House forms team to investigate Pertamina case

The House of Representatives has set up a special team to investigate the alleged irregularities in the sale of two giant oil tankers by state oil and gas company Pertamina last year, the Investor Daily reported on Tuesday.

“All parties related to the case both former and current officials will be summoned,” said lawmaker Ramson Siagian, who also acts as chairman of the team.

The move came after the Business Competition Supervisory Commission (KPPU) ruled that Pertamina and three of its business partners had committee unfair business practice in the transaction. The anti-monopoly watchdog said recently the tankers were sold for US$184 million, while the market price of each tanker was actually between $120 million and $150 million, which caused the state to suffer financial loss of at least $50 million. The government suspended Pertamina finance director Alfred Rohimone following the ruling. Global investment bank Goldman Sachs, which acted as financial advisor for Pertamina in the transaction, was also implicated in the case. But both Pertamina and Goldman Sachs had denied any wrongdoing, and had made an appeal against the KPPU ruling.

Ramson said that the House also wants to know whether the KPPU made its decision based on its own investigation or based on information from other sources.

He said that the House would start the inquiry after the ongoing debate over the government’s unpopular fuel hike policy has been completed.(*)