Semarang. Central Java Police have dismantled an alleged illegal fundraising operation disguised as a cooperative, involving Koperasi Bahana Lintas Nusantara (BLN), with total fund flows reaching around Rp 4.6 trillion ($260 million) and an estimated 41,000 victims across Indonesia.

The Directorate of Special Criminal Investigation of the Central Java Police named two suspects: NNP, 54, the head of BLN cooperative from 2018 to 2025, and D, 55, head of the Salatiga branch. Both are accused of actively promoting and running an investment-like savings program that authorities say resembled a Ponzi scheme.

Police said the scheme operated from 2018 to 2025 and involved promises of unusually high and unrealistic returns to attract public funds. Investigators found that the operation had expanded through a network of branches across multiple provinces.

“So far, we have identified around 41,000 victims spread across various regions,” said Central Java Police Criminal Investigation Director Kombes Pol Djoko Julianto on Thursday (May 21, 2026).

In Central Java alone, BLN operated 17 branch offices, with major activity in Boyolali, Salatiga, and the Solo Raya area. The Salatiga branch reportedly had 11,999 members, followed by 2,435 in Solo Raya and around 1,200 in Boyolali.

Djoko said the main suspect allegedly played a central role in designing, approving, and directing the fundraising programs, which offered high returns but were not licensed by Indonesia’s Financial Services Authority (OJK).

“The suspect is known to have run a Ponzi scheme under the guise of a cooperative to collect public funds,” he said.

He added that the program appeared attractive to investors due to promises of fast and significant profits, but operated without proper regulatory approval.

Beyond Central Java, the cooperative’s network reportedly extended to East Java, Yogyakarta, Bali, Lampung, West Kalimantan, and East Nusa Tenggara.

Investigators have identified around 160,000 financial transactions linked to the scheme, with total money flows reaching Rp 4.6 trillion. Authorities also seized computers, transaction documents, bank statements, passbooks, ATM cards, QRIS barcodes, and other administrative records as evidence.

The suspects are charged under Indonesia’s Banking Law, fraud and embezzlement provisions in the Criminal Code, and money laundering (TPPU) laws, carrying a maximum penalty of 15 years in prison and heavy fines.

Police are working with the Financial Transaction Reports and Analysis Center (PPATK) and the Financial Services Authority’s task force (Satgas PASTI) to trace assets and financial flows linked to the scheme.

Authorities urged the public to verify the legality of investment schemes before participating and encouraged potential victims who have not yet reported the case to contact the nearest police office.

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