President Jokowi instructed a thorough investigation into the alleged irregularities in the issuance of export permits for crude palm oil and its derivative products. All implicated parties would need to be revealed.
By
Kompas Team
·4 minutes read
KOMPAS/ SYAHNAN RANGKUTI
Illustration. Export of PT Perkebunan Nusantara III CPO from Dumai Port, Riau on (23/9/2018).
JAKARTA, KOMPAS - The attorney general's office (AGO) will expand the investigations into cases of alleged irregularities in the issuance of export permits for crude palm oil (CPO) and its derivative products with as many as 88 companies on the probe list over their alleged violation against licensing regulations.
A team of AGO’s investigators questioned three witnesses on Wednesday (20/4/2022) in relation to their alleged part in issuing the export licenses of CPO and its derivative products. They were PT Incasi Raya’s sales manager AAA, PT Synergy Oil Nusantara’s supply chain manager BR and Trade Ministry’s director for export of agricultural and forestry products FA.
They were questioned as witnesses following the announcement of four suspects by the AGO on Tuesday (19/4). They were Trade Ministry’s director general of foreign trade Indrasari Wisnu Wardhana, PT Wilmar Nabati Indonesia Master’s commissioner Parulian Tumanggor, Permata Hijau Group’s senior manager of corporate affairs Stanley MA and PT Musim Mas’ general affairs manager Picare Togare Sitanggang.
AGO’s junior attorney for special crimes (jampidsus) Febrie Adriansyah said on Wednesday that they would examine several officials at the Trade Ministry suspected of having knowledge of approving the issuance of CPO and its derivative products’ export permits. He also did not rule out inviting Trade Minister M. Lutfi for questioning. "Anyone related to the investigation will be examined. That’s for sure," he said.
In Sumenep, East Java, President Joko “Jokowi” Widodo instructed a thorough investigation into the alleged irregularities in the issuance of export permits for crude palm oil and its derivative products. All implicated parties would need to be revealed because they made the people suffer, he said.
88 companies on probe list
According to Febrie, it is possible for AGO to detain more suspects in the case given the fact that between January and March, there were 88 companies receiving export permits for CPO products and its derivatives.
"So, we will look into the 88 companies, as to whether they fulfilled the DMO (domestic market obligation) for being granted export permits,” he said, adding that rule infringement carried the consequences of becoming a suspect.
IRMA TAMBUNAN
Dozens of residents buy packaged cooking oil at a cheap market in the yard of the Jambi Governor's Office in the Telanaipura area. Cooking oil is sold at Rp. 15,000 per liter, April 2022..
As Kompas reported before, the Trade Ministry first imposed the DMO policy on CPO and olein exports on Jan. 27 before it was revoked on March 16.
Febrie reiterated the required compliance with DMO for a company to obtain approval for its export proposal. He suspected some companies had produced false documents about DMO in seeking export permits. “It turns out they have not released it to the public. That’s why [CPO-based cooking oil] is scarce," he said.
When asked whether there was an allegation that foreign trade director general Indrasari had received a kickback for granting the export permits, Febrie responded, “Perhaps there is something free, right -- if, for example, he did break the rules.”
AGO’s jampidsus director for investigation Supardi said that the four suspects were charged with Article 2 or Article 3 of the Corruption Crime Law, including allegations of bribery involving the suspects. "That is a possibility. However, it must be investigated more thoroughly," he said.
Indonesian Palm Oil Association secretary general Eddy Martono said they respected the ongoing legal process and hoped presumption of innocence would be upheld.
KPK’s warning
Corruption Eradication Commission (KPK) deputy for prevention and monitoring Pahala Nainggolan said the commission wrote to the Coordinating Economic Minister Airlangga Hartarto in mid-March 2022 regarding the import and export management of CPO and its derivative products. Notifications were also made available to Finance Minister Sri Mulyani Indrawati, Trade Minister M. Lutfi and Industry Minister Agus Gumiwang Kartasasmita.
In the letter, KPK pointed out the need to improve the licensing and trading system of CPO and its derivative products by integrating the upstream-downstream palm oil business operations through the National Commodity Balance System. The information technology-based integrated operations would enable monitoring. However, KPK had yet to receive responses, Pahala said.
As of Wednesday night, Kompas did not receive a response when asking about the KPK's letter to the Office of the Coordinating Economic Minister’s spokesperson Alia Karenina.
On a separate occasion, commissioner Gatot Repli Handoko, National Police’s head of public information section of public relations division, said the criminal investigation unit and its regional arms handled 18 cases of law violations related to the scarcity of cooking oil. (BOW/CAS/INA/HEN/NIA)
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