Bali Discovery Tours: Homepage
Bali Hotels, Bali Villas and Bali News from balidiscovery.com
Home Bali Contact Bali Practicalities Bali News Bali Services Bali Transportation Bali Sports Bali Excursions Bali Villas Bali Hotels
Home · News · Airing Baliís Dirty Laundry
Bali Hotels, Bali Villas and Bali News from balidiscovery.com
Bali Hotels
Bali Villas
Special Deals!
Packages
MICE Handling
Bali Excursions
Culinary - Dining
Guided Tour
Bali Spas
Bali Sports
Diving
Golf
Bali Transportation
Car Rental - Selft Drive
Private Jet Charter
Bali News
Bali Services
Bali Practicalities
Bali Contact
Bali Career
Home
 
Bali Update
Subscribe to our free weekly newsletter!
 
PATA header
PATA Gold Award 2007
Bali Update
PATA Gold Award Winner 2007
 
Bali Contact
Bali Discovery Tours
Komplek Pertokoan
Sanur Raya No. 27
Jl. By Pass Ngurah Rai,
Sanur, Bali, Indonesia

Tel:
++62 361 286 283

Fax:
++62 361 286 284

U.S.A. Fax:(toll free)
1-800-506-8633

U.K. Fax:
++44-20-7000-1235

Australian Fax:
++61-2-94750419

24h:
++62 812 3819724

Bali Discovery

SITE PATA ASITA
Bali News

Airing Baliís Dirty Laundry

Widespread Money Laundering Blamed for Bali's Sky-High Property Prices


Bali News: Bali, Indonesia, money laundering, property prices, PMA, PMDN, Indonesian Hotel and Restaurant Association, PHRI-Bali, Tjok Oka Artha Ardhana Sukawati, Cok Ace, Foreign investment, property pricesííí
Click Image to Enlarge

(8/9/2013)

Bisnis Bali reports foreigners, using the names of local counterparts, own many investments in Bali. The report contends, misrepresented ownership is a firm indication of the presence of money laundering and Bali needs to be more vigilant in uncovering and ending such practice.
 
A Balinese economist, Professor Dr. Wayan Ramantha on Tuesday, August 6, 2013, confirmed that money laundering is taking place on the Island. “Money laundering takes place everywhere, including Bali,” said Ramantha, adding “that money laundering in Bali involves financially strong individuals.”
 
The economist said greater caution and closer monitoring of foreign investment in the name of local a business partner is needed. Saying such investments are in violation of the law from their inception, Ramantha continued: “they (the investors) use take advantage of easier investment requirements extended to local business people. They also manage to save money on the cost of permits and licenses.”
 
Ramantha said the Provincial Investment Coordinating Board (BKPMD) must scrutinize and coordinated with the Central Investment Coordinating Board (BKPM) in sharing information on quality investors. “When there are irregularities or suspicious elements (in investments) checks must be undertaken,” he said.
 
He said domestic and foreign investors in Bali should use the facilities prepared for domestic (PMDN) and foreign investment (PMA). In so doing, funds can be monitored by Bank Indonesia (BI) and Financial Services Authority of Indonesia (OJK).

Investors  in Indonesia are compelled to make regular reports including clarifications on the source of their funds.
 
As reported by a number of media, there is a growing suspicion that money launderers are active in Bali. This suspicion has been strengthened by a number of cases in Bali where investments have been linked to corruption. However, the true extent and size of investments linked to money laundering and corruption remains anyone’s guess.
 
Separately, the chairman of the Indonesian Hotel and Restaurant Association (PHRI-Bali), Tjok Oka Artha Ardhana Sukawati (Cok Ace), said proof of money laundering practice abounds in Bali in the form the large number of hotels being built without reference to their future financial viability and also by expensive hotels being built but unprofessionally managed with little concern if the subjects hotels are full of empty of guests. Cok Ace says individuals desperate to grant legitimacy to “dirty” funds by creating reportable assets are responsible for building these hotels.
 
The PHRI-Bali chairman said the current rise in property prices in Bali is also linked to the prevalence of money laundering by local businesses with unscrupulous investors prepared to pay any price for land, with no regard that their actions marginalize the endemic population of Bali.

The Cost of Land
 
Cok Ace, who is also a prominent hotel owner, said it is now difficult to find land in Denpasar priced at less than Rp. 100 million (US$10,000) per are (100 square meters). In fact, he said, the current price for one are is closer to Rp. 300 million (US$30,000) per are with some parcels of land selling at Rp. 3 billion (US$300,000) per are.
 
He described the current free-for-all in Bali real estate as being controlled by Jakarta business interests. He also blamed a lack of control on the number of cases in Bali where blacklisted individuals involved in major corruption cases are investing freely in Bali. Cok Ace said this was, however, less the fault of investors and more closely related to a lack of local control over the investment process.
 
In closing, Cok Ace, said that the people of Bali do not want to make the Island a heaven for criminals and corruptors, adding that Bali must be made into a heaven for the people of Bali.
 
Related Article
 


© Bali Discovery Tours. Articles may be quoted and reproduced if attributed to http://www.balidiscovery.com.

   

 
 
Bali News by Bali Update
Subscribe to the Bali Update
Receive the latest news from Bali by email!



Our [Privacy Statement] explains how we handle the data you are providing.

 
Bali News by Bali Update
Explore the Archive of the Bali Update
Find related articles in our news archive!




or try to use Google Search :

Home · Bali Hotels · Bali Villas · Bali Excursions · Bali Sports · Bali News · Site Map · RSS

Bali News: More News
Fire in East Denpasar
Fire Destroys 7 Shop Houses in East Denpasar, Bali
(12/20/2014)
Mantra for Difficult Times
Australian Mantra Hotel Group Scales Down its Plans in Tough Bali Marketplace
(12/20/2014)
Be Prepared
Bali Identifies Areas at Risk of Natural Disaster and Maps Plans to Minimize Destruction
(12/20/2014)
When Sleighs Wonít Do
Bali Airport to Operate 134 Extra Flights Over Christmas and New Year Period
(12/20/2014)
When a Bay Becomes a Quagmire
Editorial: We Support Jakarta Globe Call for President Joko Widodo to Cancel the Benoa Bay Reclamation
(12/20/2014)
4.25 Million Foreign Tourists to Bali in 2015
Bali Seeks to Add 500,000 Tourist Visitors in 2015
(12/20/2014)
That Takes the Lot!
Baliís Tanah Lot Temple Experiencing a Record Number of Visitors Leader Up to Year End Piodalan Ceremony
(12/19/2014)
Shanghaied No More
Singaraja, Bali Immigration Office Deports 282 Foreign Workers in 2014
(12/19/2014)
Different Strokes Apply in Bali
Pendawa Beach Visitors in Bali Reminded that Sexual Activity and Swimming While Menstruating are Not Allowed
(12/19/2014)
Bali Non-Stop to Cairn, Australia
JetStar to Fly Direct Three Time a Week Cairns to Bali Flights Starting in March 2015
(12/19/2014)
Symphony of Feeling
Solo Exhibition of Paintings by Mochammad Toha Hasan, January 19 - March 12,2015 at Ganesha Gallery at Four Seasons Resort Bali at Jimbaran Bay
(12/19/2014)
Imagine That
Hard Rock Imagine a Better World and Raises Smile and Funds for Indonesian Children
(12/19/2014)
All [News]!