The general manager of Wilmar International’s Indonesian subsidiary Duta Sugar International (DSI) has been charged for carrying out “unlawful acts” relating to the import of raw sugar causing losses of IDR578 billion in 2016.
Duta Sugar International, along with eight other refined sugar producers in Indonesia, were charged by the Indonesian Public Prosecutor this October.
The nine sugar producers’ position in relation to these charges has always been that they were acting in accordance with a directive by the then Minister of Trade, Thomas Lembong, to partner state-owned trading company, Perusahaan Perdagangan Indonesia (Persero) to import raw sugar and distribute refined white sugar to address the domestic sugar shortage problem in Indonesia in 2016.
The nine sugar producers were required to place a security deposit totalling IDR65.34 billion ($44 million) with the Indonesia Attorney General, with DSI’s share worth IDR41.23 billion.
The nine have contended that following the abolition and halting of legal processes in respect of the sugar import case against the former Trade Minister, the case should be dismissed.
Wilmar says that the financial impact of the deposit paid by DSI, if forfeited, will not be material for the group.
