Tuesday, April 26, 2011

Citibank, Malinda, Money Laundering

Inong Malinda Dee (47), former Senior Manager of Citibank Indonesia who handled customers with a minimum account of Rp 500 Million, has been named by the Police as a suspect in the embezzlement of Rp 17 Billion of the bank's customers' money.

Republika quoted her lawyer Indra Sahnun Lubis as saying that Malinda has admitted about the customer's money laundering. He also said that Malinda's ex bosses in the bank knew about this practice since 10 years ago.  

Asian News Network reported that the Financial Transaction Reports and Analysis Center (PPATK) has launched an investigation of the Money Laundering allegations on 18 April 2011 and found indications that the customers include Police Generals, local administration leaders and their families. 
However, the Police has repeatedly denied that any of its officers had Citibank accounts.

PPATK's investigation would determine if Citibank exercised due diligence in opening accounts for “politically exposed” customers, such as public officials who might be more likely to engage in money laundering. 

The Jakarta Globe reported that  the Police has alleged Malinda of laundering at least Rp 2 Billion through PT. Sarwahita Global Management, a company that she partially owned.
Due to this allegation, Air Vice Marshall Rio Mendung, a Commissioner of PT Sarwahita, was removed from his position as Deputy Chairman of the National Defence Institute (Lemhanas).

I hope that investigations by the Police and PPATK would reveal the truth about this case.

19 comments:

Unknown said...

I do not follow the case of Citibank.

and other problems such as incomplete resolution of this case

colson said...

If Malinda says her bosses knew about the money laundering, I tend to believe her.

Banks never objected to resort to controversial means to earn money. Swiss banks have been thriving by receiving illegally obtained money.


Some US banks allegedly even speculated against their own clients. The main US and European banks sold junk products and gambled with other people's money- only to made/make the government pay by taxpayers money the moment it went wrong...

In short: Citibank is a huge American bank. Part of the culture of Wall-street. A culture of financial immorality. The right place for embezzlers to hide or whitewash their money.

I also am curious about the outcome of an investigation.

Unknown said...

@Wisata Murah,
Let us hope that the investigation of this case will reveal the truth.

@Colson,
The most worrying thing would be if top guys at Citibank Indonesia are aware that money laundering existed.
If that happens, Citibank would not only violate the anti Money Laundering law in Indonesia, but also in the US.

dee said...

Hi Harry Nizam, Malinda said that Citibank actually know what she did at this time.. wow! if that is really real, it means Citibank abused client's money and that's banking crime.

Thank you! this month is mean a lot for me [15 April]

Unknown said...

Deeahzone,
If it is really true, it is a disaster for banking in Indonesia.

Anastasia F-B said...

Good post, Harry. I was so pleased to see you again on my blog.

Jolly Princess said...

I pity the depositors for their hand earned monies. I hope the monies will be returned to them with the corresponding interest. Likewise I hope there will be no whitewash as the case is heard in the court. Citibank must regain their stained image.

attayaya-mading said...

andy gunawan (?) suaminya, juga diperiksa polisi

budi said...
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budi said...
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budi said...
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Unknown said...

@Anastasia,
Hi Ana, longtime no see. I am very glad to see you again on my blog.

@JP,
Wrongdoings in banks are dangerous for the economy. But let us hope that in this case there will be no whitewash as the case is heard in the court.

@Attayaya-Mading,
Benar katanya suami 'siri'nya sudah dijadikan tersangka oleh Polisi.

r10 said...

berinvestasi di bank sekarang menjadi tidak aman dgn adanya berbagai kasus perbankan seperti money laundering dan debt collector

Unknown said...

R10,
Kasus money laundering and debt collector di Citibank bisa mengurangi minat masyarakat untuk menabung.

Unknown said...

Interesting claims.

Unknown said...

Hi Peter/Kiwi,
Interesting yet very dangerous.

Tukang Jalan Dan Makan said...

The First City Bank and Now Mega Bank, It's Make me feel afraid to save my money in Bank, but what a lucky I don't have money to save

Tukang Jalan Dan Makan said...

@attayaya: Andika Gumilang bang. ia juga sudah mengaku menerima dana dari Inong , case of city bank and MEga Bank make some people are afraid to save their money in Bank

Unknown said...

Akhyar Usman,
I agree that the Citibank and Bank Mega case are scaring people of putting their money in banks.