Indonesian Police Freeze Bank Accounts Linked to 132 Online Casino Sites

Police in Jakarta, Indonesia, say they have cracked down on 132 online casino sites, and have “temporarily frozen” 255.75 billion rupiah ($15.2 million) worth of transactions.

In an official release, the national police force’s Cybercrime Directorate (Dittipidsiber) said it had acted after receiving 51 analysis reports pertaining to the sites from the Financial Transaction Reports and Analysis Center (PPATK).

The PPATK is Indonesia’s top anti-money laundering agency. It operates an automated online casino-related transaction detection system in conjunction with commercial banks.

This system, to critics’ displeasure, has helped PPATK freeze thousands of bank accounts reportedly used to place bets on online casino sites.

Government officials have also used the system to identify welfare recipients who have gambled online – and cut them off from benefits payments.

132 Online Casino Sites Caught in Crackdown

The Dittipidsiber head, Brigadier-General Himawan Bayu Aji, said officers had used the PPATK’s reports to identify the transactions, which they believe originate from 5,961 bank accounts. More citizens’ bank accounts could also be affected.

Dittipidsiber said 11 further police investigations were also underway. Investigators have earmarked 142.01 billion rupiah ($8.4 million) in 359 bank accounts for confiscation. The agency said it was investigating suspicious activities on a further 40 bank accounts.

Officers say courts will try to establish that the frozen funds are indeed online casino deposits or withdrawals. If they are successful, they will transfer the money to state coffers.

Police said they were working to “disrupt online gambling networks.” They said their crackdown will help “maintain the stability of Indonesia’s digital economy.”

Himawan said online gambling crackdowns should not only target operators or organizers, but also target the flow of financial transactions to gambling websites. These transactions function as “the operational route for these illegal activities,” he explained.

Money Laundering Cash Confiscated

In a separate development, the same agency held a press conference on March 5, where it showcased IDR 58.1 billion (almost $3.5 million) in cash.

Dittipidsiber officers said they seized the cash from online casino-linked money launderers, the Indonesian media outlet Wawasanriau reported.

Police did not reveal the names of any of the people accused of operating the money laundering ring during the press conference. However, officers explained that the bundle of cash, all denominated in IDR 100,000 bills, would be “transferred to the state treasury.”

Online gambling is driving up divorce rates in Indonesia, religious courts across the nation have warned in recent months. The courts, which handle civil and family law cases, say they are dealing with a growing number of divorce cases.

Some areas have reported a year-on-year rise of 22%. Court officials say online casino addiction and drug use began surfacing as major problems in divorce cases around 2023.