Lessons Learned From Benny and Heru’s Verdict

TANGKAPAN LAYAR/KOMPAS/NORBERTUS ARYA DWIANGGA MARTIAR

Head of the Attorney General\'s Office for Legal Information Center Leonard Eben Ezer Simanjuntak at an online press conference, Wednesday (25/8/2021).

The Attorney General\'s Office (AGO) has enforced Benny Tjokrosaputro and Heru Hidayat’s life sentence for their involvement in money laundering and corruption pertaining to state insurer PT Asuransi Jiwasraya.

JAKARTA, KOMPAS — The Supreme Court upheld a verdict handed down by the Jakarta Corruption Court that sentenced both Benny Tjokrosaputro, who served as the president director of PT Hanson International, and Heru Hidayat, the president commissioner of publicly listed mining company PT Trada Alam Minera, to life in prison for corruption and money laundering. The case, pertaining to state insurer PT Asuransi Jiwasraya, is expected to serve as a sign that the insurance industry will recover, be more professional and prudent.

Both rulings for Benny’s and Heru’s cassation appeal were handed down by the same panel of judges, which is led by Judge Suhadi, who chairs the Supreme Court’s criminal chamber and consisted of Eddy Army and Ansori. The ruling for Heru’s cassation appeal was handed down on 24 August, while Benny’s was on 21 August.

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Heru and Benny are also still standing trial in a money laundering and corruption case pertaining to the management of finance and investment funds at state-owned social insurance firm Asabri.

Following the Court’s ruling, AGO spokesman Leonard Eben Ezer Simanjuntak said in a press statement on Wednesday (25/8/2021) that the Central Jakarta Prosecutor\'s Office had received six excerpts of the Supreme Court’s rulings in the Jiwasraya case. The six excerpts are for Heru’s life sentence, former Jiwasraya financial director Hari Prasetyo’s 20-year prison sentence, former Jiwasraya president director Hendrisman Rahim’s 20-year prison sentence, Benny’s life sentence, former Jiwasraya finance and investment division head Syahmirwan’s 18-year sentence and PT Maxima Integra director Joko Hartono Tirto’s 20-year prison sentence.

Kompas/Heru Sri Kumoro

President Director of PT Hanson Internasional Benny Tjokrosaputro (wearing a vest, left) and President Commissioner of PT Trada Alam Minera Heru Hidayat leave the Corruption Eradication Commission (KPK) Building after being examined by the Investigation Team of the Attorney General\'s Office (AGO), Tuesday (9/6/2020). Both are defendants in the alleged corruption case of PT Asuransi Jiwasraya and the Crime of Money Laundering (TPPU). This examination is part of the development of the alleged corruption case at PT Asuransi Jiwasraya.

Leonard said the proceeding took place from Wednesday afternoon to the evening. The convicts will serve their sentences at the Cipinang and Salemba penitentiaries.

“If there is an extraordinary legal action in the form of a judicial review, which may later be submitted by the convicts of their legal team, it does not delay the prosecutors’ execution of the ruling,” Leonard said.

Muchtar Arifin and Kresna Hutauruk, Benny’s and Heru’s lawyers, respectively, said they were disappointed with the result of their client’s cassation appeal.

“We are waiting for a copy of the decision from the Supreme Court to then be studied and discussed with our client to decide our next step. In our opinion, the decision is not based on the truth and justice,” Muchtar said.

Lessons learned

Indonesian Insurance Council (DAI) supervisory board chairman Hotbonar Sinaga said the legal force against the convicts in the Jiwasraya case should be used by the insurance industry as a wake-up call to improve. The case is expected to be a valuable lesson for related stakeholders, such as insurance companies and financial service companies, to prioritize the principles of prudence and professionalism in running their business.

“Insurance companies, therefore, must be more careful in managing their business. That means not creating high-risk insurance products. Of course, caution is needed from the company’s management,” Hotbonar said.

Their actions had cost the government at least Rp 16 trillion (US$1.1 billion) in state losses.

The Jakarta Corruption Court on 26 October 2020 sentenced Benny and Heru to life in prison. They are sentenced for their involvement in a corruption case pertaining to state insurer PT Asuransi Jiwasraya along with Hendrisman, Hary, Syahmirwan and Joko. Their actions had cost the government at least Rp 16 trillion (US$1.1 billion) in state losses.

The panel of judges ordered them to jointly pay Rp 16.79 trillion to cover the state losses. Benny was ordered to pay Rp 6 trillion, while Hery had to pay Rp 10.7 trillion.

KOMPAS/NORBERTUS ARYA DWIANGGA MARTIAR

Wreath related to the Jiwasraya Insurance case arranged in front of the Central Jakarta District Court, Wednesday (10/6/2020).

The court also sentenced Hendrisman, Hary, Syahwirman and Joko to life in prison. However, only the verdicts of Benny and Hery were upheld by the Jakarta High Court, while the sentences of the other defendants were reduces. (DEA/ANA/NAD/BKY)

(This article was translated by Camilia Adianti).