Ex-nutrition agency chiefs suspected in massive procurement markup

hartono · Jun 3, 2026

Ex-nutrition agency chiefs suspected in massive procurement markup

The suspect in the alleged corruption case involving the governance of the Free Nutritious Meals (MBG) program at the National Nutrition Agency (BGN), Dadan Hindayana, sits inside a detention vehicle at the Attorney General’s Office in Jakarta, Wednesday (June 3, 2026). (ANTARA FOTO/M Risyal Hidayat Mrisyalhidayat)

Jakarta (ANTARA) - The Attorney General’s Office (AGO) announced that the former head of the National Nutrition Agency (BGN), Dadan Hindayana, and his two deputies are suspected of inflating procurement contracts by more than Rp1 trillion.

Syarief Sulaeman Nahdi, the Director of Investigation for the Deputy Attorney General for Special Crimes, made the statement after naming the three officials as suspects in an ongoing corruption probe linked to the government's flagship Free Nutritious Meals (MBG) program.

Speaking to reporters in Jakarta on Wednesday, Nahdi highlighted that the Hindayana and his two deputies, Lodewyk Pusung and Sony Sanjaya, allegedly misappropriated state funds intended for MBG operations, resulting in massive state losses.

He pointed out that Hindayana and his deputies were arrested on suspicion of inflating a procurement contract for 21,801 electric motorcycles, valued at a total of Rp1.035 trillion (approximately US$57.6 million).

The contract was awarded to PT YAT, a vendor the AGO deems unqualified because it lacks active operational facilities.

Nahdi explained that the former BGN leaders are also believed to have misappropriated funds earmarked for purchasing 32,000 pairs of shoes, 31,994 tablets, and 5,400 televisions.

Prosecutors allege that the suspects intervened in the procurement process by pressuring commitment-making officers to alter terms of reference, entirely disregarding actual operational needs.

Moreover, the detainees allegedly reaped personal financial gains by appointing foundations with close ties to them as partners for MBG kitchens, officially known as nutrition fulfillment service units (SPPG).

“These foundations gain billions of rupiah in incentives daily and trillions annually. They are directly affiliated with and owned by suspects DH, SS, and LP,” Nahdi added, using the suspects' initials.

Facing multiple charges under Indonesia's anti-corruption laws, the three suspects have been placed in a 20-day detention period at facilities managed by the AGO and the South Jakarta District Attorney’s Office.

Prior to the arrests, President Prabowo Subianto replaced the agency's leadership, appointing Naniek S. Deyang as the new BGN head, alongside new deputy chiefs Agustina Arumsari and Major General Trenggono.