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Former deputy minister arrested

Cash found at home of Indonesian energy chief

Former deputy minister arrested

Corruption Eradication Commission (KPK) officials arrested Rudi Rubiandini at his home in Jakarta

Ryan Dagur, Jakarta

August 14, 2013

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The head of Indonesia’s oil and gas regulator has been arrested for alleged bribery, the country’s anti-graft body said on Wednesday.

SKK Migas chairman Rudi Rubiandini, a former deputy energy minister, was arrested at his home in Jakarta on Tuesday night, the Corruption Eradication Commission (KPK) said.

Rubiandini was arrested in the act of taking a bribe from three other individuals who were also detained, according to the KPK.

“When investigators raided the house, they discovered $400,000,” KPK spokesperson Johan Budi Sapto Prabowo said on Wednesday.

Two of the others arrested were representatives from a foreign oil and gas company, he said.

He declined to give the names of the other people detained or who they worked for.

However, Indonesia’s popular news portal reported that Rubiandini had allegedly received bribes from Kernel Oil Pte Ltd, a Singapore-based oil trading firm.

"There are 40 oil traders dealing with SKK Migas. Kernel Oil is one of them,” SKK Migas deputy chief, Widyawan Prawiraatmadja, was quoted by as saying.

He said the traders sell crude oil that cannot be processed domestically to be processed abroad.

Officials at PT KOPL Indonesia did not respond to calls and were not available for comment on Wednesday.

Rubiandini served as deputy minister of energy and mineral resources from 2012 until early this year, before being appointed head of SKK Migas in January.

The regulator had only just been set up, replacing the dissolved BP Migas, which was under investigation for alleged corruption within its ranks.

Rubiandini’s arrest came as a shock as the former minister had pledged to address declining oil production and rampant corruption in the industry.

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