ClarificationMay 6, 2026, 06:08 AM
Telkom Indonesia Clarifies SEC/DOJ Probes, Accounting Policy Change
AI Summary
PT Telekomunikasi Indonesia Tbk (Telkom) responded to clarification requests from the Indonesia Stock Exchange regarding ongoing SEC and DOJ investigations. The company confirmed the establishment of a Legal & Compliance Directorate and Chief Integrity Officer to strengthen governance. Telkom also clarified that the accounting treatment for certain drop cable assets has been reclassified from "accounting errors" to "changes in accounting policy," which will be applied retrospectively in the 2025 Form 20-F. Additionally, Telkom filed a Form 12b-25 for the late submission of its 2025 Form 20-F due to the time required to finalize financial statements and disclosures.
Key Highlights
- Legal & Compliance Directorate and Chief Integrity Officer established to enhance governance and integrity.
- SEC investigation began Oct 2023, DOJ in May 2024, both ongoing and parallel, not joint.
- U.S. administration paused DOJ FCPA enforcement in Feb 2025, indefinitely pausing Telkom's FCPA-related probes.
- DOJ has jurisdiction over Telkom due to NYSE listing, subjecting it to U.S. securities laws and FCPA.
- Clawback policy implemented since May 30, 2023; no official class action lawsuits received.
- Accounting for drop cable assets reclassified from "accounting errors" to "changes in accounting policy."
- Policy changes applied retrospectively in 2025 Form 20-F, revising 2023 and 2024 comparative data.
- Filed Form 12b-25 for late 2025 Form 20-F due to additional time needed for financial statements.