Indonesia's Financial Services Authority has completed its investigation into an alleged banking crime at PT BPR Sumber Artha Waru Agung (SAWA) in Sidoarjo, East Java, by handing over one suspect and the case evidence to public prosecutors at the Sidoarjo District Prosecutor's Office. The transfer moves the case into the prosecution stage. The suspect, identified as KI, is the president director of PT BPR SAWA. The investigation found that the alleged offenses occurred between November 2017 and August 2019. KI is suspected of deliberately causing false entries in the bank's books, reports or documents and or failing to take the steps needed to ensure the bank's compliance with applicable laws. The conduct allegedly involved initiating and or approving credit disbursements, repeated credit extensions and increases in credit limits for 13 credit facilities in the names of 11 debtors, with a total ceiling of IDR 5.835 billion, in breach of applicable rules. OJK had previously submitted the case file to prosecutors, and it was declared complete on June 29, 2026. OJK had revoked PT BPR SAWA's business license on July 24, 2024, but said that administrative action did not remove potential criminal liability, allowing the investigation to continue through to prosecution. The suspect faces charges under Indonesia's Banking Law and related criminal provisions, with a maximum penalty of 15 years' imprisonment and or a Category VII fine of up to IDR 5 billion.

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