Stefani Wijaya, Jakarta – The Corruption Eradication Commission (KPK) on Tuesday named West Lombok Regent Lalu Ahmad Zaini as a corruption suspect over an alleged scheme to rig public procurement contracts worth tens of billions of rupiah and accept billions of rupiah in bribes.
Lalu was arrested a day earlier on allegations that he conspired with business associates to manipulate project tenders in the West Lombok administration in exchange for cash, a car, designer shoes, an iPhone, and even sacrificial cattle.
The anti-graft agency also named two other suspects: Sudirman, president director of regional water utility Air Minum Giri Menang, and Alvonsus Gani, president director of engineering company Meconel Sistim Instrument.
Speaking at a press conference in Jakarta, KPK Director of Investigation Achmad Taufik Husein alleged that Sudirman played a central role in arranging procurement contracts and collecting kickbacks from contractors on behalf of the regent.
According to investigators, Sudirman used his private company, Dyas Karya Konstruksi, as the main vehicle for securing government projects while coordinating other companies to participate in tenders merely to create the appearance of competition and avoid drawing public suspicion.
Those companies were instructed to obtain supporting documents from selected vendors to strengthen their bids, giving them an advantage over legitimate competitors, Taufik said.
The coordinated bidders were subsequently awarded public works contracts worth a combined Rp 17.9 billion (about $1 million) through both competitive tenders and direct appointments by the West Lombok Public Works and Spatial Planning Office.
The projects included urban park rehabilitation, construction of government office buildings, renovations to the regent's office, and other infrastructure works.
Investigators alleged that after winning the contracts, the companies transferred the work to Dyas Karya Konstruksi, which then subcontracted the projects to other firms. Companies that had allowed their names to be used in the bidding process allegedly received payments equivalent to 3% of each project's value in exchange for their cooperation.
The KPK estimates Dyas Karya Konstruksi earned profits of around Rp 10.6 billion (approximately $591,000) from the scheme.
In addition, the company allegedly received Rp 31.1 billion (about $1.7 million) in payments from various West Lombok government agencies.
"Of the total Rp 41.7 billion received by Sudirman through his company, Rp 10.8 billion was handed over to the regent," Taufik said.
Separately, Meconel Sistim Instrument, a supplier to the regional water utility, allegedly provided Lalu with cash, goods, and other benefits worth at least Rp 1.6 billion, investigators said.
Combined, the anti-graft agency alleges that Lalu received at least Rp 12.4 billion (About $692,000) in cash and in-kind benefits from Sudirman and Alvonsus.
Between 2024 and 2026, Meconel Sistim Instrument secured water management-related contracts in West Lombok worth Rp 27.1 billion (around $1.5 million) with the assistance of Sudirman and Lalu, according to the investigation.