KPC takes legal action against tax office

East Kalimantan coal miner PT Kaltim Prima Coal (KPC), a unit of IDX-listed mining giant PT Bumi Resources Tbk., filed a pretrial motion Monday against the tax office, accusing the latter of breaking rules in investigating alleged tax evasion by the company.

KPC said the tax office did not have strong legal grounds to investigate the alleged tax evasion. But the tax office has continued the investigation, KPC's lawyer Aji Wijaya said.

"The investigation carried out by the defendant is against the law, hurts the plaintiff's interests and injures the concept of the national law of the Republic of Indonesia," he said.

The South Jakarta District Court, where the legal complaint has been filed, will hear the defendant's defense on Tuesday.

In December last year, the tax tribunal granted KPC?s request to cancel the investigation of preliminary evidence indicating alleged tax evasion by KPC. (*)