Markus Junianto Sihaloho – Manpower and Transmigration Minister Muhaimin Iskandar on Thursday sought to distance himself from a rapidly growing corruption scandal in his ministry.

The same day, the Corruption Eradication Commission (KPK) raided the ministry looking for evidence after two of the minister's special staff members, Ali Mudhori and Fauzi, were accused of steering projects to companies in return for kickbacks.

Speaking to House of Representatives Commission IX, which deals with labor affairs, the embattled minister, who heads the National Awakening Party (PKB), denied any knowledge of Ali and Fauzi's activities. Both men are PKB members.

During the more than eight-hour hearing, Muhaimin claimed that project brokers intent on demanding illegal fees from the ministry's business partners had likely misused his name. He added that if Ali and Fauzi had acted illegally, they would be kicked out of the party.

Muhaimin told lawmakers that he did not know where Ali and Fauzi had offices. Two of his own senior officials, arrested in connection with the kickback scandal, have said the two men had offices on the same floor as Muhaimin's.

Dharnawati, a businesswoman who was arrested recently by the KPK, is alleged to have given Rp 1.5 billion ($175,000) in cash as kickbacks to two senior officials at the ministry.

Arrested along with Dharnawati were senior ministry officials Nyoman Suisanaya and Dadong Irbarelawan. The alleged bribes were said to be connected to projects under a special ministry program, the Acceleration of Infrastructure Development in Transmigration Areas (PPID).

One of Dharnawati's lawyers said the Rp 1.5 billion had been intended for the officials and as kickbacks for legislators and Idul Fitri payouts.

Another lawyer, Rahmat Jaya, said Dharnawati had given the antigraft commission the names of several individuals who had demanded payouts in return for their help getting her company projects under the ministry.

The individuals were identified as Acoz, who is alleged to be close to the deputy chairman of the House Budget Committee, Tamsil Linrung, from the Prosperous Justice Party (PKS), and Mudori and Fauzi.

But Muhaimin said the PPID project, which will cost around Rp 500 billion, had yet to begin. "So what money would flow into my wallet?" he asked. "The project hasn't even started."

That, however, did not satisfy lawmakers. Commission chairwoman Ribka Tjiptaning, from the Indonesian Democratic Party of Struggle (PDI-P), said it was odd that Muhaimin appeared to have no knowledge of what was taking place in his ministry. Others reacted to the amount of money allotted to the PPID.

"The budget allotment for the project was only Rp 50 billion," said another PDI-P lawmaker, Surya Chandra Suryapati. "We are shocked by this [figure of Rp 500 billion]."

The commission concluded the hearing by saying that more transparency was needed from the ministry and that it would form a special committee to monitor the PPID project.

Meanwhile, KPK spokesman Priharsa Nugraha said four teams of investigators had searched the office of the Directorate General for the Development of Transmigration Areas.

The search, he said, was to look for additional evidence of bribery linked to the PPID.