Indonesian Bank BJB’s $13.4 Million Corruption Scandal Under Investigation

The Corruption Eradication Commission (KPK) has launched a probe into a corruption case involving the Regional Development Bank of West Java and Banten (Bank BJB) and multiple advertising agencies. Public interest in the case surged after KPK searched the residence of former West Java Governor Ridwan Kamil on March 10, 2025.

According to the Supreme Audit Agency (BPK), the core issue revolves around an inflated advertising budget at Bank BJB, which amounted to Rp801 billion ($48.84 million). The agency’s findings revealed a stark discrepancy between the bank’s allocated funds and the actual amount received by media companies. Initially, BPK estimated a budget leak of approximately Rp28 billion ($1.71 million). However, KPK’s deeper investigation uncovered state losses that had escalated to Rp222 billion ($13.4 million).

Six Advertising Agencies Under Scrutiny

Six advertising agencies at the center of the scandal allegedly acted as intermediaries between Bank BJB and media firms, receiving payments significantly higher than the fair value of their services. These agencies were appointed directly by Bank BJB, bypassing the standard tender process required under Board of Directors Decree No. 0387, which mandates a competitive bidding process for transactions exceeding Rp1 billion ($60,976).

KPK has named five suspects in the case, including Bank BJB President Director Yuddy Renaldi, Corporate Secretary Division Head Widi Hartoto, and three executives from advertising firms. Both bank executives have since resigned.

The investigation has identified six major advertising agencies, whose executives have been named as suspects:

  1. PT Cipta Karya Sukses Bersama and PT Cipta Karya Mandiri Bersama, controlled by Raden Sophan Jaya Kusuma, handled Bank BJB’s television and online media advertising from 2021 to 2023.
  2. PT Antedja Muliatama managed print media advertisements for the bank.
  3. PT Cakrawala Kreasi Mandiri, led by Kin Asikin Dulmanan, was responsible for online and digital advertising.
  4. PT BSC Advertising and PT Wahana Semesta Bandung Ekspres, overseen by Suhendrik, were involved in online media advertising and are also under investigation.

KPK’s findings indicate that the agencies placed advertisements according to pre-approved plans with Bank BJB and collected commissions based on a percentage of the total ads placed. This system led to a substantial gap between the funds disbursed by Bank BJB and the actual payments received by media companies.

Violations in Procurement Procedures

KPK’s acting director of investigation, Budi Sokmo, stated that the financial discrepancy reached Rp222 billion ($13.4 million) with approval from Yuddy Renaldi and Widi Hartoto. Additionally, KPK found multiple procurement violations, including the manipulation of self-estimated price (HPS) documents and instructions to bypass verification of supplier documentation, both of which violate standard operating procedures.

Ridwan Kamil’s Possible Involvement

The search of former West Java Governor Ridwan Kamil’s home has raised questions about his possible role in the case. KPK confirmed that he will be summoned for questioning regarding evidence seized from his residence.

“When will he be summoned? He will definitely be called in for questioning, as we have confiscated certain evidence from his residence. We must clarify this with the individual concerned,” said Budi.

Bank BJB’s Response

In response to the scandal, Bank BJB’s new Corporate Secretary, Ayi Subarna, assured that business operations remain unaffected. The bank has pledged to uphold professionalism and transparency to maintain trust among customers, business partners, and shareholders.

The investigation into the Bank BJB advertising procurement corruption case remains ongoing, with the possibility of more witnesses being summoned and further scrutiny of the suspects’ roles in the scheme. Campaign Indonesia attempted to contact several of the implicated advertising agencies for comments but received no response.