Three named suspects in US$21 M defense satellite procurement corruption case

  • Published on 09/05/2025 GMT+7

  • Reading time 3 minutes

  • Author: Julian Isaac

  • Editor: Imanuddin Razak

Andi Suci - image source: Antara/ Rivan Awal Lingga

Andi Suci - image source: Antara/ Rivan Awal Lingga

The Attorney General’s Office (AGO) has named three suspects in a high-profile corruption case involving a 2016 satellite user terminal procurement project at the Indonesiaan Ministry of Defense.

The case centers on a US$29.9 million (Rp500 billion) contract allegedly awarded without budgetary support or due procurement procedures.

Brigadier General Andi Suci Agustiansyah, Director for Law Enforcement at the Office of Junior Attorney General for Military Crimes named the suspects as:

● Retired Rear Admiral Leonardi (L), former Head of the Defense Equipment Agency at the Ministry of Defense and the project’s official commitment-making officer (PPK);

● Anthony Thomas Van Der Hayden (ATVDH), satellite technical advisor to the Ministry of Defense;

● Gabor Kuti (GK), CEO of Navayo International AG, a Hungary-based firm.

Andi revealed that the contract, titled “Agreement for the Provision of User Terminals and Related Services and Equipment”, was signed on July 1, 2016, between the Ministry of Defense and Navayo International AG. An amendment was later added in September 2016, yet the agreement was executed without any available budget allocation at the time of signing.

"Navayo was appointed without any procurement process, based solely on a recommendation from suspect ATVDH," Andi told a late-night press conference on Wednesday, May 7, 2025.

Navayo later claimed to have fulfilled the contract by shipping equipment to the Ministry, referencing four Certificates of Performance (CoP). These were signed by military officers with the approval of then Major General BH and suspect Leonardi.

However, Andi cited, “These certificates were prepared by suspects ATVDH and GK without prior inspection of the goods delivered by Navayo.”

Subsequent lab inspections found that 550 units delivered as satellite phones were in fact regular mobile phones, lacking the required secure chips. Moreover, satellite experts concluded that Navayo’s submitted technical documentation − 12 Milestone 3 Submission manuals − did not meet standards for developing a functioning user terminal system.

Despite lacking proper verification, Navayo sent four invoices to the Defense Ministry. However, by 2019, there was still no available funding to pay them. Eventually, an international arbitration ruling in Singapore ordered the Indonesian government to pay US$20.86 million for signing the CoPs.

The Indonesian Development Finance Comptroller (BPKP) later determined that the project had caused state losses amounting to US$21.38 million.

To meet the arbitration ruling, assets belonging to the Indonesian Embassy in Paris were seized by court officers, including:

● The Deputy Head of Mission’s residence

● The Defense Attaché’s official residence

● An apartment used by the Political Function Coordinator

So far, the investigation has included statements from nine satellite experts, 52 civilian witnesses, and 7 military personnel.

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