DistantNews
Support us
๐Ÿ‡ฎ๐Ÿ‡ฉ Indonesia /Crime & Justice

Indonesian Nutrition Agency denies corruption in electric motorcycle deal, cites price markup probe

From Tempo · () Indonesian

Translated from Indonesian, summarized and contextualized by DistantNews.

At a glance

News Official statement Under investigation
  • Indonesia's National Nutrition Agency (BGN) denies allegations of corruption in the procurement of 21,000 electric motorcycles.
  • The agency states the motorcycles were paid for with state funds, but acknowledges an ongoing investigation into alleged price markups.
  • Several former BGN officials and a company executive have been named suspects in the price-fixing probe.

Indonesia's National Nutrition Agency (BGN) has refuted claims that the procurement of 21,000 electric motorcycles for nutrition fulfillment service heads (SPPG) constitutes corruption. Agustina Arumsari, Deputy Head of BGN, clarified that the vehicles were purchased with state funds, not through corrupt means. "So, I apologize if someone previously suggested it was the result of corruption. It was paid for with state money, not the result of corruption," Arumsari stated at a press conference.

However, Arumsari acknowledged that the investigation centers on allegations of price markups, or "mark-up," and that the exact state losses are still being calculated by investigators. These losses will be sought for recovery from the suspects through court proceedings. BGN has already made full payment for the 2025 budget motorcycles this year, including a down payment of Rp 243.9 billion and a subsequent payment of Rp 167.5 billion. Despite the payments, the motorcycles cannot yet be officially recorded as fixed assets due to the ongoing investigation.

The Attorney General's Office is investigating two corruption cases at BGN, including the alleged buying and selling of BGN's kitchen spots and the procurement of these electric motorcycles. Former BGN Head Dandan Hindayana, along with former Deputy Heads Sony Sonjaya and Lodewyk Pusung, have been named suspects. Additionally, Andri Mulyono, a commissioner for PT Yasa Artha Trimanunggal, the company that supplied the motorcycles, is also a suspect.

Syarief Sulaeman Nahdi, Director of Investigation at the Junior Attorney General for Special Crimes, explained that Mulyono allegedly engaged in illegal manipulation and collusion with BGN from the project planning stage through to fund disbursement. Mulyono is accused of actively communicating with the commitment-making official to advance the procurement plan before the official process began, despite PT Yasa Artha Trimanunggal not meeting the requirements to be a supplier. The company allegedly lacked an active dealership or workshop and did not fulfill vendor prerequisites. Mulyono is also suspected of inflating the price of each electric motorcycle unit.

So, I apologize if someone previously suggested it was the result of corruption. It was paid for with state money, not the result of corruption.

โ€” Agustina ArumsariDeputy Head of BGN addressing allegations of corruption in the electric motorcycle procurement.
DistantNews Editorial

Originally published by Tempo in Indonesian. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.