Antigraft Comission Arrests SKKMigas Chief Over Alleged Bribery

2013 08 14T022001Z 628439747 GM1E98E0SMB01 RTRMADP 3 INDONESIA CORRUPTION KPK Preview 1024X674

Rudi Rubiandini, head of Indonesian energy regulator SKKMigas, speaks during an interview with Reuters at his office in Jakarta in this March 6, 2013 file photo.

Indonesian media reported on August 14, 2013 that the Southeast Asian country’s anti-graft agency had arrested Rubiandini for alleged corruption. Metro TV said Rubiandini was taken into custody by anti-graft officials in the capital, Jakarta. (Reuters Photo/Enny Nuraheni)

Indonesia’s Corruption Eradication Commission (KPK) has arrested Rudi Rubiandini, the head of upstream oil and gas regulator SKKMigas, on allegations of bribery.

The KPK apprehended Rudi, along with four other people, at his house in the Kebayoran Baru area of South Jakarta on Tuesday night, according to KPK spokesman Johan Budi. The commission has not released the identities of the others.

Deputy KPK chief Bambang Widjojanto said that the commission also confiscated hundreds of thousands of dollars from Rudi’s house.

“We seized $400,000 in cash so far,” Johan said in a text message to BeritaSatu on Wednesday.

He added that investigators were still searching Rudi’s residence.

“We found other pieces of evidence, including more money,” Bambang said. “[We don't have] details on the total amount yet.”

The KPK is questioning Rudi and the four others at the KPK’s headquarters, according to Busyro Muqoddas, another deputy chief at the KPK.

“He has been arrested on allegations of bribery, but we must still conduct an investigation,” he said.

Rudi became chairman of SKKMigas on January 16, 2013. He was previously the deputy minister of energy and mineral resources.

Upstream normally refers to the search, recovery and production of crude oil and natural gas, whereas downstream refers to the refining of oil and and sale and distribution of oil and gas products.

The arrests come as concern mounts about Indonesia’s energy sector following the introduction of a string of nationalistic policies. Companies, such as US oil giant Chevron, have run into legal problems.

Last month three employees of a local Chevron subsidiary were jailed over a series of corruption allegations. The case spooked foreign investors who have battled fast-changing industry regulations and legal uncertainty in recent years.

Indonesia is one of the world’s most corrupt countries. Transparency International last year ranked the country 118th out of 176 countries on its annual index, which rates the least to the most corrupt states.

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