Surya Darmadi's Case, Experts Express That Most Of The Sanctions Are Only Administrative

The defendants, the owner of PT Darmex Group and PT Duta Palma, Surya Darmadi (left) discussed with his legal advisor to the Jakarta Corruption Court, September 8, 2022. (ANTARA-Henry Purba)

JAKARTA - Many problems arise due to local government regulations (perda) and laws related to forest areas overlapping with each other. The cases are rampant in the Riau and Central Kalimantan areas, which are the locations of the business group PT Duta Palma Group.

This was conveyed by the former Expert Staff of the Minister of ATR/BPN Iing Sodikin Arifin at the trial of the alleged corruption in the licensing of PT Duta Palma Group's palm oil land in Indragiri Hulu with the defendant Surya Darmadi on Monday, January 16.

In his testimony, Iing said the forestry police, regional government and BPN should first investigate if they sniff out a problem. If it is proven that there is a violation, it can impose administrative sanctions in accordance with PP 24 of 2021.

"One of the settlements through the forestry police and forestry investigators, was given until 2023 to resolve sanctions," said Iing at a trial held at the Corruption Court at the Central Jakarta District Court (PN), quoted Tuesday, January 17.

In addition, land owners must also list their assets as long as they are bound by a plantation and forestry land processing agreement. "Let the state know how much wealth. The assets must be controlled and utilized," said Iing.

Responding to this, Surya Darmadi's lawyer, Juniver Girsang, said that his client had no problems with certificate ownership. So, Surya should be punished administratively as stated by an expert witness.

Moreover, certificates issued by legal entities have never been canceled. "So far, the prosecutor's office has stated that the HGU is problematic. With the land expert being answered firmly, the certificate that has arisen has no reason to declare it invalid," said Juniver.

"As long as there are no legal action, legal proceedings," he continued.

In addition, the witness' presentation also stated that there was no forest determination at the location of Surya's business group. This was stated by a number of witnesses ang present at the trial.

"Article 15 of the Forestry Law explains that to determine forest areas, it must go through four. Arrangement, governance, distribution then there is a determination of forest areas. If not determined, it means that the area does not have a provision stating forest areas," explained Juniver.

Previously, Surya Darmadi was charged with causing state financial losses of Rp. 4,798,706,951,640 and 7,885,857.36 US dollars. The calculation is based on a report from the Financial and Development Supervisory Agency (BPKP) Number PE.03/SR/657/D5/01/2022 dated August 25, 2022.

Surya was also charged with causing state economic losses of Rp. 73,920,690,300 based on a report by the Institute for Economic and Business Research and Training, Faculty of Economics and Business, Gadjah Mada University on August 24, 2022. Thus, the total state loss due to Surya Darmadi's actions was IDR 78.8 trillion.

Then, entrepreneurs were charged with committing a criminal act of corruption in the oil palm plantation business without a permit in Riau for the 2004-2022 period, thus obtaining a profit of IDR 7,593,068,204,327 and 7,885,857.36 US dollars (around IDR 117.617 billion at an exchange rate of IDR 14,915) for a total of IDR 7.71 trillion.

For the Rp7.71 trillion gain he earned, Surya is suspected of committing a crime of money laundering in the form of purchasing land, property, providing loans to affiliated parties, financing factory construction, and purchasing shares.