level discipline sanction, who deserve a recall. The promotion process of the 8 is considered breach the law, conducted unfairly, untransparent and not in the right time, completely raise suspicion that the AGO is not serious in reforming its department. The following are the said 8 controversial officers:  (1) Budiman Raharjo Bali head of attorney office, with work span 23 years. (2) ST Burhanuddin north Moluccas head of attorney office (22 years), (3) Widyo Pramono Papua's head of attorney office (23 years), (4) M Jasman Panjaitan the General Attorney Office Head of Information Centre (20 years), (5) Dimas Sukadis the General Attorney Office Head of general affairs Biro (23 years), (6) Jhoni Ginting the General Attorney Office Head of Legal Biro (19 years), (7) Sugiyanto the General Attorney Office Director of Private legal subject (23 years), and (8) Muhammad Salim the General Attorney special staff (23 years).

[April 2009]

9 Anti Corruption appointed Judges are Legally Flawed. The appointment of nine judges to  replace six anti-corruption court judges by the Supreme Court, is considered legally flawed by the Indonesian Corruption Watch (ICW). The major problem was the non-existence of transparency and participative principles as stipulated  under article 56 paragraph 4 Law 30 year 2002 on Commission Corruption Eradication, since it  never got through media publication process to get public responses and suggestions. It was found the appointment was conducted on close mechanism, where the Supreme Court gained 13 judge candidates, finally reduce to 9, only by the personal consideration by the Chairman of North Jakarta Court. ICW also in doubt the integrity of 6 from those 9 anti corruption court judge candidates for they have a track record on releasing the corruption case suspects, where as a result may ruin public trust on the anti corruption court. The 9 controversial judges are: Tjokorda Rai, Reno Listowo, FX Jiwo Santoso, Herdi Agusten, Syarifuddin Umar, Jupriyadi, Subachran, Nani Indrawati, dan Panusunan Harahap. The following 6 are: (1) Judge Panusunan Harahap and Reno Listowo Direktur who release Sumita Tobing, ex Indonesian National Television (TVRI) director, on Rp 5,2 billion TVRI corruption case. (2) Judge FX Jiwo Santoso who release Amelia Yani and others on Koperasi Tirtayani Utama Yogyakarta corruption case. (3) Judge Subachran who release 4 of the Blora Province Parliament leaders on the Rp 1,4 billion 2003 province income and expense budget corruption case. (4) Judge Jupriyadi who releases six suspects on the corruption case of The Department of Workforce and Transmigration and the selling of state land in Batanghari, Jambi province. (5) Judge Syafruddin Umar who release 36 corruption case suspects.

Corruption Extermination Update. At the Ministry for Development of Underdeveloped Districts (PDT), a case in 2007 was then investigated following strong indication of corruption by 5 suspects, where the corruption lead to a certain deviation in the procurement of digital map, the use of experts, and the survey implementation. The 5 suspects are Ook Herumani (Project Officer of PT Tri Manunggal Pratyaksa), Hary Iskadejanto (President Director of PT Endogeotic Vision), Ahmad Firdaus Ariyanto (Project Officer), Mangatas Siahaan (Project Manager of PT Lantera Cipta Nusa or PT Trivan Rosita Utama Director), and Partono (PDT official). All are involved in the preparation of spatial statistic information on natural resources in the underdeveloped district regency to developing the local economy in the region of Maluku, Maluku Utara, Papua, and West Irian, Celebes and Nusa Tenggara, Sumatera, Java, Bali, and Borneo. An Indonesian Governor of Gorontalo is also involved in corruption case of Provincial Budget 2001, due to mobilization fund of 45 member of parliament, an action prohibited by the Anti Corruption Law 1999. A number of Attorney General Office staffs was also found directly involved in a smuggling of 10 containers loaded with Blackberry devices and Drugs through providing special importer� lane at the Tanjung Priok Harbour of Jakarta, as police and the customs had earlier secured the said 10 containers. While, another 3 public prosecutors from North Jakarta Attorney Office was responsible for the missing of 300 ecstasy part of evidences at the North Jakarta Court part of a criminal case. The three are now investigated at the police office. While Artalyta Suryani, finally spend her 5 years following the rejection by the Higher Court and the Supreme Court of her appeal for bribery of USD 5 millions to Urip Tri Gunawan (one of the 60 best Indonesian attorney appointed by the Chairman of AGO for BLBI case). Artalyta, is also known to be the right hand of an Indonesian tycoon fugitive who now stays in Singapore. Urip himself was sentenced for 10 years.  Valyana, a Indonesian business partner of a private company, finally sentenced for 4 year in prison plus Rp400 million fines plus an obligation to return state loss, a case for manipulating the government project at the Department of Manpower and Transmigration, involving Bachrun Effendi, The Directorate General Secretary of Domestic Workforce Development and Placement, and the project officer, Taswin Zein. This case has inflicting a state loss up to Rp. 1,96 billion, a number already confiscated by the court. The same story is at the Health Department, where a private partner of a business entity PT Rifa Jaya was involved in the procurement project of health equipment valued at Rp 190,5 billion in 2003 which indicates state loss at  Rp 71 billion. In this case KPK confirmed the suspects in this case are the former President Director of Kimia Farma Gunawan Pranoto, and the President Director of PT Rifa Jaya Mulia, Rinaldi Yusuf. At the Indonesian Consular Office in Kinabalu, Malaysia, 4 officers (2 are at the immigration section) was sentenced various 2, 6 and 3 years imprisonment for being involved in the implementation of double tariff corruption case charged towards Indonesian Migrant Workers. The four defendants are the Kinabalu Consulate General Arifin Hamzah, Radite Edyatmo Head of Consular Economic, Information, Social, and Culture Division at the Kinabalu Consulate General, Nugraha the Kinabalu Immigration Consul in Kuching, and Kamso Simatupang the Kinabalu Immigration Consul in Tawau.

[March 2009]

US$ 104 Million Corruption Money, Recovered. The figure recovered by KPK at the current amount of US$ 68 million  already returned to the state account, plus US$ 36 million remain at the private account but will officially handed over by the end of March. The Department of Energy And Mineral Resources will be responsible in coordinating the money restitution from private sector to government. On the issue of the allocation of 80% remuneration to government officials in several departments, KPK has asked the government that such supporting funds should be on performance-base by the public servants, and suggested it to be applied to law enforcer officials such as police department and state attorneys, to prevent them from bribe-prone. On a different case, KPK pointed out on the state official real estate saving funds at Rp 6 trillion since 1993, such funds must be managed as a loan funds for state official to build house for government officers. The KPK Chairman stated that, �it doesn�t make any sense why should a state official borrow their own money to build their house�. KPK ask the government to straightly use that money to build houses or apartment for the state official. So far KPK has its additional technical authority to suggest allocation of state funds of funds being recovered from Indonesian corruptors. 

Government Departments Slashed Down: A  Suggestion. The suggestion is based on the incomparable and inefficient of state budget to its outcome, performance and result of the said departments, such as the Department of Women Empowerment. The said department is perceived as very low and useless. In most developed countries, there are less than 20 departments only, where in Indonesia reached total 34 Ministries (of 21 Departments, 10 Coordinating Ministries and 3 State Ministries). The over capacity of departments and ministries are also seen merely as power consensus between political parties and the incumbent to maintain their existence and political presence. As part of the idea, the minister Government Officer Empowerment also emphasize to change the structure but most importantly is to change the mindset of the government officer from being the 'power holder' into 'people servant', from 'the authority' to 'take the role'.

Legal Notes: Since the power shift of reformation in 1998, numerous attempt to change the mindset of government officers has been implemented, from compulsory of annual wealth report, taxation, fair and transparent recruitment, merit systems, to signing of pact of integrity, but only small progress been made. So far, a number department since 2004 has been a pilot project where success implementation has find its result trough fair, competitive, and transparent recruitment at the Central Bank, Department of Foreign Affairs, Department of Finance, KPK, the Judicial Committee, and the Constitutional Court. The said institutions has outperformed other departments, where the qualified, the best and the brightest staffs are those who took the seat, and enjoyed better salaries and privileges, including the pride of the right attitude to serve and to work hard. Most importantly are their willing to listen and to act.

[February 2009]

Indonesian Commission on Corruption Eradication (KPK) and Indonesian State Auditor (BPK) Found Mismanagement of Foreign Loan. KPK and BPK will investigate The Indonesian National Economy Planning and Development Body (BAPPENAS), The Central Bank (BI), Department of Finance (Depkeu), and other state enterprises due to mis-utilization of those foreign loans. According to KPK, the number from Department of finance record reached Rp 450 trillion, while the Central bank verse shows Rp 443 trillion. According to BPK, from 1967 to 2005 only 44% of the foreign loan used appropriately, while the other 56% is used unclearly. KPK will then check whether these falls into legal issue or administration fault. BPK wish to have a clearer versions due growing numbers of loan repayment.

KPK Survey: Low Integrity on Public Servant for Service of ID Card (KTP), Trade Business License (SIUP), Building License (IMB), and in Drinking Water Company in the Greater Area of Jakarta. The average score for Jakarta on those components are 6,24 from 10 as the maximum score, which is one of the 15 city with the worst public service integrity, according to a Deputy of KPK. This survey held in 52 cities in 20 province and involving 6.240 respondents for the whole year 2008. Mostly, KPK still indicate different performance on providing public services including in the Greater Area of Jakarta. 31% respondents found difficulties if no bribe is given, since its attitude are also a problematic since they perceive bribery serve as  a thanks gift (54%), and as extra smoothing money to smooth the services (22%). Jakarta due to KPK� Deputy, Jakarta is also considered effort-poor to prevent corruption practices. 60% of the respondents never saw any anti-corruption campaign in any public services unit. 17% of the respondents also said that it is difficult to submit any complain to the related civil administration authority.


[January 2009]

Polls: Police Bribed Frequently, Corruption Eradication Commission (KPK) Will Supervise Police Department. Police Department stands in the first place as the most-bribed institution according Transparency International Indonesia (TII) polling verse. KPK Deputy Director on Actions Division further said that KPK will immediately enter the domain of Police Department to supervise it. The TII survey on 15 Government institutions has put Police Department in the 1st rank, which out of 1.218 respondents, 48 percent businessman admit that they have ever bribe a police. The Customs Office is in the 2nd place. 41 percent from 423 respondents admit that they have ever blackmailed by the Customs Office. The total amount of those blackmail money from this institution have reaches Rp 327 million. In the next position in a row there is Immigration Office, Highway and Traffic Department (DLLAJR), City Administrator, National Defense, and PERLINDO. The most interesting case is the Justice Institution. Even though there are only 30 percent from 204 respondents admiting that they have ever blackmailed by this institution, but the total amount of this blackmail money is fantastic, reaching Rp 102, 4 million. KPK gave its appreciation for survey conducted by TII on public service, which is line with 2009 KPK�s priority to emphasize on the public services. KPK will utilize the TII survey, where the survey shows community perception on public services. 

Tracking down �Unconfirmed Illegal Bank Account�. Corruption Eradication Commission (KPK) formed �Wild Team�. According to KPK Chairman Antasari Azhar at the Presidential Office, the �wild/Illegal accounts� held by number of departments/government agencies, will be investigated next week. The Wild Team led by one of KPK�s deputies, Ade Raharja, will then cooperate with Central Bank (BI), a team from the department of minister of finance, and a team from PPATK (The Center of Report and finance analysis). However, KPK have not decidied whether they will cooperate with the Police Department or the Attorney Generals Office, because the core of this team is KPK. The Wild Team has initially finished the investigation planning, and found that preliminary fact the presence of those illegal accounts, there are some of those accounts that has been closed while there is not clear where did the money gone to. One of those suspected illegal accounts is the account for �Dana Abadi Umat� which is held by The Department of Religion, where there is still a debate on it, because there was a legal standing for those type of financial but then it was erased.               Earlier this January, the Finance Ministry handed to the KPK more than 260 bank accounts belongs to four ministries and two state institutions. The illegal accounts which comprise of Rp 314.2 billion (US$29 million) and US$11 million belong to the Supreme Court (100 bank accounts), the Ministry of Justice and Human Rights (66), to the Domestic Affairs Ministry (36), Agriculture Ministry (32), the Manpower and Transmigration Ministry (21) and BPMigas (2).


�Mischievous� Judges Get Punished. 17 Judges at a number of District Court and Religious Court all over Indonesia are punished by the Supreme Court (MA) for conducting �mischievous� acts, violating the laws during duty as law enforcer. Some of those judges are the head of the District or Religious Court. Djoko Sarwoko a Deputy Head of Supervision Organ of Supreme Court and also as the spokesman for the MA explained that, these punishments is only as a supervision result conduct for the last three months (October-December 2008), however the statistic shows at the supervision result for the whole year 2008, there are around 60 judges who had been sanctioned. Djoko stated that the punishment for those 17 judges varies from light to strong punishment, some are rank descending or prohibition to judge in any cases in a future. However, no suspension or dismissal punishment applies, since the procedure provides such kind of punishment for judges shall be brought to the Judge Council of Honor at the first instance. At the lower level of Court� Cleric, three persons was punished in the last three months, one of them is a Secretary Clerk of The Court and the other two is a Young Clerk of The Court official. In the structural level, four officials have been punished. There are also and six Replacement Clerk of The Court who was  punished. Further, seven administrative staffs and one bailiff in the district court who have entered the list of punishment recommendation. In the meantime, The Supreme Court will form a special team to investigate corruption cases in Supreme Court. The team will be formed with fifteen Supreme Judges as its members and under the coordination of The Head of Special Criminal Unit.

Indonesian President� Approval for 127 Territorial Chief to be Investigated for Corruption. The 127 covers Governor, Mayor, or Regent, involved in several cases, especially corruption according to the President� Special Staff for Public Complain. The said approval has been confirmed by the Inferior Staff of Attorney General Office for Special Crime. The first case will be Gorontalo�s Governor and Bengkulu�s Governor, both suspected for corruption case of provincial revenue and budget utilization. Based on media record on 2005, the Head of Gorontalo Province Parliament is brought to justice related the to Rp. 5,4 billion amount corruption case of the abovementioned provincial revenue and budget utlization. Both chairman of the parliament (the legislative) and the Governor (the executive) are suspected in the drafting regulation so-called �Joint Decision Letter� (SKB) No. 112 on 2002 and No. 16 on 2002, which denies Parliamentary Meeting, violating the superior regulation the Province Parliament Act no 3 on 2001 on  Law and Discipline. Indonesian President Susilo Bambang Yudhoyono said, that any wrongfully and illegal act, be it in central or territory, must  obey the law and be discipline. He added, �One who (legally) must be in the prison will be imprisoned, do not be permissive, and be tough�, The source of corruption and collusion which is mostly untouchable is in the supply of goods and services sector either for department, ministry, and other state agencies. The form of corruption which is occurring mostly is mark-up in budgeting. �This is a disease, No one is Immune to Law in this country,� said the President.


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