State-Owned Enterprises Minister Rini Soemarno appointed Budiman Saleh as the new chief. Budiman was previously the director of commerce and restructuring at Dirgantara Indonesia, a state-owned aircraft manufacturer.
Major shipbuilder PAL Indonesia has been rocked by a major graft scandal after Muhammad Firmansyah Arifin, the president director of the company, was declared a suspect on March 30 after questioning by Corruption Eradication Commission (KPK) investigators. The case was linked to the sale of strategic sealift vessels, or SSVs, to the Philippine Navy.
Two other senior executives at PAL, treasury general manager Arif Cahyana and finance director Saiful Anwar were also named suspects in the same case.
PAL Indonesia started exporting the SSVs, or Tarlac-class landing platform docks, to Manila in May last year, but the second batch, which was scheduled to be delivered next month, has been plagued with corruption, the KPK alleges.