OCBC’s police report: Who is Susilo Wonowidjojo, and what’s the story with Gudang Garam?

OVER the Feb 4-5 weekend, news broke that OCBC’s Indonesian branch had filed a police report against one of Indonesia’s top billionaires.

The case: A wig-making company owned by Susilo Wonowidjojo - the president-director of high-profile cigarette maker Gudang Garam - was extended loans totalling over one trillion rupiah (S$87 million) by Bank OCBC NISP and other lenders. OCBC NISP filed a police report alleging fraud involving 232 billion rupiah of troubled loans to the wig company.

Who is Susilo Wonowidjojo?

Susilo Wonowidjojo (also known by his Chinese name Cai Daoping) is well known in Indonesia and was listed by Forbes as the country’s 14th-richest man, with an estimated net worth of US$3.5 billion, down from US$9.2 billion four years earlier. The 66-year-old is owner and president-director of tobacco giant Gudang Garam, which was founded by his father Surya. Susilo has been president-director since 2009; his sister Juni Setiawati is president commissioner while son Indra Gunawan Wonowidjojo was appointed vice-president director in June 2022.

How was the family’s wealth built?

The Wonowidjojos migrated to Indonesia from China and settled in East Java in 1927. Their family fortune comes from the success of the listed firm, founded in 1958 by Surya (Cai Yunhui), who initially entered the industry by working in his uncle’s tobacco business.

Susilo’s eldest brother Rachman Halim took the helm some 25 years later, and ran the company until he died in 2008. Susilo, Surya’s third son, took over his late brother as president-director in 2009.

How big is Gudang Garam?

Gudang Garam was founded in 1958 and listed on the Indonesian Stock Exchange in 1990. It is one of Indonesia’s top clove cigarette (kretek) maker, commanding 20 per cent of the market.

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OCBC unit files police report against Gudang Garam owner

The group’s empire now includes construction and toll road development and other infrastructure business, like the Dhoho Airport in Kediri, East Java.

Indonesia is the world’s largest producer of clove cigarettes, and exports up to US$500 million of the product a year and employs 10 million in the industry.