Hans Nicholas Jong, Jakarta – A tax official in Central Jakarta has been charged with extortion for demanding bribe money from a businessman who claimed to have paid his taxes.
Corruption Eradication Commission (KPK) spokesperson Johan Budi said that the taxman, Pargono Riyadi, allegedly tried to extort Rp 125 million (US$12,900) from Asep Hendro, owner of motorcross spare parts and accessories manufacturer Asep Hendro Racing Sports (AHRS).
"Pargono is accused of extorting money from Asep with the excuse of there being a problem in the tax payment," Johan said on Wednesday.
Pargono was caught accepting a bribe from Rukimin, the middle man, at Gambir station in Central Jakarta, on Tuesday. "The also KPK confiscated Rp 25 million in cash found inside a plastic bag during the arrest," Johan said, adding that Asep allegedly promised a total of Rp 125 million to Pargono.
Besides Pargono and Rukimin, the KPK also separately arrested Asep, Wawan, a manager at AHRS, and S, a tax consultant. The KPK released Rukimin, Asep, Wawan and S after questioning.
Asep, a former motocross racer, founded Depok-based AHRS in 1997. Following the arrest of its owner, the AHRS showroom on Jl. Tole Iskandar in Depok, West Java, was raided by the KPK late on Tuesday. The 2,500-square-meter showroom was closed to customers on Wednesday but some employees could be seen working.
Pargono's case is the latest in a series of cases in which tax officials have accepted bribes from companies or individuals to fix their tax problems,
The case shows that graft remains in the tax office after the arrest and conviction of several tax officials, such as Gayus Tambunan, Bahasyim Assifie, Dhana Widyatmika, Tomy Hendratno and Anggrah Suryo, for their involvement in major graft cases.
Pargono reportedly owns Rp 870 million in assets, according to a wealth disclosure report in 2008 retrieved by the KPK. He owns Rp 757 million in non-movable property in Bogor, Cilacap, Tegal and East Jakarta.
He also has a transportation unit worth around Rp 153 million, but is Rp 60 million in debt.
According to the Finance Ministry's Tax director general, Fuad Rahmany, the KPK operation was a collaboration between his office and the KPK. "This is the result of a tip-off from a whistle blower inside the tax office," he said.
According to Johan, the KPK would not cease its investigation into Pargono and would continue digging to see whether the taxman had extorted money from other taxpayers.