The Financial Services Authority (OJK) has addressed allegations of corruption involving the regionally owned enterprise (BUMD), PT Bank Pembangunan Daerah Jawa Barat (Bank BJB).
The case centers around suspicions of inflated advertising fund placements between 2021 and 2023, involving a total of approximately Rp200 billion (US$13 million), which has prompted an investigation by the Corruption Eradication Commission (KPK).
OJK’s Chief Executive for Banking Supervision, Dian Ediana Rae, said that OJK has requested clarification from Bank BJB and is monitoring the case’s developments. However, Dian declined to comment further until a more thorough examination is conducted.
“OJK has asked for clarification, and the process is ongoing,” said Dian during an interview in Jakarta on Monday, October 14, 2024.
Meanwhile, the Indonesia Stock Exchange (IDX) has also requested a detailed clarification from Bank BJB regarding the case. IDX is seeking explanations on three main points: the background and details of the alleged corruption, the names and legal statuses of individuals deemed suspects by KPK, and whether this case will have a material impact on the bank, particularly in relation to its planned issuance of Continuous Bonds of Bank BJB Phase I 2024.
In response, Widi Hartoto, Corporate Secretary of Bank BJB, reaffirmed the bank’s commitment to accountability and transparency in all its operations, including advertising and third-party collaborations.
He said the bank will fully cooperate with law enforcement to ensure a fair and transparent investigation.
