Attorney General Reveals KLHK Officials as Suspects in Palm Oil Governance Corruption

Palm Oil Magazine
Illustration of oil palm plantations. Photo by: Sawit Fest 2021 / Tiara Nur Fadilah

PALMOILMAGAZINE, JAKARTA – Attorney General Sanitiar Burhanuddin disclosed that high-ranking officials from the Ministry of Environment and Forestry (KLHK), specifically Echelon I and II officials, are suspected of involvement in corruption related to palm oil governance between 2005 and 2024. However, Burhanuddin refrained from revealing their identities.

“There are indeed suspects,” Burhanuddin stated, as reported by Palmoilmagazine.com via Tempo on Thursday (9/1/2025). He added that the official announcement of the suspects’ names would be made soon, likely within a month.

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The case gained attention following a raid by the Attorney General’s Office (AGO) on KLHK’s Manggala Wanabakti building on October 3, 2024. Earlier, on January 2, 2024, Burhanuddin had announced the initiation of investigations.

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Deputy Attorney General for Special Crimes (Jampidsus), Febrie Ardiansyah, explained that the case involves palm oil companies planting in forest areas without proper land release permits, including conservation and protected forest zones.

“We are investigating which cases warrant criminal charges and which only merit administrative fines. The goal is to ensure the state recovers its losses,” Febrie stated.

He also noted that the case is linked to an alleged Rp 300 trillion loss to the state, a figure previously highlighted by Hashim Djojohadikusumo based on calculations by the Financial and Development Supervisory Agency (BPKP). This loss stems from violations of Articles 110A and 110B of the Job Creation Law.

To address illegal palm oil activities, KLHK established the Task Force for Supervision and Control of Job Creation Law Implementation (Satgas Sawit), led by Bambang Hendroyono. Bambang, formerly KLHK Secretary General, has calculated administrative fines for companies and individuals planting in forest areas.

According to KLHK data, over 3 million hectares of palm oil plantations are located in forest areas. The government categorizes such plantations as “excessive use,” regulated under the Job Creation Law. Articles 110A and 110B mandate land reclamation for individual farmers and administrative fines for companies.

However, prosecutors have identified indications of corruption in determining these fines and penalties. The investigation continues to uncover any mismanagement that caused significant losses to the state. (P2)

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