Indonesia’s energy minister resigns in graft scandal

ATA

This is AI generated summarization, which may have errors. For context, always refer to the full article.

Coordinating Minister for the Economy Chairul Tanjung said the president will likely appoint an interim officer to take over Jero Wacik’s duties

GRAFT SUSPECT. Energy and mineral resources minister Jero Wacik (C) mobbed by journalists after being questioned by the Corruption Eradication commission (KPK) in Jakarta on December 2, 2013. File photo by AFP

JAKARTA, Indonesia – Energy and Mineral Resources Minister Jero Wacik submitted his resignation on Friday, September 5, a presidential spokesman said, two days after anti-corruption officials named him a suspect in the latest graft case to embarrass the president’s fractured Democratic Party.

Presidential spokesman Julian Aldrin Pasha said President Susilo Bambang Yudhoyono had yet to respond to the resignation letter submitted by Jero, who did not attend the cabinet session on Friday.

But Coordinating Minister for the Economy Chairul Tanjung said the president will likely appoint an interim officer to take over Jero’s duties, which will only last until the new government is inaugurated on October 20.

Corruption Eradication Commission (KPK) officials announced on Wednesday, September 3, that they had named Jero a suspect based on evidence showing the minister was involved in extortion activities that generated about IDR9.9 billion ($840,000) in illicit funds.

Jero, according to the KPK, had ordered people in the ministry to raise funds for him, such as by carrying out fictitious meetings or soliciting kickbacks from procurement activities and consulting services.

The case involving Jero stems from the August 2013 arrest of Rudi Rubiandini, the chief of upstream oil and gas regulator SKKMigas, for taking bribes. Rudi, who was recommended by Jero for his position, was jailed in April for 7 years.

The investigation into Rudi led to the arrest of the energy ministry’s secretary general, Waryono Karno, who is then believed to have misused funds on orders from Jero.

Other possible suspects

Political analyst Ari Dwipayana told Tempo.co that Jero – a high-ranking Democratic Party official – was not KPK’s main target. He said the anti-graft body employed the “pyramid strategy”, which involved arresting sidekicks prior to approaching the main actors.

Indonesia’s Financial Transaction Reports and Analysis Center (PPATK) said on Thursday that it had found suspicious transactions worth “billions of rupiah” in Jero’s bank accounts. PPATK deputy chairman Agus Santoso said they sent the financial records to KPK, as it could reveal other parties that might have been involved with Jero in the extortion scheme, the Jakarta Post reported.

The naming of Jero as a suspect – the timing of which caught the ruling party by surprise according to sources – is the latest corruption scandal to rock Yudhoyono’s administration. 

Jero is the third minister from the current cabinet and the latest high-profile member of the ruling Democratic Party to be named a suspect by KPK, which has a 100% conviction rate in Jakarta. 

Former Sports Minister Andi Mallarangeng, also from the Democratic Party, was jailed for 4 years in July over a $40-million corruption case.

In May, Religious Affairs Minister Suryadharma Ali quit after being accused of misusing funds that were supposed to help Muslims go on pilgrimage to Mecca. – with a report from Agence France-Presse/Rappler.com

Add a comment

Sort by

There are no comments yet. Add your comment to start the conversation.

Summarize this article with AI

How does this make you feel?

Loading
Download the Rappler App!