Palm oil tycoon Surya Darmadi offers Rp10 T asset donation to Danantara

  • Published on 15/10/2025 GMT+7

  • Reading time 2 minutes

  • Author: Julian Isaac

  • Editor: Imanuddin Razak

Convicted businessman Surya Darmadi, owner of PT Duta Palma Group, has expressed his intention to donate palm oil plantations and factories worth Rp10 trillion (US$602 million) in West Kalimantan to the Indonesian sovereign investment authority (BPI Danantara).

The statement of donation was formally conveyed by Surya’s legal team and submitted to the Central Jakarta Corruption Court (Tipikor) during a hearing on Friday, October 10, 2025.

“Alright, we have received the letter submitted by the defendant through his legal counsel,” Chief Judge Purwanto S. Abdullah said during the court hearing.

After the session, Surya’s lawyer, Handika Honggowongso, told reporters that his client intended to contribute the assets to assist the government.

“The assets include oil palm plantations and processing factories, with a total net value of around Rp10 trillion,” Handika said.

He, however, urged the government to resolve Surya Darmadi’s palm oil plantation disputes in Riau under the Job Creation Law framework rather than through corruption charges. He cited that the plantations in question lacked complete forest area release decrees, cultivation rights (HGU), and other administrative permits.

“So the sanctions should be administrative − paying fines and reforestation fees − not be under corruption or money laundering cases,” Handika said.

The defense team argued that Duta Palma Group was being unfairly targeted, noting that other similar land encroachment cases had been settled under the Job Creation Law rather than criminal prosecution.

“Why was Duta Palma charged under the Corruption Law?” Handika questioned.

Surya Darmadi was sentenced to 16 years in prison for land-grabbing corruption in Indragiri Hulu, Riau, which caused state losses amounting to trillions of rupiah. His appeal for judicial review (PK) was rejected by the Supreme Court (MA) earlier this year.

He is currently detained at the Nusakambangan Prison and continues to face legal proceedings involving seven corporate entities under PT Duta Palma Group.

Due to his detention, Surya attended the latest hearing virtually. Meanwhile, the Attorney General’s Office has seized cash and assets worth several trillion rupiah linked to the corruption case.

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