Jakarta, 18 August 2020. As a law enforcement agency with the duties of preventing, coordinating, monitoring, supervising, and taking action against criminal acts of corruption, the Corruption Eradication Commission (KPK) continues to strive to improve its performance. There are three strategies for our focus of eradicating corruption, namely through prosecution, prevention, and education.
In the Corona Virus Disease 2019 (Covid-19) pandemic, which is a challenge for the entire nation, at the moment, we are still working and trying to give the maximum contribution to the country. Through these three approaches, we contribute so that all of us can soon get through this difficult situation.
On this occasion, we will convey the achievements and performance of the KPK during the first 6 months of 2020 as a form of transparency on KPK's performance. At the same time, we hope that the support and synergy built with all stakeholder partners and the entire community can be increased to improve the efforts to eradicate corruption in the future.
The Role of KPK in the Handling of the Covid-19 Pandemic
In the field of prevention, the KPK as the trigger mechanism carries out the coordination and monitoring functions at the central and regional levels. The KPK formed a total of 15 special task forces at the Deputy for Prevention.
- One task force is working with the COVID-19 Response Acceleration Task Force. The team analyzes and provides recommendations related to systemic problems faced in the procurement of goods and services (PBJ) in the handling of Covid-19. The team also works together with other relevant ministries and agencies to provide assistance related to refocusing activities and budget reallocation carried out by ministries and government institutions as well as providing assistance in the PBJ process in the emergency period.
- At the regional level, 9 Task Forces in the Regional Prevention Coordination unit, work together with other relevant agencies such as BPKP, LKPP, and APIP to assist local governments in the process of refocusing activities and reallocating APBD for the handling of Covid-19.
Meanwhile, in the implementation of monitoring duties, the KPK forms 5 task forces to conduct system studies on the government and state administration to oversee government policies and programs in the handling of Covid-19 which includes the sectors of health, social protection, MSME support, business, and local governments with a total budget of Rp695,20 Trillion as described in the 6 following schemes.
These five task forces review 15 government programs from 6 schemes for the handling of Covid-19 and national economic recovery (PEN), by providing analysis and recommendations including programs, such as:
- Treatment Cost Reimbursement Program
- Incentive and Death Compensation Program for Health Workers and Death Compensation Program
- Social Protection:
- Pre-Employment Card Program
- Electricity Subsidy Program of 450 VA and Electricity Discount of 900 VA
- Logistics, Food, Staple Food Program
- Family Hope Program (PKH), Staple Food, Social Assistance (Bansos) for Jabodetabek and Non-Jabodetabek
- Village Fund Direct Cash Assistance (BLT)
- Interest Subsidy Program
- Fund Placement for Restructuring Program
- IJP Expenditure Program and Guarantee Program for Working Capital (Stop Loss)
- UMKMDTP Final Income Tax (PPh) Program
- Corporate Financing:
- State Capital Participation Program (PMN)
- Investment Program for Working Capital
- Sectors of Ministries and Government Institutions (K/L) and Local Government:
- Ministries and Government Institutions (K/L) Labor Intensive Program
- MBR Housing Incentive Supplement Program.
There have been 3 (three) studies completed in the first semester, namely the pre-employment card program, reimbursement of hospital care costs for the treatment of the Covid-19 patients, and incentive for healthcare workers.
A number of recommendations related to pre-employment cards have been conveyed by the KPK, so the government improves regulations and program implementation schemes to be right on target and avoid potential inefficiencies in the implementation of the program.
In the handling of Covid-19, the KPK has also identified a number of corruption-prone points. Four of them are related to government procurement of goods/services (PBJ). There is a potential for collusion, price mark-ups, kickbacks, conflicts of interest, and fraud. Therefore, the precautionary step taken by the KPK is to issue SE No. 8 of 2020 dated 2 April 2020 on the Use of the Goods/Services Implementation Budget (PBJ) in the Context of the Acceleration of the Handling of Covid-19 Related to Corruption Prevention, as the signpost and guidelines for implementers.
In addition, the KPK has also identified potential vulnerabilities in the recording of revenue, the distribution of assistance, and misuse of assistance/grants from the public or private sector given to the Task Force and all ministries/agencies/local governments. As an anticipatory step, the KPK has issued KPK Letter No. B/1939/GAH.00/0 1-10/04/2020 dated 14 April 2020 addressed to the Task Force and all ministries/agencies/local governments regarding Receiving Donations/Grants from the Community.
Other potential vulnerabilities are regarding the allocation of funding sources and expenditures as well as in the utilization of budget in the process of refocusing and reallocating the Covid-19 budget in the (State Budget) APBN and (Regional Budget) APBD.
This is also similar in the implementation of social assistance (Social Safety Net) by the central and local governments. The KPK has identified corruption-prone points in data collection of the assistance recipients, data clarification and validation, procurement of goods, distribution of the assistance, and supervision. To that end, the KPK has issued Circular No. 11 of 2020 dated 21 April 2020 on the Use of DTKS and non-DTKS data in Providing Social Assistance to the Community.
The chaos and complaints in the distribution of social assistance that are deemed to not be on target have prompted the KPK to launch a social assistance reporting application, namely JAGA Bansos. The social assistance reporting feature has been added as a feature in the JAGA corruption prevention platform. This new feature also provides information about social assistance in addition to being a medium for the community to submit complaints regarding social assistance irregularities/abuse in the field.
Since its launch on 29 May 2020, until 7 August 2020, JAGA Bansos has received a total of 894 complaints regarding the distribution of social assistance to 243 local governments consisting of 224 district/city governments and 19 provincial governments. The most common complaints include people not receiving the assistance despite having registered, with a total of 369 reports. We have forwarded these complaints to the local government and relevant ministries and government institutions to be followed up. It has been recorded that 375 complaints have been followed up by the local government, and 207 reports are still in the process of being looked into. The rest is still in the process of verification and confirmation for the completeness of the report information/data from the complainants.
Apart from the handling of Covid-19, the KPK has also completed 2 other studies, namely: BPJS Kesehatan (Healthcare) Deficit Study and Waste Management Study for New and Renewable Electric Energy (EBT).
In the BPJS Kesehatan Deficit study, the KPK recommends a number of alternative solutions which constitute a series of policies under the authority of the Ministry of Health in order to reduce the costs that must be borne by BPJS Kesehatan, as well as to eliminate inefficiencies and potential fraud in the management of JKN funds. Some of the solutions include completing the National guidelines for medical practice (PNPK), regulating hospital classes, implementing cost sharing according to the Permenkes No.51 of 2018, limiting benefits for claims of catastrophic illnesses, and others.
Meanwhile, regarding the Waste Management Study, the KPK recommends that the government revise Presidential Decree No. 35 of 2018 so that investment can be stimulated. This is related to several things that the KPK found in the study, namely related to the potential for unfair business practices that would benefit entrepreneurs more and the lack of technology capable of doing so. Therefore, the waste to electricity policy is enough to become waste to energy.
This year the KPK continues to encourage and assist the improvement of governance in a total of 34 provincial governments, including 542 district and city governments. Assistance includes 8 areas of intervention, namely APBD planning and budgeting, one-stop integrated services (PTSP), procurement of goods/services, strengthening of the role of the Government Internal Supervisory Apparatus (APIP), management of the State Civil Apparatus (ASN), optimization of regional revenues (OPD), regional asset management, and village fund management.
Using the assessment indicators summarized in the Monitoring Center for Prevention (MCP), until 30 June 2020, the national government's MCP achievement is at an average of 21.8%. The top five local governments, namely: Bukittinggi City Government (65%), Lamongan Regency Government (64.3%), Pinrang Regency Government (61.8%), Klungkung Regency Government (61.4%), and Sampang Regency Government (61%).
Meanwhile, due to the intervention efforts, including encouraging an increase in local revenue (PAD) and controlling the assets, regional receivables, and land certification, the potential for regional financial loss totaling Rp.10.4 trillion managed to be saved.
With the efforts to optimize PAD beginning last year, the basis for regional revenues has improved so that during the pandemic, the decrease in the first semester was only 2.89%, from the previous Rp83.3 trillion to Rp80.9 trillion.
The following is a breakdown of how potential regional financial losses were saved, namely:
- Local government receivables of Rp2.9 trillion have been collected.
- In controlling and recovering assets, 1,093 assets were saved with a total value of Rp845 billion.
- Asset certification in semester 1 increased by 6,355 certificates with a total asset value of Rp4.2 trillion.
- The policing of public and social facilities. Within the past 6 months, as many as 184 public and social facility units were successfully handed over with a total value of Rp2.4 trillion.
Building National Integrity
The KPK also continues to strive to improve the integrity and awareness of State Officials (PN) in reporting their assets through the State Officials' Wealth Report (LHKPN). In the middle of 2020, the KPK succeeded in encouraging report compliance to be 95.33% compared to previously 88.37% in the same period in 2019.
As of June 30, 2020, the KPK has received 347,136 LHKPNs out of a total of 364,124 individuals required to hand in reports. 95.10 percent of the 294,311 of those obliged to report was at the executive level, as much as 92.16 percent of the 20,298 obliged to report was at the legislative level, 98.76 percent of the 18,889 obliged to report was at the judicial level, and 97.54 percent of the 30,626 obliged to report was BUMN/BUMD (state-owned enterprises/regionally-owned enterprises) .
In addition to LHKPN compliance, the KPK also encourages the PN to refuse any gratuities offered related to their office/position. Data from the Directorate of Gratification as of 30 June 2020, the KPK has received as much 1,082 reports totaling Rp14.6 billion. A total of 545 of them have been claimed by the state. Rp1 billion has been deposited into the state treasury as non-tax state revenue (PNBP).
The reports came from 254 provincial/district/city governments, 58 BUMN/BUMD, 52 state/government agencies, and 32 ministries.
During the current pandemic, the KPK also continues to carry out anti-corruption education and campaigns to increase participation and make the public an anti-corruption agent. Some programs have to be adapted to digital format by hosting webinars. For higher education, for example, the KPK held a socialization program for lecturers on anti-corruption courses entitled Anti-Corruption Educators Workshop. This activity was a collaboration with 14 Higher Education Service Institutions (LLDikti) throughout Indonesia. Meanwhile, at the primary and secondary education levels, the KPK worked in collaboration with the Ministry of Education and Culture and the Ministry of Home Affairs to hold a webinar series entitled Maintaining Integrity in Implementing PPDB (New Student Registration) Policies.
Efforts to encourage the implementation of anti-corruption education (PAK) at every level of education are also being encouraged. In this semester 1 of 2020, 26 regions have implemented PAK, bringing a total of 174 regions with the legal umbrella in the form of 10 Governor’s Regulations, 133 Regent’s Regulations, and 31 Mayor’s Regulations.
The KPK also seeks to communicate with the public through campaign activities by distributing Corruption Antivirus masks as a form of campaigning the anti-corruption value of "caring", especially during the pandemic.
In the field of prosecution, in response to the vulnerability and potential for corruption during this pandemic, the KPK has also formed a special team at the Deputy of Prosecution.
In total, in semester 1 of 2020 KPK conducted 78 investigative activities; investigations of 43 new cases and 117 cases from before 2020, with a total of 160 investigations carried out this semester.
In semester 1, KPK has also named 53 suspects from 43 investigations of new cases, 38 of whom have been detained.
In developing investigations, the KPK has also carried out searches 25 times and confiscated 201 times. In addition, examination of 3,512 witnesses were carried out in order to complete the case files at the investigation level.
At the prosecution level, the KPK is currently handling a total of 99 cases, 60 of which were cases before 2020. In addition, the KPK has also executed 69 court decisions that have permanent legal force.
The prosecution efforts carried out by the KPK are focused on efforts to save state losses and asset recovery. Two new cases, which are cases built by the KPK, namely the TPK (Activity Management Team) of a road construction project in Bengkalis Regency, are suspected to have caused state financial losses of Rp475 billion. Meanwhile, the TPK case of sales activities at PT Dirgantara Indonesia is suspected to have caused state financial losses of Rp205,3 billion and USD8,65 million.
In this semester the KPK has also deposited to the state treasury in the form of PNBP (Non-Tax State Revenue) from case handling. This was part of an asset recovery with a value of Rp100 billion as well as from fines, replacement money, confiscated assets, and grants (establishment of the status of use of confiscated assets).
Regarding the grants of the use of confiscated assets (PSP), the KPK has handed over assets in the form of two plots of land in Jakarta and Madiun worth Rp36.9 billion to the Ministry of Agrarian Affairs and Spatial Planning/National Land Agency.
In connection with the amendment of the law, the KPK is finalizing a number of other derivative regulations related to the transfer of employment status, the preparation of organizational and institutional work procedures, and other related derivative regulations.
In order to maximize the role and capacity of institutions in the efforts of eradicating corruption through both prevention and prosecution, in the first semester the KPK has signed a number of strategic collaboration agreements with several institutions. One of the agreements is the collaboration agreement (PKS) between the Deputy for Prevention of KPK and the Jamdatun (Deputy Attorney General for State Administrative Court Affairs) at the Attorney General's Office of the Republic of Indonesia related to efforts to restore state and regional assets. In this semester, the KPK and BPK RI also renewed their cooperation related to efforts to prevent and eradicate corruption.
The KPK works to maintain the values of integrity, professionalism, and leadership of its personnel through the Supervisory Board’s enforcement of ethics on 14 reports of alleged ethical violations. In 2019, the Directorate of Internal Supervision of the KPK has also enforced ethics within the KPK. A total of 17 employees with the status of permanent employees, employed civil servants, and non-permanent employees who were sanctioned for ethical violations during the year.
With all of these challenges, we strive to maintain the consistency and the commitment in giving the best contribution in eradicating corruption in order to create an Indonesia that is free from corruption.