(Bloomberg) -- Indonesia’s anti-graft agency searched the headquarters of the central bank, including the office of the governor, as part of an ongoing probe into the monetary authority’s use of corporate social responsibility funds.
The corruption watchdog known as KPK raided several rooms in Bank Indonesia’s main office in Jakarta at around 7 p.m. on Monday, its director for enforcement Rudi Setiawan said in a briefing on Tuesday. The office of Governor Perry Warjiyo was among those searched, he added.
“There were several items obtained,” he said, including documents and electronic evidence in the alleged misuse of CSR funds in 2023. “We will clarify this further later. Anyone related to our findings will then be investigated.”
The KPK plans to summon Bank Indonesia officials for questioning as part of the investigation, Setiawan said. It’s also conducting a similar probe into the Financial Services Authority and other agencies. Two suspects have been identified in the case, he said without providing details about the individuals or what institution they were affiliated with.
“Bank Indonesia respects and fully submits to the legal process carried out by the KPK in accordance with applicable procedures and regulations, supports investigation efforts, and is cooperative with the KPK,” spokesperson Ramdan Denny Prakoso said in a separate statement on Tuesday.
The central bank will still announce its policy rate decision on Wednesday as scheduled, Prakoso said. A slim majority of economists in a Bloomberg poll expect the BI-Rate will be kept at 6% despite slowing economic growth and inflation, as policymakers seek to steady the rupiah.
Warjiyo had said in September that Bank Indonesia follows strict governance procedures in deciding on and implementing CSR programs. Funding is also provided only to foundations — not individuals — mainly in the fields of education, social development and community empowerment, he added.
--With assistance from Norman Harsono.
(Updates with comments from corruption watchdog)
©2024 Bloomberg L.P.