BALINEWSID.COM, GIANYAR – Investigation into Denpasar Immigration Office Raid Should Extend to Nominee Practices and Misuse of Foreign Residency Permits, Says Lawmaker

GIANYAR – Member of Indonesia’s House of Representatives Commission III, I Nyoman Parta, has urged the Corruption Eradication Commission (KPK) to continue its investigation beyond the recent search of the Denpasar Immigration Office and thoroughly examine alleged corruption related to the issuance of residence permits for foreign nationals in Bali.

Speaking at his Aspiration House in Guwang Village, Gianyar Regency, on Saturday (June 20, 2026), Parta praised the KPK’s move to conduct a search at the immigration office on Friday (June 19). However, he stressed that investigators must also question immigration officials suspected of being involved in irregularities within Bali’s immigration administration system.

“KPK must not stop at conducting searches. It should continue by examining immigration officials in Bali, as I previously requested on June 5, 2026,” Parta said.

According to the politician from the Indonesian Democratic Party of Struggle, many issues involving foreign nationals in Bali over the past several years are closely linked to weak supervision and poor immigration governance.

He cited a range of problems, including illegal foreign workers, misuse of visas and residence permits, shell companies, fictitious investments, nominee arrangements, human trafficking, online fraud, online gambling, money laundering, and international narcotics networks.

Parta argued that visa and residence permit abuses, as well as nominee practices, are among the most serious concerns because of their direct impact on Bali’s social and economic conditions.

He noted that many foreigners enter Indonesia using visitor visas but later work or operate businesses in Bali. Others claim to be investors and obtain residence permits despite insufficient verification of their investment activities.

Parta also highlighted concerns over investments conducted through nominee schemes, which he said allow funds from unclear or potentially illegal sources to enter Bali. Such practices, he added, have contributed to soaring land prices, making it increasingly difficult for local residents to purchase property.

“Funds from various illegal activities can enter and be invested in Bali. This has triggered a massive rush for land, pushing prices higher and making it harder for local communities to own property,” he said.

The lawmaker emphasized Bali’s strategic position as one of Indonesia’s main international gateways. Throughout 2025, Bali welcomed approximately 6.9 million international tourists, recorded more than 15 million international crossings, issued over 53,000 immigration residence permits and around 28,000 passports, while generating Rp1.5 trillion in non-tax state revenue.

Given the scale of immigration activities on the island, Parta said any alleged corruption in the sector must be fully exposed because its consequences extend beyond state financial losses and affect Bali’s social, economic, and cultural landscape.

In addition to investigating immigration officials, Parta called on the KPK to examine private parties allegedly involved in the issuance of problematic visas and residence permits. He noted that immigration applications often involve consultants, agents, and intermediaries who could be part of a broader corruption network.

“All parties who benefited from such practices must be held legally accountable,” he said.

Parta further urged the KPK to transparently disclose all individuals suspected of involvement so that the public can gain clarity regarding the ongoing investigation.

He also reminded both Balinese and Indonesian citizens that foreign investment in Bali should be conducted through legitimate and transparent mechanisms, including foreign direct investment schemes, while avoiding nominee arrangements.

“I urge the people of Bali and Indonesia not to become nominees. If we want Bali’s tourism sector to be orderly and sustainable, we must stop facilitating such practices,” he said.

Parta expressed hope that the case would serve as a turning point for improving immigration governance in Bali and send a clear message to foreign nationals that they must comply with Indonesian laws when investing or conducting business activities in the country.

Earlier, KPK investigators searched the Denpasar Immigration Office on Friday as part of an ongoing investigation stemming from a sting operation involving alleged bribery and illegal levies related to the processing of residence permits for foreign nationals.

The seven-hour search was conducted as investigators expanded the case. Several individuals have been detained in connection with the probe, including former Director General of Immigration and Corrections and former Deputy Minister of Immigration and Corrections, Silmy Karim. The investigation remains ongoing.