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Two Medan City Government Heads Become Suspects of IDR 4.8 Billion Fashion Festival Corruption

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Medan, hitclubapk3 Indonesia

District Prosecutor’s Office (Kejari)
Medan
named two department heads at the Medan City Government, North Sumatra, and one associate as suspects in alleged corruption in the 2024 Medan Fashion Festival (MFF) activities.
In this case, state losses are estimated at IDR 1.13 billion.
Head of the Medan Prosecutor’s Office, Fajar Syah Putra, said that the suspects were the Head of the Medan Cooperatives, SMEs, Industry and Trade Service, Benny Iskandar Nasution, Head of the Medan Transportation Department Erwin Saleh, and MH as Director of CV Global Mandiri.
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“The Medan Prosecutor’s Office has named three suspects in the case of alleged corruption in Medan Fashion Festival activities. Two of them still serve as service heads at the Medan City Government,” said Fajar Syah, Thursday (13/11).
He said that the 2024 Medan Fashion Festival activities would take place at the Santika Dyandra Hotel using a budget ceiling of IDR 4.8 billion.Then, from the results of the Medan City Inspectorate audit, it was found that state financial losses amounted to IDR 1.132 billion.
“Investigators found a number of irregularities in the implementation of activities, including direct payments made in cash and not following procedures. In fact, there was still a debt to the hotel amounting to IDR 70 million that had not been paid. A number of activity items were also not implemented,” he said.
From the results of the investigation, he added, Benny Iskandar Nasution as budget user and Erwin Saleh as PPK (at that time serving as Secretary of the Medan Cooperatives, SMEs, Industry and Trade Service) had changed the implementation mechanism and appointed CV Global Mandiri directly as a partner.
In fact, he continued, it is suspected that the project was carried out not in accordance with the provisions and caused state losses.
“We will continue to develop this case. There are still several witnesses who have not answered the summons, including vendors in Jakarta,” stressed Fajar.
Fajar said investigators immediately detained Benny Iskandar Nasution and MH.Meanwhile, Erwin Saleh has not been detained because he was absent from investigators’ summons on the grounds of illness.
“There are a total of three suspects. We have detained two today, another one has not yet appeared. His legal representative only submitted a sick certificate,” explained Fajar.
The three suspects were charged under Article 2 paragraph (1) and Article 3 in conjunction with Article 18 of Republic of Indonesia Law Number 31 of 1999 concerning the Eradication of Corruption Crimes as amended by Republic of Indonesia Law Number 20 of 2001, in conjunction with Article 55 paragraph (1) 1 of the Criminal Code.
“This is being carried out by one agency, there is no involvement of other agencies. The examination is proceeding according to facts and evidence, not assumptions,” said Fajar.
(fnr/kid)
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