Corruption in Indonesia: DPR Chair Setya Novanto Named as Suspect
Setya Novanto, the Chairman of Indonesia's House of Representatives (DPR), has been named as suspect in a corruption case by the country's corruption watchdog Corruption Eradication Commission (in Indonesian: Komisi Pemberantasan Korupsi, or KPK). The case involves the large-scale procurement project for the electronic identity card or e-ID card.
The e-ID card program was initiated under the Susilo Bambang Yudhoyono administration in 2010. The electronic identity card was designed to integrate citizens' data and information for banking, taxation and other civil purposes. The government allocated IDR 5.9 trillion (approx. USD $444 million) but during the first hearing of the case in March 2017 it is claimed that nearly half of budget was embezzled by government officials, lawmakers and business-people.
KPK Chairman Agus Rahardjo announced on Monday evening (17/07) that Setya Novanto - a senior Golkar party politician - is believed to have made profits for himself through the budgeting or procurement of goods and services for the e-ID program, causing state losses of at least IDR 2.3 trillion.
Meanwhile, two former Ministry of Home Affairs officials - Irman and Sugiharto - as well as businessman Andi Agustinus (alias Andi Narogong) have also been named suspect in this graft case.
Political corruption is a widespread and structural problem in Indonesia. For more information about this matter, you can visit the section about corruption in Indonesia.