JAKARTA: The head of Indonesia’s energy regulator has been detained for allegedly accepting almost $600,000 in bribes, officials said yesterday, in a case that could deter foreign investors.
Rudi Rubiandini was arrested at his Jakarta home late on Tuesday with stacks of US and Singapore dollars in a black bag and small boxes, said the anti-graft agency, the Corruption Eradication Commission (KPK).
Analysts said the case could deter foreign firms from entering an already difficult business environment, dealing a blow to Southeast Asia’s top economy as it tries to attract more investment and raise falling oil output.
Anti-graft detectives swooped on the 51-year-old, head of upstream oil and gas regulator SKK Migas, after trailing a man who delivered $400,000 in cash and a BMW motorbike to his home on Tuesday.
The individual, whose identity was not disclosed, was a middleman, officials said. He had collected the cash from another man who worked for a Singapore-based oil trading firm.
Almost $200,000 more, believed to be bribe money, was found in Rubiandini’s house. Some $200,000 was also found in the middleman’s house.
The sum uncovered was “one of the biggest the KPK has ever confiscated in a bust”, said Bambang Widjojanto, a senior official at the agency. All three men have been arrested and named as suspects in the case after hours of questioning.
Energy and Mineral Resources Minister Jero Wacik said he was “shocked” at the news but insisted the case would not hurt Indonesia’s investment climate, while SKK Migas said operations were normal despite the arrest.
As the upstream oil and gas regulator, SKK Migas deals with the search, recovery and production of crude oil and natural gas.
Indonesia is trying to attract investment to the energy sector after its oil output fell and it became a net importer of crude.
AFP
