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Thursday
Aug292013

Fallout from SKKMigas bribe case may spread 

An official of the Singapore-based energy trading firm accused of bribing one of Indonesia's top oil and gas regulators wants to name other companies involved in the graft.

Simon Gunawan Tanjaya, head of Kernel Oil's Indonesia unit, was arrested after he allegedly delivered $700,000 in two payments to the chief of SKKMigas, Rudi Rubiandini.

Rubiandini was arrested two weeks ago by Indonesia's independent Corruption Eradication Commission (KPK).

‘Simon’s lawyer Junimart Girsang said his client is ready to name other companies involved in the bribery case,’ according to news site Oil Patch Asia.

SKKMigas sells excess oil and gas to private bidders. About 40 companies are reportedly on its bid list.

The KPK seized more than $300,000 in cash and gold from Rubiandini’s office and a safety deposit box. Some reports said about $400,000 was also taken from his house.

Simon said Kernel Oil paid the bribes to break into Indonesia’s oil industry.

The lawyer Junimart said Monday his client ‘wants me to ask KPK to be objective in handling the case. KPK should not continue to attack only Kernel Oil. Other companies should also be involved.’

Three other top SKKMigas officials have been arrested in the case.

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Richard L. Cassin is the Publisher and Editor of the FCPA Blog. He can be contacted here.