Former Chairman of the Democratic Party (Partai Demokrat, PD) Anas Urbaningrum was sentenced to eight years imprisonment by the Jakarta Anti-Corruption Court in Jakarta on Wednesday (24/09). Urbaningrum was found guilty of sustained corruption and repeated money laundering. He was also given a fine of IDR 300 million (USD $25,000). The sentence is much lower than the prosecution’s demand for 15-years imprisonment and therefore it is likely that the Corruption Eradication Commission (KPK) will appeal.

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Indonesian Energy and Mineral Resources Minister Jero Wacik has been named a suspect in a corruption case by the country’s Corruption Eradication Commission (KPK). Allegedly, Jero Wacik was involved in the case that led to a seven-year prison sentence for former Head of Indonesia's oil & gas regulator SKKMigas Rudi Rubiandini (for money laundering as well as accepting bribes from Singapore-based Kernel Oil Pte Ltd and Indonesia-based Kaltim Parna Industri in return for awarding a lucrative tender to sell oil).

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Late on Monday evening (30/06), Indonesia’s Jakarta Anti-Corruption Court sentenced former Chief Justice of the country's Constitutional Court (Mahkamah Konstitusi) Akil Mochtar to life imprisonment as he was found guilty of corruption as well as money laundering. Mochtar was arrested in October 2013 by the Corruption Eradication Commission (KPK) after investigators had been tapping his telephone. This corruption case is another blow for the reputation of Southeast Asia’s largest economy.

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Indonesian President Susilo Bambang Yudhoyono, who will end his second term as president in October 2014, is expected to appoint Lukman Saifuddin as the new Minister of Religious Affairs on Monday (09/06) or Tuesday (10/06) next week. The position of Religious Affairs minister has been vacant since Suryadharma Ali stepped down from his post in late May 2014 to focus on his defense after being named a suspect (by the country’s Corruption Eradication Commission, KPK) in the hajj pilgrimage fund-corruption case.

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Indonesian Minister of Religious Affairs Suryadharma Ali resigned from his ministerial post today (26/05) after having been named a suspect in a corruption case by the Corruption Eradication Commission (KPK) last week. Ali is accused of mishandling the country’s hajj pilgrimage fund. This fund is centrally managed by the government and contains deposits paid by people who want to make the holy journey to Mecca (Saudi Arabia). Ali resigned in order to concentrate fully on his defense in the graft case.

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The Corruption Eradication Commission (KPK) of Indonesia has named Indonesian Minister of Religious Affairs Suryadharma Ali (who is also Chairman of the Islamic political party PPP) a suspect in a graft case. Reportedly, Ali engaged in self-enrichment by deliberately mishandling state funds that were allocated for the hajj pilgrimage covering financial year 2012-2013. Funds allocated to the hajj pilgrimage to Mecca totaled over IDR 1 trillion (USD $87 million) in that year. KPK spokesman Johan Budi confirmed the case.

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Transparency International has released its Corruption Perceptions Index of 2013. This index assesses "the degree to which corruption is perceived to exist among public officials and politicians" in 177 countries around the world. Berlin-based and non-partisan Transparency International uses polls to determine perceived corruption in the selected countries. Indonesia rose four spots from 118 in last year's index to 114 in the 2013 edition but held the same score as last year (3.2 points).

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Indonesia's credentials in terms of corruption eradication received another blow when Akil Mochtar, the chief justice of Indonesia's Constitutional Court (Mahkamah Konstitusi), was detained by the country's Corruption Eradication Commission (KPK) on Wednesday evening (02/10). Allegedly, Mochtar accepted a bribe to influence the court's ruling on the Gunung Mas election dispute in Central Kalimantan. In this regional election, Hambit Bintih (together with Arton S. Dohong) was re-elected as district head of Gunung Mas.

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Although it has been in the air for a while, the Corruption Eradication Commission (KPK) finally named Anas Urbaningrum, chairman of president Susilo Bambang Yudhoyono's Democratic Party (PD), a suspect in the Hambalang corruption case. This case, in which Anas is charged with accepting a bribe to ensure a contract, is the last in a series of blows to the Democratic Party, which has seen its popularity erode drastically in recent months.

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Today, the governor of the Riau province (on Sumatra), Rusli Zainal, was officially declared a suspect by the Corruption Eradication Board (KPK). Zainal is accused of taking bribes from the management of state-controlled Adhi Karya, a construction company, in exchange for a contract to build facilities for last year's National Games in Pekanbaru, the capital city of Riau. The KPK stated that they found convincing evidence to underpin its allegation.

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On Tuesday (29/04), Jakarta's Anti-Corruption Court sentenced Rudi Rubiandini, former Head of Indonesia's oil & gas regulator SKK Migas, to seven years in prison for money laundering and accepting bribes from Singapore-based Kernel Oil Pte Ltd and Indonesia-based Kaltim Parna Industri. These bribes were given in exchange for securing a win in an oil tender. In addition, Rubiandini was imposed a fine of IDR 200 million (or another three months in prison). Rubiandini was reported to not file an appeal to the court's verdict.

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The tax crime case which involves Bank Central Asia (BCA), Indonesia's largest lender by market value and the second-largest bank by assets, is not expected to have a significant impact on the performance of the shares of BCA. Earlier this week, Hadi Poernomo (Director General of taxation from 2002 to 2004) was questioned by Indonesia's Corruption Eradication Commission (KPK) on allegations of accepting bribes in exchange for tax exemptions - worth of IDR 375 billion (USD $32.8 million) - granted to BCA.

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Late on Tuesday evening (13/08), the Corruption Eradication Commission (KPK) arrested Rudi Rubiandini, head of the Upstream Oil and Gas regulatory special task force (SKK Migas) for allegedly accepting bribes amounting to USD $400,000 from Kernel Oil Pte Ltd, which is headquartered in Singapore. Four other people were also arrested in connection with this case. Rubiandini is currently being questioned by the KPK. The institution has one day to determine Rubiandini's legal status.

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In my previous column, I outlined the emergence of a new and promising class of Indonesian consumers that is most likely to bring a positive effect on the country's economic growth in the years ahead. I also pointed out that the level of prosperity of a population is an influential factor towards the state (and future) of democracy in a country: the wealthier a population becomes in terms of per capita GDP, the longer the life expectancy of its democracy will be.

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Just a few years ago, Susilo Bambang Yudhoyono's Democratic Party (in Indonesian Partai Demokrat or PD) enjoyed huge popularity among Indonesia's population. More than one fifth of the electorate voted for the 'Democrats' in the 2009 parliamentary election, a notable achievement in Indonesia's pluralistic society. In particular, the party's hard stance towards corruption was likened by the people. Now, however, the party crumbles under its own weight.

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