The Attorney General's Office (Kejagung) has named two persons as suspects in a corruption case involving transfer pricing by PT Toba Pulp Lestari (TPL) for the period 2008 to 2025. Saiful Bahri Siregar, Director of Investigation at the Attorney General's Office for Special Crimes, stated that based on examination, PT TPL conducted exports through under invoicing by reporting products as paper grade pulp or bleached hardwood kraft pulp (BHKP).
According to their characteristics, uses, and market value prices, these products constitute dissolving pulp, but the HS Code reported for export has been altered. This HS Code change caused the value of products recorded from 2008 to 2025 to be inconsistent with their true condition or reduced, so the sale of High Alpha Pulp products to PT Asia Pacific Rayon or its affiliated companies was not properly recorded.
To facilitate their scheme, PT TPL sought assistance from two employees of the Directorate General of Taxes at the Ministry of Finance who have been named as suspects. Saiful explained that both failed in their duty to oversee and review examination documents and audit reports, so the reports were not based on an audit programme but instead on reports prepared by the suspects themselves. For these actions, the suspects received sums of money from PT TPL.
As a result of these actions, the state suffered financial losses in the form of reduced tax revenue that was improper. From the investigation results, preliminary losses were set at Rp2 trillion and the official figure will be provided by the audit team.
Both suspects are charged under Article 603 read together with Article 20 letters a or c of Law Number 1 of 2023 as well as Article 604 of Law Number 1 of 2023 in the alternative. They are held at Salemba Prison, the Attorney General's Office branch, for 20 days.
