KPK Investigates Alleged Fund Flow In Hadi Poernomo's Case

Jakarta, Apr 22 (Antara) - The Corruption Eradication Commission (KPK) is monitoring the flow of funds relating to the alleged corruption case involving the former State Audit Board chief, Hadi Poernomo. "They will be investigated later," KPK Deputy Chief Busyro Muqodas stated here on Tuesday, when questioned about the funds that Hadi Poernomo might have possibly received in connection with his case. The KPK has named Hadi Poernomo as a suspect for his alleged involvement in corruption, when he was the tax director general during the period between 2002 and 2004. The KPK will also probe the possibility of money laundering in the case. "We have not yet explored this possibility in detail, but it was not impossible for us to investigate this angle," he remarked. Busryo noted that the KPK had already begun investigations into Hadi`s case almost a year ago. "The investigation started in 2013, and so, the report about it emerged not long ago. It took time before the investigation was done following a report from the community," he added. KPK has banned Hadi Poernomo from leaving the country for six months, effective April 21. "Information about other suspects who will also be banned from leaving the country will be notified to the Immigration Directorate General, but I do not know how many and who they are," he emphasized. Hadi, as the tax director general, had changed the conclusion made by the corporate tax director regarding objection over tax assessment on PT Bank Central Asia Tbk (BCA)`s non-performing loans, worth Rp5.7 trillion, during 1999-2003, which was submitted by the BCA on July 17, 2003. The corporate tax director in his conclusion turned down the objection raised by the BCA. But a day before the final decision over BCA`s objection was made on July 18, 2004, Hadi Poernomo, as the tax director general, ordered the corporate tax director to amend the conclusion in favor of BCA. Hadi then issued a decision letter accepting all the objections submitted by the tax payer, so that the corporate tax director had not time to respond to it. As a result of Hadi`s move, the state suffered losses worth Rp375 billion. In view of that, the KPK has named Hadi as a suspect for violating Articles 2 and 3 of Law Number 31 of 1999, which were later changed into Law Number 20 of 2001 on corruption eradication and Article 55 of the Criminal Code. According to the articles, any person (s) enriching himself (themselves) or others or corporations by violating the law that can cause a loss to the state or person (s) who abuse the authority embedded on him/them as state officials that can cause a loss to the state economy and finance. If Hadi is convicted, he can face a jail sentence of up to 20 years and a fine of up to Rp1 billion.