Bank Indonesia Official Summoned as Witness in Graft Case | Company Business News-OxBig News Network

(Bloomberg) — A Bank Indonesia deputy governor will testify this week as a witness in a graft case related to the use of corporate social responsibility funds.

Deputy Governor Filianingsih Hendarta is expected to testify as a witness in the case on Thursday, Indonesian antigraft agency Chairman Setyo Budiyanto said in a text message on Wednesday. Local media reported earlier in the day that Hendarta had been officially summoned by the agency.

Hendarta and a Bank Indonesia spokesman didn’t immediately respond to Bloomberg requests for comment. Bank Indonesia held its monthly monetary policy briefing on Wednesday but didn’t address questions from reporters about the summons. Hendarta was present at the virtual briefing.

The antigraft agency, known as the KPK, has been investigating the suspected misuse of CSR funds of the central bank and the country’s financial services regulator. The agency has also summoned lawmakers and parliament staff for questioning in the case.

In December, investigators raided offices of the central bank in Jakarta, seizing several documents and electronic evidence. Bank Indonesia Governor Perry Warjiyo said at the time that the bank would cooperate with the investigation, adding that its CSR funds were allocated annually to legitimate foundations for projects focusing on education, community development, empowerment of micro, small and medium enterprises, and religious activities.

Read: Indonesia Central Bank Cooperates With Graft Probe of CSR Funds

The KPK in December also searched the office of the Financial Services Authority. The FSA said at the time that it would cooperate with the investigation.

–With assistance from Norman Harsono.

(Updates with confirmation from the antigraft agency and adds context.)

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