SUMMARY:

Former deputy Law and Human Rights minister Denny Indrayana reported to National Police headquarters in the early afternoon of Friday, March 27 to undergo his first questioning session as a corruption suspect. Denny was accompanied by approximately 15 lawyers, including colleagues from the University of Gadja Madah’s law faculty. Speaking to media before his interrogation, Denny said his compliance with the police’s summons was out of respect for the due process of law. National Police detectives charged the former deputy minister with corruption and abuse of authority on March 25 in connection to the online payment gateway launched with the ministry’s web-based passport application system, which allegedly caused state losses of up to Rp 32 billion. Bivitri Susanti of the Law and Policy Research Center (PSHK) told media on Thursday, March 26, that a review of the Supreme Audit Agency’s audit of the system found no evidence of state losses to support the police’s claims. Denny has maintained since the investigation began that he has been singled out for his outspoken support of the Corruption Eradication Commission (KPK) in its standoff against the National Police.

On Friday, March 27, National Police personnel confirmed that the case file of inactive KPK Vice Chair Bambang Widjojanto would be sent to the Attorney General’s Office (AGO) in the coming weeks. Daniel Bolly Tifaona of the Detectives Division’s Unit for Special and Economic Crimes told media the case against Zulfahmi Arsyad, who allegedly helped to select and coerce witnesses in a 2010 local election dispute, would be sent to the AGO next week. The police said the separate case file against Bambang Widjojanto, who allegedly coached the witnesses, would be sent to the AGO in early April.

On Friday, March 27, Jimly Asshidiqie of the so-called “Team of Nine”, formed by Jokowi to provide policy options for resolving the current conflict between the two law enforcement bodies, said the cases against inactive KPK Chair Abraham Samad, inactive KPK Vice Chair Bambang Widjojanto and Denny Indrayana could be resolved as soon as a new police chief had been inaugurated. Jimly said the leadership vacancy had created uncertainty among the ranks, and that Haiti’s confirmation by the House of Representatives (DPR) could help settle the situation. Police observer Bambang Widodo Umar said that as acting police chief, Haiti was prohibited from making strategic decisions.

However, procedural foot-dragging continued at the legislature on Friday, March 27. The DPR’s Consultative Council (Badan Musyawarah) is expected to discuss the Feb. 18 letter from President Joko “Jokowi” Widodo on Budi Gunawan’s replacement as the National Police chief-nominee. Arsul Sani (PPP – Central Java 10) of DPR Commission III, which oversees law and legislation, human rights, and security affairs, said on Friday, March 27, that a number of DPR members, including members of Jokowi’s own party PDI-P, took issue with Jokowi’s justification that Budi Gunawan had been charged with corruption, because the charges had been dropped through the police general’s successful pre-trial challenge at the South Jakarta District Court by the date the letter was issued. Centre for Strategic and International Studies (CSIS) political expert J. Kristiadi criticized members of the DPR for their political posturing and lack of preparations for a thorough fit and proper test of Badrodin Haiti.

Along with the confirmation of Badrodin Haiti as National Police Chief, the DPR is slated to discuss the  Presidential decree in lieu of regulation (Perppu) issued to install three interim KPK commissioners.Interim KPK Chair Taufiqurrahman Ruki said that if the DPR voted to overrule the Perppu, effectively annulling his mandate and those of interim KPK Commissioners Johan Budi and Indriyanto Seno Adji, he would happily return to his daily activities before being tapped to lead the anti-graft agency. If the DPR rejects the Perppu, as previously occurred in 2010, interim commissioners would be removed from active duty. However, with Abraham Samad and Bambang Widjojanto still facing criminal charges, the KPK leadership would be whittled down to just two remaining commissioners – Adnan Pandu Praja and Zulkarnain.

An ongoing legal challenge at the Constitutional Court hopes to restrict conditions under which KPK leaders may be suspended.  A group calling itself the Forum of Legal and Constitutional Review (FKHK) filed for a judicial review, arguing that current articles of the 2002 KPK law related to the suspension of KPK commissioners violate the argue that the mechanism violates the presumption of innocence principle and could be used to curtail the anti-graft agency’s ability to tackle corruption. KPK legal bureau chief Chatarina Mulyana Girsang appeared before the court on Thursday, March 26, and testified that the criminal charges and subsequent suspension of Abraham Samad and Bambang Widjojanto significantly hampered the effectiveness of the anti-graft body.

On Friday, March 27, the Judicial Commission issued a summons for South Jakarta District Court judge Sarpin Rizaldi to appear before an ethics review panel on April 2. The Judicial Commission is currently examining Sarpin’s handling of Budi Gunawan’s pre-trial hearing, and has already heard from lawyers representing the KPK and those representing the police general. Sarpin has been outspoken in his disdain for the proceedings in recent weeks, saying he is only accountable to God.

KEY DEVELOPMENTS:

Friday, March 20 – KPK signs MoU with several ministries to examine corruption in natural resources sector

Friday, March 20 – Police indicate Denny Indrayana to be charged imminently

Monday, March 23 – Sutan Bhatoegana’s pre-trial hearing opens, adjourned until April 6

Monday, March 23 – House of Representatives returns from recess

Monday, March 23 – Fuad Amin Imron admits to receiving payments from PT MKS in gas deal

Tuesday, March 24 – KPK questions Fuad Amin Imron as suspect

Tuesday, March 24 – Sumedang District Court strikes down pre-trial motion in goat scam

Wednesday, March 25 – Denny Indrayana charged as corruption suspect

Friday, March 27 – Denny Indrayana undergoes first questioning as corruption suspect

Friday, March 27 – Judicial Commission issues summons for Sarpin Rizaldi to appear on April 2

IMPLICATIONS:

A preliminary review of the BPK’s audit of the online payment gateway at the heart of the case against Denny Indrayana reveals no indications of state losses. The report does highlight a number of administrative missteps, but given Indonesia’s highly bureaucratic system of governance – combined with a legal culture that requires authorization for initiative to be taken, as opposed to a legal environment that allows initiative unless they are expressly prohibited by law – this is hardly indicative of corruption or an intention to defraud the state. Other reform initiatives, such as those at the Administrative and Bureaucratic Reform Ministry (MenPAN), have faced a similar uphill legal battle. Short of concrete proof that Denny personally received kickbacks from the payment gateway, it is widely believed that the online system was created out of a genuine desire to improve public services and sideline corrupt middlemen who had dominated the manual process. In stark contrast, the procedural anomalies in the handling of Denny’s case indicate that the police have aggressively pressed the case at the expense of a suspect’s protections under the Criminal Law Procedures Code (KUHAP) and the police’s own internal regulations.

Similarly, the National Police’s move to separate Bambang Widjojanto’s case file from that of his alleged accomplice is widely thought to be a tactic to further delay progress in the case, thereby ensuring he cannot return to active duty at the KPK. The legal challenge currently underway at the Constitutional Court against articles of the 2002 KPK law presents an opportunity to further insulate the anti-graft body from politically motivated attacks and campaigns to paralyze its leadership through spurious criminal charges. Those pushing for a revision in the law have proposed that KPK commissioners should only be suspended if charged for crimes that carry a potential sentence of more than five years.

The DPR spent its first full week in session since returning from recess without setting a date for the start of Badrodin Haiti’s confirmation hearings or schedule debate on the Perppu used to install interim KPK commissioners. As such, it has been roundly criticized for putting party interests over those of the general public and the smooth functioning of government. It remains unlikely the DPR would vote against endorsing Haiti or the interim KPK leadership; however, this type of worst-case scenario would breathe new life into rivalries within the police and lead to a total paralysis of the KPK.

Information as of 5:30 p.m. WIB, March 27, 2015