In yet another blow to the Directorate General of Taxation, Jakarta Police have launched an investigation into a former tax official after Rp 70 billion ($7.7 million) was discovered in his bank account.

National Police chief of detectives Comr. Gen. Ito Sumardi told Detik.com that "the case is being investigated by the Special Economic Crimes Division of the Jakarta Police." The official was identified as Bahasyim Assifie.

The bulging bank account was first discovered by the Indonesian Financial Transaction Reports and Analysis Centre (PPATK) dwarfs the Rp 25 billion ($2.75 million) discovered in the account of allegedly corrupt tax official Gayus Tambunan. Gayus has been named a suspect for money laundering, tax embezzlement and corruption.

Bahasyim had been transferred from the tax directorate to the National Development Planning Board (Bappenas) but he resigned last week for unknown reasons.

"Bahasyim officially resigned at the end of March," State Minister for National Development Planning Armida S Alisjahbana said on Thursday. "I had replied to his resignation letter saying I approved it. The Ministerial Decree was issued on April 1, 2010."

Armida had also sent an official notice to the Finance Ministry about Bahasyim's resignation. "Bahasyim worked at Bappenas since May 2008. His previous post was at the Directorate General of Taxation so when he resigned, I issued a decree and my secretary sent a notice to the Finance Ministry on April 1," Armida said.