The Financial Services Authority (OJK) handed over the controlling shareholder of PT Asuransi Jiwa Prolife Indonesia to prosecutors after completing the case file review.

The case concerns the alleged failure to comply with an OJK order to pay Rp566.24 billion in policyholder claims.

Investigators handed over the suspect, identified as HS, to the South Jakarta State Prosecutor’s Office.

The physical handover took place at the Gunung Sindur Special Class IIA Prison in Bogor, where HS is already serving a sentence for a separate fraud case involving the Indosurya savings and loan cooperative.

Authorities allege the suspect intentionally failed to comply with a written order issued by OJK in October 2023.

The regulator ordered the company to compensate policyholders based on its September 2023 financial reports.

The company was formerly known as PT Asuransi Jiwa Indosurya Sukses.

OJK revoked the firm’s business license in November 2023 after the company failed to comply with the compensation directive

Investigators have seized multiple assets to aid the recovery of funds for affected policyholders. These include 11 parcels of land and buildings across North Sumatra, Makassar, and Bogor valued at approximately Rp20.9 billion.

Authorities also seized Rp21.065 billion in time deposits held under third-party names, along with corporate shares valued at an estimated Rp72 billion.

The suspect faces charges under Indonesia’s Financial Sector Development and Strengthening Law and the Otoritas Jasa Keuangan Law.

If convicted, the individual faces up to six years in prison and a minimum fine of Rp15 billion.

The investigation involved coordination between OJK, the national police, the attorney general’s office, and the financial transaction reports and analysis centre (PPATK).

Featured image credit: Edited by Fintech News Indonesia, based on image by OJK