Yustinus Paat, Jakarta – The Corruption Eradication Commission (KPK) has named two members of parliament as suspects in a corruption case involving the alleged misuse of Rp 28.38 billion ($1.74 million) in corporate social responsibility (CSR) funds provided by Bank Indonesia and the Financial Services Authority (OJK).
The lawmakers – Heri Gunawan of the Great Indonesia Movement Party (Gerindra) and Satori of the National Democratic Party (Nasdem) – are accused of channeling CSR funds through several foundations between 2020 and 2023 but diverting most of the money for personal use, KPK Deputy for Enforcement Asep Guntur Rahayu said at a Thursday evening press conference.
"From 2020 to 2023, foundations managed by HG and ST received CSR funds from partners through the House of Representatives' Commission XI, but they did not carry out the social programs described in their proposals," Asep said, referring to the suspects by their initials.
Both lawmakers are members of the commission that oversees banking, finance, and monetary policies.
In one example, Asep said, funds were allocated to renovate 10 uninhabitable houses, but only two were repaired. The foundation's report still claimed that all 10 homes had been renovated, while funds for the remaining eight were allegedly used for personal expenses.
Money laundering charges added
In addition to corruption charges, both lawmakers face money laundering allegations. The KPK will also investigate whether any of the misappropriated funds were funneled into their respective political parties.
According to the KPK, Heri received Rp 15.86 billion ($975,000) in CSR funds, while Satori received Rp 12.52 billion ($770,000).
Heri is accused of concealing the flow of funds by opening bank accounts in other people's names and making cash deposits to disguise transactions. The money was allegedly used to build a restaurant, purchase land and buildings, and buy cars.
Satori allegedly laundered his share by placing funds in term deposits, buying land, establishing a car showroom, purchasing motorcycles, and acquiring other assets. He is also accused of structuring banking transactions to conceal deposit placements and withdrawals from his personal accounts.