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Sunday, November 25, 2012

Six Indonesia Companies Involved in Alleged $187 million Tax Fraud


Jakarta Globe reported. An Indonesian lawmaker announced on Friday that a Supreme Audit Agency (BPK) allegedly implicated six companies in tax fraud totaling Rp 1.7 trillion ($187 million).

Companies were identified as follows, Permata Hijau Sawit, Asian Agri Group, Wilmar Nabati Indonesia, Alfa Kurnia, INJ International and EMA Majokerto Hospital by a Markus Melkias Mekeng.

Markus Melkias Mekeng, House of Representatives Commission XI which overseas financial affairs member said that the companies were identified following a Supreme Audit Agency (BKP) report.

Mekeng, longtime critic of the tax authority, said the commission would urge the House to form a special committee to investigate the case and demand law enforcement officials thoroughly investigate the case, which likely involves officials from the Directorate General of Taxation. He encourages the house to investigate further to prosecute the officials from the Directorate General of Taxation who were allegedly involved in the fraud scheme.

“We all know that over the last three years the tax office has been unable to fulfill its collection target, and one of the main causes is that their officials may be misusing their authority for personal interests,” said the lawmaker, Markus.
It was not Markus’ first time fight against these tax violators, he started standing his grounds against them long ago before these new issues became known, in May 2010, he called the dismissal of two senior tax officials, including director general Mochamad Tjiptardjo, for what he called their “poor performance” in handling cases involving companies Permata Hijau Sawit, Wilmar and Asian Agri.

The BPK opened an investigation and began an audit of tax office methods in June following the request from Mekeng and Commission XI, specifically asking to look at the cases involving these companies, among others.

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