Principal in Surabaya Embezzles Cooperative Funds of Rp2.3 Billion, Spent on Building Houses and Boarding Houses

Dream - Former Principal (Kepsek) at one of the State Elementary Schools in Surabaya, East Java, with the initial MI, admitted to using cooperative funds from KPRI Tegar worth Rp2.3 billion for personal purposes.

He used the cooperative funds owned by 200 elementary school teachers to build houses and buy land for a market.

"When I was treasurer for ten years. I used the money to build houses and markets," said MI, quoted on Friday, June 23, 2023.

MI claimed to have only borrowed temporarily and would repay it in installments. However, until now, the amount of Rp2.3 billion has not been repaid.

The issue of alleged embezzlement of cooperative funds amounting to Rp2.3 billion has actually been going on since 2019.

However, at that time, the teachers still entrusted their money to the perpetrator and did not suspect anything.

The teachers believed because MI appeared to have many businesses and luxurious houses. Moreover, MI had been trusted as treasurer of the cooperative for 10 years. He even held the position of chairman at one point.

As a result of using cooperative funds, MI's house was stormed by a number of teachers demanding accountability.

A total of 75 teachers representing 200 other elementary school teachers who became victims came in droves to demand the amount of Rp2.3 billion in front of MI's house.

"This luxurious house was apparently built with cooperative funds. Let's seize the house and land certificates," shouted one of the teachers, as quoted from beritatkp.

"We won't accept it if it's used for personal purposes, because that money is the money of all cooperative members. We are now collectively demanding that our money be returned," said a teacher named Titik.

Hearing the news, Surabaya Mayor Armuji intervened and visited MI's residence. Armuji emphasized that the money belongs to the teachers and must be returned.

He proposed taking over the management of MI's assets. "The solution option is to take over the management of the market or boarding houses by members, with a notary agreement," he said.