Law

IHSG Plunges 11.57%, Police Chief Deploys Bareskrim to Probe Market

Stateline MEDIA Newsroom•October 17, 2026•5 min read

Indonesian National Police Chief General Suyudi Ario Seto confirmed that Bareskrim, the Criminal Investigation Department, will be deployed to follow up on alleged capital market violations and crimes. He made the statement while visiting the Indonesia Stock Exchange building in Jakarta on Friday (16/10/2026) with DPR Deputy Speaker Sufmi Dasco Ahmad, Danantara CEO Rosan Roeslani, and OJK officials, as the IHSG fell 11.57%.

Key Facts

Indonesian National Police Chief General Suyudi Ario Seto confirmed that the police will deploy a team from Bareskrim — the Criminal Investigation Department — to follow up on alleged violations and criminal offenses in the capital market, based on information and reports received by the police. He made the statement after visiting the Indonesia Stock Exchange (IDX, locally known as BEI) building in Jakarta on Friday (16/10/2026), together with House of Representatives (DPR) Deputy Speaker Sufmi Dasco Ahmad, Danantara CEO Rosan Roeslani, Danantara COO Dony Oskaria, and Financial Services Authority (OJK) officials.
The police chief promised firm, evidence-based action: "We at the National Police will certainly deploy a team from Bareskrim in line with the information and reports we have received regarding alleged capital market violations and crimes. With the evidence we will gather, we will take firm action to provide legal certainty regarding the problems in the capital market world."
DPR Deputy Speaker Sufmi Dasco Ahmad said the handling would target not only securities companies but also individuals indicated to be involved. "What the police chief conveyed includes securities firms and individuals indicated to be involved," Dasco said.
At the close of Friday's trading (16/10/2026), the Jakarta Composite Index (IHSG) fell 678.67 points, or 11.57%, to 5,185.11 from 5,863.78. At the open, the index had dropped 8.01% to 5,393.92, forcing the exchange to impose a 30-minute trading halt.
The main trigger was MSCI's announcement opening a consultation on reclassifying Indonesia's capital market from Emerging Market to Standalone Market. MSCI cited concerns over market functioning, transparency of share ownership structures, alleged coordinated trading, and the effectiveness of rule enforcement; a final decision is due by the end of June 2027.
OJK Chair Friderica Widyasari said the OJK and market organizers were carrying out capital market reforms. The OJK had previously imposed administrative fines on issuers DSSA, BREN, and CUAN over findings of trading violations and public offering breaches.

Police Chief Promises Firm Action

JAKARTA — Indonesian National Police Chief General Suyudi Ario Seto confirmed that the police will deploy an investigative team from Bareskrim, the Criminal Investigation Department, to probe alleged crimes in the capital market. The assurance was delivered after he visited the Indonesia Stock Exchange (IDX, locally known as BEI) building in Jakarta on Friday (16/10/2026), amid a severe rout in the domestic stock market.

Suyudi arrived at the exchange alongside House of Representatives (DPR) Deputy Speaker Sufmi Dasco Ahmad, Investment Minister and Danantara CEO Rosan Perkasa Roeslani, Danantara COO Dony Oskaria, and senior officials of the Financial Services Authority (OJK). The visit took place just hours after the Jakarta Composite Index (IHSG) plunged more than 10%, triggering a temporary trading halt.

At a press conference at the exchange, the police chief stressed that every investigative step would rest on accurately gathered evidence. He said the police would not hesitate to take firm legal action against anyone proven to have violated regulations, with the goal of providing legal certainty and safeguarding the investment climate.

Targets: Securities Firms and Individuals

DPR Deputy Speaker Sufmi Dasco Ahmad emphasized that the scope of the handling would not be limited to corporate entities or securities firms alone. Individuals indicated to be involved in alleged violations are also in the investigators' sights.

The statement aligns with the OJK's ongoing scrutiny of issuers with high shareholder concentration (HSC). OJK capital market supervision chief Hasan Fawzi said 61 issuers were flagged in that category, and 31 of them were suspected of containing criminal-dimension violations.

The OJK had previously imposed administrative fines on three issuers — DSSA, BREN, and CUAN — over findings of share trading violations and breaches of public offering rules, including during the share subscription process in their IPOs.

IHSG Plunges 11.57% on MSCI Blow

The market selloff was triggered by Morgan Stanley Capital International (MSCI), which announced it was opening a consultation with market participants to review Indonesia's index classification from Emerging Market to Standalone Market. MSCI cited concerns over market functioning, transparency of share ownership structures, alleged coordinated trading, and the effectiveness of rule enforcement.

At Friday's open, the IHSG immediately tumbled 8.01%, or 469.86 points, to 5,393.92. The steep drop forced the exchange to impose a 30-minute trading halt from 08.58 to 09.28 Western Indonesian Time. At the close, the index was down 678.67 points, or 11.57%, at 5,185.11.

Pressure spread across nearly all sectors. The raw goods sector recorded the deepest fall at 13.26%, followed by infrastructure at 12.87% and healthcare at 12.84%. Transaction frequency reached 2.11 million trades with a transaction value of Rp31.73 trillion.

OJK: Biggest Reform in History

OJK Board of Commissioners Chair Friderica Widyasari Dewi said the OJK and market organizers (SROs) continued to improve the market to preserve investor confidence. "The OJK and the SROs are currently undertaking the biggest reform in the history of Indonesia's capital market," she said.

Market analysts urged investors not to rush into buying simply because prices had fallen, but to watch IHSG stability, foreign fund flows, rupiah movements, and the authorities' response to reform demands. The main risk being watched is foreign capital outflows if Indonesia is indeed downgraded by MSCI.