KPK Reviews Graft Allegations in Whoosh Train Project

. Corruption Eradication Commission (KPK) said Tuesday that its investigation into alleged graft involving the $7.3 billion (Rp 121.38 trillion) Jakarta–Bandung high-speed rail project, known as Whoosh, remains at an early internal review stage as the anti-graft body weighs further steps. KPK Chairman Setyo Budiyanto told reporters in Yogyakarta that the agency was still examining information and complaints related to the project before deciding whether to summon witnesses or open a full-fledged probe. “We’re still reviewing it internally,” Setyo said. “Any report or additional information from the public must first be studied by the relevant directorate before further action is determined.” He said the agency’s Public Complaints Directorate would handle the initial review process and that no audit or formal investigative measure had yet been initiated. “The case is still in its early stages,” he added. The KPK’s confirmation comes after former chief security affairs minister Mahfud MD alleged in mid-October that the project suffered from inflated costs. In a video posted to his YouTube channel, Mahfud claimed that the construction cost of each kilometer of the Whoosh rail line reached about $52 million, compared with $17–18 million per kilometer in China. Advertisement Read More: KPK Invites Citizens to Report Possible Whoosh Corruption Following his statement, the KPK publicly urged Mahfud to file a formal report. On Oct. 26, Mahfud said he was ready to appear before the commission as a witness. KPK spokesman Budi Prasetyo said separately that the case had entered the pre-investigative stage earlier this year, focusing on gathering preliminary evidence. “At this point, we cannot reveal the details of the case, the individuals involved, or the potential state losses,” Budi said. “We are still verifying whether a corruption offense occurred.” Under Indonesian law, the pre-investigation stage aims to determine whether sufficient grounds exist to open a criminal investigation. “Our focus now is to identify whether the alleged events meet the elements of a criminal act of corruption,” he added. The anti-graft agency said progress has been steady without major obstacles. “We’re giving our team time to verify all information thoroughly so the process can be solid,” Budi said. Read More: Purbaya Backs Jokowi’s View on Whoosh Project Benefits The operator of the project, Kereta Cepat Indonesia China (KCIC), said it would cooperate fully with investigators. “KCIC respects all legal processes conducted by the KPK,” said Eva Chairunisa, the company’s corporate secretary, in a statement on Monday. The Whoosh project, a joint venture between Indonesian state-owned firms under Kereta Api Indonesia (KAI) and Chinese partners, has faced scrutiny for years over cost overruns, delays, and mounting debt. KAI reported that its interest payments to China reached Rp 2 trillion annually, surpassing its projected yearly revenue of Rp 1.5 trillion. Luhut Binsar Pandjaitan, head of the National Economic Council and a senior adviser to President Prabowo Subianto, defended the project, saying that large-scale public transport projects rarely generate profits and typically depend on government subsidies. “What matters is that subsidies are well-managed,” Luhut said, adding that he had coordinated with Danantara Indonesia CEO Rosan Roeslani to restructure the project’s debt gradually. Indonesia financed 75 percent of Whoosh’s construction through loans from the China Development Bank (CDB), initially at a 2 percent interest rate over 40 years. The rate later rose to 3.4 percent due to pandemic-related delays and land acquisition disputes. Launched commercially in 2023, the 142-kilometer Whoosh line, Southeast Asia’s first high-speed train, serves around 20,000 to 30,000 passengers daily. Despite operational success, the line remains loss-making, recording a Rp 1.6 trillion loss in the first half of 2025. Jakarta is now in talks with Beijing to restructure the CDB loan, as concerns grow that the cost overruns and mounting debt could strain the government’s fiscal position.