TSG’s strategic human intelligence and investigative expertise enabled our client to navigate complex corruption allegations within Indonesia’s aviation industry. Through targeted inquiries and on-the-ground insights, we provided a comprehensive understanding of the subject’s internal dynamics and external risks.
The Problem
Our client, an international corporation, needed to uncover any ongoing investigations by Indonesia’s anti-corruption enforcement agency into a state-controlled entity operating in the aviation industry.
This entity was implicated in a major corruption scandal involving the procurement of sales and marketing activities. The challenge was compounded by fragmented media reports, which provided only partial insights into the scope and severity of the allegations.
Additionally, the political landscape was intricately linked with the aviation industry, making transparency and information disclosure even more complex.
The entity’s state-controlled status further compounded the difficulty, as sources within the industry were often resistant to discussing sensitive topics such as corruption and bribery, particularly when high-ranking officials with government backgrounds were involved.
Human sources in Indonesia frequently hesitate to share information on such matters due to potential repercussions. These factors underscored the need for a strategic and nuanced approach to information gathering, ensuring that the investigation was conducted discreetly, effectively and safely for all involved.
The challenge was to obtain a comprehensive and accurate picture of the subjects’ backgrounds, affiliations, and potential conflicts of interest without alerting the targets or compromising the investigation.
The Solution
To navigate these complexities, our team employed a targeted strategy leveraging local connections and industry-specific expertise in Indonesia.
We identified and engaged various potential sources who could possess knowledge about the corruption scandal. Our investigative efforts included interviewing a former personal assistant of a high-ranking official at the entity’s marketing partner, who was reportedly connected to the corruption case. We also secured interviews with a senior journalist from a well-respected investigative publication to gain further insights.
Our approach combined in-depth human source inquiries with a thorough analysis of available public records. We meticulously reviewed media reports in both local and international outlets, cross-referenced information from national and state databases, and analysed regulatory filings and corporate records.
This multifaceted strategy enabled us to compile a complete picture of the entity’s operations, its internal dynamics, and the extent of its involvement in the corruption scandal. Throughout the investigation, we ensured discretion and confidentiality to avoid alerting the targets and compromising the integrity of the inquiry.
The Impact
Our investigation provided the client with a comprehensive understanding of the corruption scandal’s evolution and current status, as well as the internal situation of the entity.
We uncovered that the entity was no longer under direct investigation by the local anti-corruption agency; instead, the focus had shifted to its former principals responsible for past procurement activities.
Our findings revealed the extent of the entity’s reliance on connections with high-ranking military and government officials to secure projects, particularly those from overseas.
Importantly, our insights highlighted that several former leaders involved in the corruption activities had been sentenced to prison terms, prompting a management restructuring within the entity. This restructuring aimed to improve compliance and reduce the risk of future corruption.
Our client used this detailed report to assess the risks associated with establishing a business relationship with the entity.
The report’s actionable intelligence enabled the client to implement targeted risk mitigation plans, ensuring that their due diligence process adhered to the highest standards and safeguarded their interests in the region.