- The palm oil plantation company, PT Ricky Kurniawan Kertapersada (RKK) , was subject to a fine but filed for bankruptcy. This palm oil plantation company was declared bankrupt by the Medan District Court (PN). This bankruptcy application is said to be a way for companies destroying the environment to avoid responsibility for paying fines to the state . The Ministry of Environment and Forestry did not remain silent and fought back against the bankruptcy decision.
- The Ministry of Environment and Forestry is opposing the bankruptcy decision. Ratio Ridho Sani , Director General of Environmental and Forestry Law Enforcement , KLHK, said that PT RKK deliberately went bankrupt to avoid paying fines to the state for environmental losses and ecological restoration. The Ministry of Environment and Forestry also resists by filing objections or revise procedures.
- The bankruptcy decision was considered odd because the palm oil company did not include KLHK in the list of fixed receivables ( DPT ) by the curator in the name of Benedictus Michael Sinaga. In fact, the reason RKK filed for bankruptcy was because it had a receivable from KLHK, namely the obligation to pay the fine .
- Previously, PT RKK was found guilty by the Jambi High Court for forest fires covering 591 hectares in 2015. Due to this decision, this palm oil plantation company was subject to a total environmental restoration fine of IDR 191.8 billion. In detail, the RKK must pay material compensation for damage to the ecosystem in cash to the Ministry of Environment and Forestry IDR 44.745 billion and the cost of restoring the ecological function of burned land IDR 147.058 billion.
The palm oil plantation company, PT Ricky Kurniawan Kertapersada (RKK), was fined but filed for bankruptcy. The Medan District Court (PN) declared bankruptcy. The bankruptcy application by this palm oil plantation company is said to be a way for companies destroying the environment to avoid responsibility for paying fines to the state. The Ministry of Environment and Forestry did not remain silent, fighting back against the bankruptcy decision.
Previously, this palm oil company was obliged to pay a fine to the state for the cost of restoring ecological functions of Rp. 191,803 billion for forest and land fires covering 591 hectares in 2015 in Puding Village, Kumpeh District, Muaro Jambi Regency, Jambi. Because there is a bankruptcy decision, RKK can escape responsibility from paying losses to the state through the Ministry of Environment and Forestry.
The Ministry of Environment and Forestry fought back
The Ministry of Environment and Forestry did not accept this and put up resistance. Ratio Ridho Sani , Director General of Environmental and Forestry Law Enforcement, KLHK, said that RKK deliberately bankrupted itself to avoid paying fines to the state for environmental losses and ecological restoration. The Ministry of Environment and Forestry, also resisted by filing objections or revising procedures.
"We will carry out this fight so that this does not happen again. This is an effort to avoid the defendant's responsibility to pay the state regarding environmental choices and ecological restoration," he said at a media meeting in Jakarta, last week.
He considered this bankruptcy decision to be odd because the palm oil company did not include KLHK in the list of fixed receivables (DPT) by the curator in the name of Benedictus Michael Sinaga. In fact, the reason RKK filed for bankruptcy was because it had a receivable from KLHK, namely the obligation to pay the fine.
According to Roy, the director general's nickname, the curator should record the bankruptcy assets, the number of creditors and creditors' claims to be included in the bankruptcy assets list (DHP).
In this case, he said, the Ministry of Environment and Forestry is obliged to be included as one of the creditors as the basis for bankruptcy in accordance with the provisions of Article 100 of Law Number 37/2004 concerning Bankruptcy and Postponement of Debt Payment Obligations (Bankruptcy Law).
"By not joining the KLHK as a permanent creditor, the KLHK receivables bill of IDR 191,803,261,700 is threatened with not being paid by the curator to the state," he said.
The Ministry of Environment and Forestry as a Creditor also does not accept the RKK Bankruptcy Decision Number 04/PDT.SUS-PAILIT/2023/PN.Niaga.MDN dated March 21 2023.
The curator, he said, in carrying out the bankruptcy process clearly did not comply with the principle of promulgatie . "Which means that RKK's bankruptcy decision must be announced and notified to all its creditors so that all creditors know that RKK is bankrupt."
KLHK reports curators and judges
He said that Benedictus Michael Sinaga's actions, as curator, were against the law and had the potential to harm the state.
The Ministry of Environment and Forestry, said Roy, will report Benedictus for ethical violations to the Professional Ethics Board. Meanwhile, the supervisory judge who heard this case also reported the Ministry of Environment and Forestry to the Supreme Court Supervisory Body.
“We see that there are bad intentions from the RKK. "We will take other legal steps, including investigating criminal acts committed by the RKK," he said.
He said, strict action will be taken against parties who conspire to harm the country. "Regarding not carrying out court rulings and doing steps that are detrimental to the country," said Roy.
Previously, the Minister of Environment and Forestry's authority had repeatedly submitted receivable bills to the RKK through Benedictus Michael Sinaga. However, it was rejected on the grounds that it was late in submitting the list of bills.
The curator actually transferred the power of the Minister of Environment and Forestry to coordinate with the Supervising Judge of the Commercial Court at the Medan District Court. The Minister of Environment and Forestry's attorney also submitted a letter in 2023 regarding KLHK creditors' receivables to the RKK supervisory judge (in bankruptcy). The letter went through the Medan District Court's one-stop integrated service (PTSP) officer with a copy to the Head of the Commercial Court at the Medan District Court.
The Minister of Environment and Forestry's attorney also submitted a bill to the supervisory judge and curator on the agenda for the follow-up creditor meeting last November 16 at the Commercial Court at the Medan District Court. However, he said, the supervisory judge and curator refused to include the KLHK bill in the list of bankruptcy claims because it had passed the deadline for tax verification and the receivables matching meeting determined on May 2 2023.
"By not notifying the RKK bankruptcy process to the Ministry of Environment and Forestry as creditor via registered letter or via courier, it means that the curator is not carrying out his legal obligations."
He said the Ministry of Environment and Forestry will take other legal steps so that bankruptcy does not become a new method for criminals to avoid legal obligations.
"Considering that there are allegations of criminal acts related to forest and land fires in RKK oil palm plantations, we will follow up on criminal law enforcement against forest and land fires at that location."
Alleged conspiracy?
Jasmin Ragil Utomo, Director of Environmental Dispute Resolution, KLHK, said that currently the KLHK is in the process of executing the decision of the Muaro Jambi District Court which declared RKK guilty and obliged to pay a fine. The Ministry of Environment and Forestry has also received a delegation from the Chair of the Jambi District Court.
The execution, he said, was still related to the PTUN's decision to revoke two RKK business use rights (HGU). However, in secret, RKK bankrupted itself by not including KLHK's receivables while the execution learning process was taking place. The curator also did not try to encourage the RKK to carry out the execution.
In this way, he said, it was indicated that there was a conspiracy or bad faith between the RKK and the curator not to implement the court decision which had permanent legal force. "By not paying environmental losses to the state treasury through PNBP and not taking action to restore the environment on damaged land."
Previously, RKK was found guilty by the Jambi High Court for 591 hectares of forest and land fires in 2015. Due to this decision, RKK was subject to a total environmental restoration fine of IDR 191.8 billion.
In decision Number 65/Pdt.LH/2017/PT.JMB, PT Jambi stated that RKK was against the law and was absolutely responsible ( strick liability) for environmental damage that caused losses.
RKK must pay material compensation for damage to the ecosystem in cash to the Ministry of Environment and Forestry IDR 44.745 billion and costs for restoring the ecological function of burned land IDR 147.058 billion.
Abdullah, Executive Director of Walhi Jambi, said that this was a new way for the company to escape its responsibilities. Usually, companies destroying the environment only argue that the source of the damage comes from outside the land management permit.
According to him, even though the court has decided that RKK is bankrupt, it does not necessarily cancel the obligation to pay fines to the Ministry of Environment and Forestry.
"Because of RKK's bankruptcy, of course there is bankruptcy in the company structure."
This compensation, he said, is also the responsibility of the company's board of directors and even company officials such as commissioners are also personally responsible.
"Both positions, which are of course attached to each person, have obligations to the company they manage and these inherent obligations arise, including when the company goes bankrupt," he said.
Abdullah said, according to Law Number 40/2007 concerning Limited Liability Companies, if a company (RKK) goes bankrupt due to errors or negligence of the directors and/or board of commissioners, they will share the responsibility if the company's assets are not enough to pay the company's obligations.
"Each member of the board of directors and, or board of commissioners, is jointly and severally responsible for any outstanding obligations."
Raynaldo Sembiring, Executive Director of the Indonesian Center for Environmental Law (ICEL), said that the method by which environmentally destructive companies bankrupt themselves to avoid responsibility has often occurred in various countries.
Going bankrupt, he said, has been a long-standing corporate strategy, including in cases of forest and land fires.
"Information about the company's strategy for going bankrupt has become a matter of public discussion. "So far, there have been many ways that companies have been punished to shirk their responsibilities," he told Mongabay.
RKK, he said, already understands that if they are declared bankrupt, KLHK will not be a creditor and will not be included in the list of receivables.
Under these conditions, he said, the Ministry of Environment and Forestry's resistance efforts deserve support so that Indonesian bankruptcy law also opens up to legal developments in the environmental and forestry sectors.
Dodo said that the company's method of going bankrupt must be anticipated. However, he said, the challenges of bankruptcy law in Indonesia are still not integrated with environmental responsibility. This condition, he said, meant that the court could easily decide RKK was bankrupt.
Because each has its own legal procedures," he said.
The Ministry of Environment and Forestry, he said, must move quickly to push for the execution of the court decision which declared the RKK guilty of forest and land fires and obliged to pay a fine. That way, he said, there is still a possibility for the RKK to fulfill its responsibilities.
“Speed up execution. Convicted companies don't have much room to maneuver. However, the implementation of this execution cannot be the responsibility of the Ministry of Environment and Forestry alone. The Ministry of ATR/BPN, the National Police, the Supreme Court also have authority."