KPK Seizes USD 412.5 Million in Foreign Worker Permit Scandal

The Corruption Eradication Commission (KPK) has confiscated assets worth millions of U.S. dollars in connection with a major extortion case involving the approval process of the Foreign Workers Utilization Plan (RPTKA) at Indonesia’s Ministry of Manpower. The case, which spanned several years, implicates eight ministry officials and staff accused of accepting bribes in exchange for permit approvals.

According to KPK spokesperson Budi Prasetyo, assets seized on Tuesday (July 8, 2025) included two residential properties valued at approximately USD 93,750, and four rental units and boarding houses worth around USD 187,500.

“Today, we have seized assets belonging to suspects in the extortion case at the Ministry of Manpower: two houses worth around USD 93,750 and four rental and boarding units worth around USD 187,500,” Budi said in a statement on Wednesday, July 9, as reported by Kompas.

In addition, the anti-graft agency confiscated four plots of land estimated at USD 125,000 and USD 6,250 in cash. These properties are located in Depok and Bekasi, Budi added. In total, the seized assets are valued at approximately USD 412.5 million.

Eight Officials Named in the USD 3.53 Million Extortion Case

The KPK officially named eight individuals as suspects on June 5, 2025. They include former and current directors and staff at the Ministry’s Directorate General of Employment Placement and Job Opportunity Expansion (Binapenta), as well as the Directorate of Control of Foreign Workers (PPTKA). Among them is Haryanto, a senior official who served as Director General from 2024–2025 and allegedly received the largest bribe, totaling at least USD 1.125 million.

The corruption is believed to have occurred between 2019 and 2024, involving the systematic delay or withholding of permit approvals unless payments were made. In total, suspects are accused of collecting USD 3.53 million in bribes from companies applying for RPTKA permits, a prerequisite for foreign nationals to work in Indonesia.

“The suspects are believed to have deliberately delayed verification and issuance of RPTKAs, forcing applicants to pay unofficial fees to avoid costly daily penalties,” Budi explained.

In response to questioning, Haryanto told reporters that he had handed over all relevant data on foreign workers and companies involved.

“All of that was submitted from the beginning,” he said following a day-long examination at the KPK headquarters, as quoted by Antara.

When asked about the alleged extortion amounts, reportedly ranging from USD 62.50 to 93.75 per worker, he declined to elaborate.

In addition to Haryanto, other suspects include:

  • Suhartono, former Director General – received at least USD 28,750
  • Wisnu Pramono, Director of PPTKA (2017–2019) – USD 36,250
  • Devi Anggraeni, Coordinator and later Director of PPTKA – USD 143,750
  • Gatot Widiartono, Subdirectorate Head and PPTKA coordinator – USD 393,750
  • Putri Citra Wahyoe, staff – USD 868,750
  • Alfa Eshad, staff – USD 112,500
  • Jamal Shodiqin, staff – USD 68,750

KPK revealed that the extortion practices may date back to 2009, during the tenure of then-Minister of Manpower and Transmigration Abdul Muhaimin Iskandar. The scheme is believed to have continued under his successors Hanif Dhakiri (2014–2019) and Ida Fauziyah (2019–2024).

The extortion scandal has raised deeper concerns about systemic corruption in public licensing services and underscores the urgent need for bureaucratic reform. As investigations continue, the KPK is expected to recover more assets and examine possible corporate beneficiaries of the illicit scheme.

 

Source: Kompas, Antara, Detik

Photo Credit: Shutterstock

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