InfoSAWIT, JAKARTA – Civil society's hopes for justice regarding banking practices deemed harmful to the environment and infringing on land rights have been put on hold. The South Jakarta District Court has postponed the reading of the decision on the TuK INDONESIA lawsuit against PT Bank Mandiri, originally scheduled for July 3, 2025. The decision is now rescheduled for July 17, 2025, without notification through an open hearing.
This delay is concerning as it involves a strategic case regarding Bank Mandiri's financing of PT Agro Nusa Abadi (ANA), a subsidiary of PT Astra Agro Lestari Tbk (AALI), which operates without a Business Use Rights (HGU) in North Morowali, Central Sulawesi. The TuK INDONESIA lawsuit demands moral and legal accountability from Bank Mandiri as the funder of a project considered legally and ethically problematic.
"This delay is not merely an administrative issue. It prolongs uncertainty and anxiety among customers who demand that their money is not used to finance land-grabbing and environmentally destructive projects," stated Linda Rosalina, Executive Director of TuK INDONESIA, in an official statement received by InfoSAWIT on Friday (July 11, 2025). She lamented the court's decision, which she believes reflects the grim face of law enforcement in Indonesia.
The lawsuit not only highlights the legal irregularities of PT ANA operating without HGU but also exposes the prolonged agrarian conflicts arising from the company's operations. According to data from the Agrarian Reform Consortium (KPA), conflicts related to Astra Group subsidiaries cover an area of 37,620 hectares across various regions.
Roni, a representative from KPA, stated that the absence of HGU at PT ANA is not a mere administrative error. “This is a serious violation of the 1960 Basic Agrarian Law, the Plantation Law, and banking regulations. This is even a form of neglect by Astra Agro and Bank Mandiri,” he asserted. He views the postponement of the decision reading as a reflection of the weak professionalism and decisiveness of judges in upholding agrarian and ecological justice.
Calls for the judges to side with justice also came from other civil society organizations. Zaki Amali from Trend Asia believes that the upcoming decision will be a decisive moment: whether the court will side with the community or corporate interests.
“Customers need legal certainty that their funds are not used for illegal and destructive projects. This delay should be used to reflect on the court's position in maintaining public trust,” Zaki stated.
The environmental organization WALHI Riau also issued an important warning. Its Executive Director, Boy Even Sembiring, emphasized that this decision will reflect the legal system's stance on environmental protection. “This is not just about one case, but concerns the future of national banking. Financial institutions must no longer recklessly fund extractive industries that disregard human rights and environmental sustainability,” he said.
Support for this lawsuit also comes from the international stage. Friends of the Earth (FoE) and BankTrack expressed solidarity with the Indonesian civil society movement. Danielle from FoE described the lawsuit as a strategic step that favors affected communities and the global climate crisis.
“Banks must no longer hide behind financing. They must be accountable for the impacts of the funds they disburse,” Danielle asserted. Meanwhile, Ola Janus from BankTrack hopes that the judges will use this additional time to consider the amicus curiae documents submitted by various international civil organizations.
“This decision is a significant test for the rule of law in Indonesia. We hope the court does not ignore the voices of affected communities and the importance of prioritizing human rights over corporate interests,” Ola stated.
This delay has not halted the civil society movement. They are calling on the public to continue monitoring this judicial process and to prevent counter-narratives that weaken the people's struggle. As Linda from TuK stated, “This is not just a lawsuit. It is a gamble for the future of fair and responsible banking.” (T2)
