Wilmar fined Rp 11.8 trillion for bribing officials to evade Indonesia's cooking oil ban

Wilmar Group is one of the world's largest palm oil trading companies, founded by Singaporean tycoon Kuok Khoon Hong. In 2021-2022, Indonesia faced a severe cooking oil crisis: despite being the world's top palm oil producer, global CPO prices surged, producers prioritized exports, and domestic cooking oil prices rose 40%. The government imposed export controls, including a Domestic Market Obligation requiring producers to supply the local market at capped prices of Rp 14,000 per liter.

Wilmar's subsidiary PT Wilmar Nabati Indonesia ignored the DMO, prioritizing high-margin exports over domestic supply. The company bribed Trade Ministry officials, including Director General of Foreign Trade Indrasari Wisnu Wardhana, to obtain export permits without meeting domestic obligations. The scheme was uncovered when the cooking oil shortage persisted despite the controls. The Attorney General's Office estimated state economic losses at Rp 18.3 trillion from the manipulation of export facilities.

In March 2025, a lower court acquitted Wilmar. However, four judges were arrested for accepting bribes to deliver the acquittal. The Supreme Court overturned the acquittal in September 2025, fining five Wilmar subsidiaries Rp 1 billion each and ordering Rp 11.88 trillion ($725 million) in compensation. Authorities had already seized the amount from Wilmar's accounts. Master Parulian Tumanggor, a Wilmar commissioner, was sentenced to 18 months in prison. The case became Indonesia's largest corporate corruption scandal.