Indonesia fines company US$1.2 billion fine for illegal logging

An Indonesian pulp company has been hit with a record fine of 16.2 trillion rupiah (US$1.7 billion) for illegal logging.

Logging company in Indonesia by MFP3

Indonesia’s Supreme Court overturned a High Court decision and ruled that between 2004 and 2006 the Merbau Pelalawan Lestari (MPL) company had cleared natural forest, logged outside of its concession and felled protected species.

The ruling is a victory for Indonesia’s Ministry of Environment and Forests, which brought the case.

Singapore-based pulp and paper giant April, which has used MPL as a supplier in the past said it would immediately terminate its supplier contract with MPL and will not contract with MPL in the future.

Sources: Straits Times / Jakarta Post