Tax Amnesty Loophole

The transaction last Monday went quickly and smoothly. At 8pm, Handang Soekarno, head of the Preliminary Evidence Investigation Sub-Directorate of the Finance Ministry arrived at a Spring Hills apartment unit in Kemayoran, Central Jakarta, where businessman Rajesh Rajamohan Nair was already waiting. Fifteen minutes later, Handang left the premises.

The Corruption Eradication Committee's (KPK) team, who had been staking out the place since afternoon wasted no time. They intercepted the black Honda Civic Handang was riding in. The driver, who was also Handang's aide, did not put up a fight. "The KPK seized US$145,500 from Handang," said KPK Chief Agus Rahardjo last week, adding that the amount of approximately Rp1.9 billion was only a 'down payment'.

November 29, 2016