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Today's Headlines Corruption

  • Wiretapping Scandal Cools Relations between Indonesia and Australia

    Relations between Indonesia and Australia have cooled considerably after it became known that Australia's Intelligence Service agency tried to follow telephone conversations of various high positioned Indonesian politicians as well as their inner circle, including President Susilo Bambang Yudhoyono, his wife Kristiani Herawati and vice-president Boediono, for 15 days in August 2009. This information became known a few days ago due to leaked documents by whistleblower Edward Snowden.

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  • World Bank: Indonesia Improves in the 'Doing Business 2014' Ranking

    On Friday (25/10), the World Bank released its 'Doing Business 2014' report in which it "ranks countries on their overall 'ease of doing business', and analyzes reforms to business regulation - identifying which economies are strengthening their business environment the most." In total 189 countries were analyzed. Indonesia, traditionally characterized by a complex and difficult investment environment, managed to climb 8 places in the ranking. Southeast Asia’s largest economy rose from number 128 to 120 in the 2014 edition.

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  • Another High Profile Corruption Case in Indonesia's Judiciary: Akil Mochtar

    Indonesia's credentials in terms of corruption eradication received another blow when Akil Mochtar, the chief justice of Indonesia's Constitutional Court (Mahkamah Konstitusi), was detained by the country's Corruption Eradication Commission (KPK) on Wednesday evening (02/10). Allegedly, Mochtar accepted a bribe to influence the court's ruling on the Gunung Mas election dispute in Central Kalimantan. In this regional election, Hambit Bintih (together with Arton S. Dohong) was re-elected as district head of Gunung Mas.

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  • Survey Indicates Declining Popularity of Yudhoyono's Democratic Party

    According to a new survey, the Democratic Party (Partai Demokrat), the political vehicle of president Susilo Bambang Yudhoyono, is increasingly losing popular support. The survey indicates that currently only 7.1 percent of respondents will vote for the Democratic Party in next year's legislative elections. The survey was conducted by the Center for Strategic and International Studies (CSIS) and involved 1,635 respondents from 31 provinces. In combination with results of earlier surveys in the last 12 months, it shows declining support for the party.

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  • Chairman of Yudhoyono's Democratic Party Named Suspect in Corruption Case

    Although it has been in the air for a while, the Corruption Eradication Commission (KPK) finally named Anas Urbaningrum, chairman of president Susilo Bambang Yudhoyono's Democratic Party (PD), a suspect in the Hambalang corruption case. This case, in which Anas is charged with accepting a bribe to ensure a contract, is the last in a series of blows to the Democratic Party, which has seen its popularity erode drastically in recent months.

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  • Governor of Riau Declared a Suspect in Pekanbaru Corruption Case

    Today, the governor of the Riau province (on Sumatra), Rusli Zainal, was officially declared a suspect by the Corruption Eradication Board (KPK). Zainal is accused of taking bribes from the management of state-controlled Adhi Karya, a construction company, in exchange for a contract to build facilities for last year's National Games in Pekanbaru, the capital city of Riau. The KPK stated that they found convincing evidence to underpin its allegation.

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  • Beef Import Scandal Might Involve More PKS Members

    The corruption scandal which led to the resignation last week of Luthfi Hasan Ishak, chairman of the Prosperous Justice Party (PKS) - Indonesia's fourth-largest political party - is likely to make more victims in the party, and will put the Muslim-party in a negative light. The Corruption Eradication Commission (KPK) stated that the corruption scandal might involve more people within the PKS, including the party’s new chairman, Anis Matta and Agriculture minister Suswono.

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  • Continued Emergence of Scandals Undermines Trust in Indonesian Politics

    Today, most Indonesian newspapers opened with negative headlines concerning the country's political arena. In Indonesian politics, scandals - whether connected to corruption or other issues - are frequently reported and seriously undermine people's (both domestic and foreign) confidence in the nation's governance. In today's newspapers, three cases were center of attention and illustrate the problems within Indonesia's political elite.

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Latest Columns Corruption

  • Expat’s Perspective on Indonesian Bureaucracy & Police Practices: Arranging a Driver’s License & Vehicle Registration

    An Expat’s Perspective on Indonesian Bureaucracy and Police Practices: Arranging a Driver’s License and Vehicle Registration Certificate (STNK)

    Throughout my life in Indonesia I have noticed that when dealing with government institutions, for example when arranging a residence permit (KITAS/KITAP), a work permit (IMTA) or a building permit (IMB), there are two options: (1) do everything according to official guidelines (based on laws, regulations, and policies) but expect to see a delay, or (2) pay a higher price at the start but ‘get things done quickly’.

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  • The Role of State-Owned Enterprises in the Indonesian Economy

    One characteristic of the Indonesian economy is that the state-owned enterprises (SOEs) play an important role in this USD $1.0 trillion economy. They not only play an important role because some of them rank among Indonesia’s biggest companies (in terms of profit, sales and assets), thereby generating plenty of money for the government (in the form of tax revenue or dividend) while at the same time creating jobs for millions of Indonesians.

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  • Corruption & Property: Where Did it Go Wrong for the Meikarta Project?

    Those consumers and investors who purchased one or more apartment units in the Meikarta megacity project in Bekasi (West Java) are currently facing uncertain times. A new corruption scandal has put the future of the Meikarta project in jeopardy and therefore those who have already bought a Meikarta apartment fear that their money and apartment unit is lost. Those who are still making monthly mortgage payments to the bank, are confused whether they need to continue these payments (hence risking losing more money) or stop the monthly payment.

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  • Rise of Indonesia in Corruption Perceptions Index Stagnates

    Although Indonesia's score was unchanged, the nation's ranking fell in the latest Corruption Perceptions Index, compiled by Berlin-based Transparency International. In the 2017 edition, Southeast Asia's largest economy Indonesia ranks 96th, down from 90th in last year's edition. The index, which ranks 180 countries and territories by their perceived levels of public sector corruption (based on input from experts and businessmen), uses a scale from 0.0 (highly corrupt) to 1.0 (very clean).

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  • Corruption in Indonesia: DPR the Most Corrupt Government Institution

    The latest survey of Berlin-based Transparency International confirms that Indonesia's House of Representatives (DPR) is perceived - among Indonesians - as the most corrupt institution in the country. This outcome is no surprise because the DPR, the elected national legislative assembly that draws up and passes laws and budgets as well as monitors the performance of the government, has for long been perceived by the Indonesian people as the most corrupt institution within the country.

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  • Emirsyah Satar, Soetikno Soedardjo Named in Rolls Royce Scandal

    After Emirsyah Satar, Indonesia's Corruption Eradication Commission (KPK) has also named Soetikno Soedardjo a suspect in the same multinational bribery case. On Thursday (19/01) it became breaking headline news in Indonesia when the KPK announced that former Garuda Indonesia Chief Executive (2005-2014) Emirsyah Satar was named suspect of received a bribe in the procurement (by Garuda Indonesia) of aircraft and aircraft engines from Airbus and Rolls-Royce. Satar currently servers as Chairman of Indonesian conglomerate Lippo Group's e-commerce platform MatahariMall.com.

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  • Corruption in Indonesia: Agung Podomoro Land Bribery Case

    Indonesia's Corruption Eradication Commission (abbreviated KPK) is satisfied with the decision of the Jakarta Corruption Court (Tipikor) to sentence Ariesman Widjaja, former General Director of Agung Podomoro Land, to three years in prison and IDR 200 million (approx. USD $15,300) in fines (or three additional months inmprisonment). Although prosecutors demanded a four year prison sentence and IDR 250 million in fines, the decision of the court is acceptable according to Indonesia's anti-corruption watchdog.

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