DGT Ministry Of Finance Delegates Tax And Money Laundering Criminal Suspects To The AGO

Suspect RK (center) headed to Cipinang Detention Center, Jakarta, Thursday (27/10/2022). ANTARA/HO-Directorate General of Taxes

JAKARTA - The investigative team of the Directorate of Law Enforcement at the Head Office of the Directorate General of Taxes (DJP) of the Ministry of Finance (Kemenkeu) has handed over evidence of cases of tax evasion and money laundering to the Public Prosecutor of the Attorney General's Office (AGO).

Director of Counseling, Services, and Public Relations of DJP Neilmaldrin Noor said the suspect was a man with the initials RK who was a director of a company providing security services for a number of people.

"The suspect RK is strongly suspected of committing two criminal acts at once, namely a tax crime and a money laundering crime with a predicate offense in the taxation sector," said Neilmaldrin in his official statement, Thursday, October 28.

Through the company he leads, PT LMJ, suspect RK is strongly suspected of deliberately not depositing taxes that have been collected by not submitting a tax return (SPT).

He also deliberately did not deposit part of the tax that had been collected by only reporting part of the delivery of taxable services in his company's tax return, and only paying taxes to the state treasury on part of the tax that had been collected by his company. For his actions, the state suffered losses of up to IDR 26.9 billion.

Not only that, Neilmaldrin revealed that suspect RK is also strongly suspected of having committed a crime of money laundering.

To hide or disguise the assets he obtained from corporate tax evasion, RK spent the money through advance payments to dealers and installment payments to finance companies for the purchase of a tourism bus fleet on behalf of PT RMJ, which is also his company.

In addition, RK also used the proceeds from tax evasion to pay for the purchase of two apartment units in Depok, West Java, as well as for the payment of materials and labor costs for the construction carried out on several plots of his land, which were spread in the Bogor and Cianjur areas, West Java.

Neilmaldrin said that DGT investigators had confiscated and blocked assets belonging to suspect RK which would later be used as collateral for the recovery of losses to state revenues, including from Rp613.7 million in cash, eight tourist buses, two apartment units, to land and building.

As a consequence of his tax crime, RK is threatened with imprisonment for a minimum of six months to a maximum of six years, and a minimum fine of two to four times the amount of tax owed which is not underpaid.

He was also charged with Article 3 and/or Article 4 of Law Number 8 of 2010 concerning the Prevention and Eradication of the Crime of Money Laundering. For this crime of money laundering, RK can be sentenced to a maximum of 20 years in prison and a maximum fine of IDR 10 billion.

After being handed over to the prosecutor, suspect RK was detained at the Cipinang Detention Center, Jakarta until the trial process.

DGT will also continue to uncover cases of money laundering as a form of Indonesia's commitment to become a member of the Financial Action Task Force (FATF)," said Neilmaldrin.