InfoSAWIT, PEKANBARU – The conflict over palm oil land management between the Prosperous Palm Farmers Cooperative (KOPPSA-M) and PTPN IV Regional III has entered a new phase. KOPPSA-M's legal counsel, Herry Supriyadi from Armilis Ramaini Law Firm, reported former KOPPSA-M Chair MT to the Riau Police on February 19, 2025, for alleged document forgery that harmed the cooperative.
This case has attracted public attention as it not only relates to land management rights but also involves allegations of document manipulation that impact the economic welfare of cooperative members.
Long History of Dispute
The dispute stems from a Primary Cooperative Credit Agreement (KKPA) signed between PTPN V (now PTPN IV Regional III) and KOPPSA-M in 2002. This scheme involved an investment of Rp 79 billion, consisting of Rp 41 billion for plantation development from PTPN and a Rp 38 billion loan from Bank Agro.
However, after more than 25 years, only about 800 hectares of the total 1,650 hectares of land have been developed. The situation has been further complicated by flooding in approximately 100 hectares of land, allegedly due to poor water flow planning by PTPN.
An agronomy expert revealed that the development funds far exceeded the ideal amount. “Based on the economic calculations from 1999/2000, the development of 1,650 hectares of palm oil should have cost a maximum of Rp 25 billion, but Rp 79 billion has been allocated and it still has not developed as planned,” he stated, as quoted by InfoSAWIT from goriau.com on Tuesday (March 4, 2025).
Allegations of Document Forgery
The situation became more complicated when allegations arose that MT, while serving as KOPPSA-M Chair, forged the Minutes of the Extraordinary Member Meeting on February 9, 2013, by adding clauses that were never agreed upon. This clause was then used to sign a new agreement with PTPN on April 15, 2013, and an investment credit agreement with Bank Mandiri Palembang worth Rp 83 billion on May 28, 2013. This credit was secured with 622 land certificates belonging to cooperative members.
KOPPSA-M's legal counsel asserted that the forgery was uncovered when the documents were used as evidence in court. “MT included information that did not comply with the cooperative's Articles of Association. That is clearly invalid,” said Herry Supriyadi.
Additionally, there are allegations that the loan funds from Bank Mandiri did not enter the cooperative's account but went directly to PTPN's account. As a result, the principal and interest debts ballooned to around Rp 140 billion, burdening the cooperative and its members.
During a breach of contract lawsuit between PTPN IV and KOPPSA-M at the Bangkinang District Court on February 25, 2025, civil law expert Dr. Ermanto Fahamsyah emphasized that land without a Mortgage Right cannot be used as collateral for debt. Thus, PTPN's claim over the 622 land certificates of the community is deemed invalid.
Ermanto also reminded that cooperative managers who act unlawfully can be personally prosecuted. “The mistakes of individual managers should not harm the cooperative and its members,” he stated during the hearing.
This case is now under the spotlight of the Pangkalan Baru community, who are directly affected. They hope for a fair and transparent legal process. “We want justice to be served. We cannot allow small farmers to become victims,” said ND, a local community leader.
With the dispute still ongoing, all parties are now awaiting the Supreme Court's steps in overseeing this case. The decisions made will not only determine the fate of the cooperative and its members but also set an important precedent in land management by state-owned enterprises in Indonesia. (T2)
