Jakarta Court Orders TaniHub and Subsidiaries to Pay Rp 364 Billion Restitution in VC Graft Case
The Jakarta Corruption Court sentenced TaniHub and its two subsidiaries to pay a total of Rp 364 billion in restitution and a Rp 1 billion fine each for a venture-capital corruption scandal.
During a Thursday hearing, a panel of judges at the Jakarta Corruption Court convicted agricultural-tech startup PT Tani Group Indonesia and its affiliates PT Tani Hub Indonesia and PT Tani Supply Indonesia of receiving illicit benefits from venture-capital investments tied to two state-owned-enterprise funds. The verdict mandates a restitution total of Rp 364 billion, allocated as Rp 23.09 billion for the parent company, Rp 236.91 billion for PT Tani Hub Indonesia, and Rp 77.22 billion for PT Tani Supply Indonesia, and each subsidiary must also pay a Rp 1 billion fine.
Presiding Judge Suwandi warned that non-payment within two months would allow prosecutors to confiscate and auction the firms’ assets. The restitution figures for the subsidiaries differ slightly from the prosecutors’ original demand. Both the prosecution and the companies indicated they would deliberate for a week before deciding whether to appeal the judgment.
Why it matters
The ruling highlights corruption risks in Indonesia's venture-capital sector and could deter future misuse of state-linked investment funds.
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