Indonesia Probes $3.3M Bribery in Foreign Worker Permits

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Indonesia’s anti-corruption agency is investigating a $3.3 million extortion network inside the Ministry of Manpower, where officials allegedly collected bribes for approving foreign worker permits since 2019.

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Reported by

Alena Koroleva
OCCRP
May 27, 2025

Indonesia’s Corruption Eradication Commission (KPK) is investigating a suspected extortion scheme inside the Ministry of Manpower, believed to have generated around $3.3 million through bribes linked to foreign worker permits.

The scheme reportedly dates back to 2019, when ministry officials allegedly began collecting illegal payments from agents managing foreign labor applications. These payments, funneled through internal channels, helped expedite or approve permits that would otherwise face delays.

“Our preliminary findings estimate that the total amount collected is around 53 billion rupiah, or about $3.3 million,” said KPK spokesperson Budi Prasetyo on Tuesday, confirming the launch of the probe.

KPK investigators questioned four officials from the ministry, all of whom were involved in processing or verifying plans for foreign labor use. Investigators are examining how the funds flowed internally and are relying on these officials’ testimonies to trace the network of illegal payments.

“All four witnesses were present. KPK is focusing on the flow of money that was allegedly extorted from foreign labor agents handling work permit documents at the Ministry,” Prasetyo said.

The investigation centers on the Directorate General of Manpower Placement and Development (Binapenta), where individuals allegedly demanded payments in exchange for approving foreign worker permits. So far, eight individuals have been named as suspects, although the KPK has not yet disclosed their identities or exact roles.

This case is the latest in a series of corruption scandals rocking Indonesian ministries. Earlier this year, the Attorney General’s Office launched a separate investigation into a $630 million Chromebook procurement scandal at the Ministry of Education, further highlighting the systemic challenges facing President Joko Widodo’s administration.

The KPK has urged the public to report any knowledge of bribery or extortion schemes tied to government services, promising to pursue all credible leads.

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