KPK develops tax restitution fraud case in Banjarmasin

Indonesia's Corruption Eradication Commission (KPK) is expanding its investigation into alleged tax restitution fraud at the Madya Banjarmasin Tax Service Office in South Kalimantan. A new investigation order has been issued to develop the case, which stems from a previous probe that had already implicated the former head of the office. KPK spokesperson Budi Prasetyo stated that the new order was issued in July 2026 after investigators uncovered evidence suggesting the involvement of additional parties. Alongside the former head, Mulyono, two other individuals have been named suspects: Dian Jaya Demega, a member of the Madya Banjarmasin Tax Service Office's examination team, and Venasius Jenarus Genggor, the Finance Manager of PT Buana Karya Bhakti (PT BKB). These three were apprehended during a sting operation on February 4, 2026, at the tax office. According to KPK Deputy for Enforcement and Execution Asep Guntur Rahayu, the suspects were initially detained for 20 days. The case originated when PT BKB submitted a VAT restitution claim for the 2024 tax year, reporting an overpayment. The examination team, including Dian Jaya Demega, reviewed the claim. They identified an overpayment of approximately Rp 49.47 billion, with a fiscal correction of Rp 1.14 billion, resulting in a restitution amount of Rp 48.3 billion. Subsequently, Mulyono reportedly met with PT BKB representatives to discuss the restitution request. During this meeting, an agreement was allegedly reached for an "appreciation payment" of Rp 1.5 billion, contingent on the approval of the restitution. This payment was intended as a reward for the favorable processing of PT BKB's claim. Following the issuance of the tax overpayment and refund decrees in December 2025, Dian Jaya Demega contacted PT BKB's staff to collect the agreed-upon "appreciation payment," which was disbursed on January 22, 2026, using fictitious invoices.

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So in July 2026, the KPK issued a general investigation order for the development of its investigation.