SOE Ministry dismisses Budi Tjahjono as president director of Askrindo

Budi Tjahjono, former president director of Jasindo (Image credit : Jasindo)

JAKARTA (TheInsiderStories) – The State Owned Enterprise Ministry (SOE) has decided to sack Budi Tjahjono as President Director of Askrindo, after the Corruption Eradication Commission (KPK) declared him as a suspect in a corrupted case.

Budi Tjahjono was implicated in a case when he was president director of PT Jasindo, a state owned general insurance company. Budi was accused to have paid fictitious commission related with oil and gas insurance policies of production sharing contractors (PSCs) during the period of 2010-2012 and 2012-2014.

Deputy SOE Minister for Financial Service, Survey and Consultancy Gatot Triahrgo said the SOE Ministry does not tolerate cases that are breaching the applicable regulations. Gatot said the case is against the corporate governance that must be implemented by state owned companies.

PT Asuransi Jasa Indonesia (Jasindo) Corporate Secretary Yuko Gunawan made a public announcement on Friday (May 5) that although the company’s former CEO is being investigated by KPK, Jasindo operates as normal.

“In carrying out its operation, Asuransi Jasindo as an SOE, always complies with all existing stipulations, regulations and laws and is fully committed to implement the Good Corporate Governance (GCG) and good business ethics,” Jasindo said in a statement.

The utilization of an agent is in accordance with the Law on Insurance No. 40, 2014 and implementing regulations. In relation to this, the company has its own internal mechanism in the selection of an agent, referring to the applicable regulations.

“The company will respect the ongoing legal process, fully hands the case to the related authority (KPK) and will fully cooperate,” it said.