Jakarta: The Central Jakarta Corruption Court sentenced former Pertamina president director Karen Agustiawan to eight years in prison and a fine of Rp 1 billion on Monday.
Karen was declared guilty of being involved in a graft case related to Pertamina’s investment in Australia's Basker Manta Gummy (BMG) Block in 2009.
"Karen Agustiawan was proven guilty of committing corruption" the head of the panel of judges Emilia Djaja Subagia read the court's verdict this afternoon.
Pertamina's subsidiary, PT Pertamina Hulu Energy, acquired a participating interest in the BMG block in Australia in 2009. The case reportedly caused Rp 568 billion in state losses.
According to reports, Karen signed the agreement without due diligence and risk analysis. Furthermore, she also did not seek Pertamina’s Board of Commissioner and legal department’s approval.
Last month, prosecutors demanded a 15-year prison sentence and a Rp 1 billion fine. In addition to that, they also demanded an additional Rp 284 billion fine.
The former Pertamina boss immediately appealed the court's verdict.