The head of the People’s Consultative Assembly (MPR or Majelis Permusyawaratan Rakyat) has cal;led for all state-owned pension funds and insurance companies to be immediately audited by the Audit Board (BPK), to protect the interests of society and the country.
MPR chairman Bambang Soesatyo said that the aim is to get a clear picture of how investments by these state owned entities are carried out, according to local media reports.
He pointed to investment failures in two state owned entities—life insurer Jiwasraya and social welfare fund ASABRI. The latter manages funds for the social insurance and special pension payments of soldiers, members of the National Police and civil servants of the Ministry of Defence.
“A comprehensive audit needs to be carried out immediately by BPK on various state owned companies engaged in insurance services. Do not let the Jiwasraya and ASABRI incidents also occur in other insurance SOEs,” he added.There are currently at least seven state-owned companies engaged in insurance, namely, Jasa Raharja, Asuransi Jiwasraya, Asuransi Jasa Indonesia, Asuransi Credit Indonesia, Asuransi Export Indonesia, Reasurance Indonesia Utama, and Asuransi Republik Armed Forces Indonesia (ASABRI).He also urged that audits be carried out on BPJS Employment and BPJS Health. Although both are not included in SOEs, they manage public money. BPJS Health manages the national health insurance scheme while BPJS Employment runs four social security programmes (work accident, old-age, pension and death benefits).