Jakarta Tiffany & Co. Stores Sealed for Alleged Smuggling

Indonesia’s Finance Minister has demanded answers after authorities sealed several luxury jewelry stores, including outlets of Tiffany & Co., amid allegations of import duty evasion and potential smuggling.

Luxury Jewelry Stores Sealed in Jakarta

Finance Minister Purbaya Yudhi Sadewa has requested a detailed report from Customs authorities regarding the recent closures of luxury jewelry stores in Jakarta malls. The Directorate General of Customs and Excise shuttered the stores following suspicions of unpaid import duties.

“I asked the Customs authority, how did this happen? [It turns out that] most of the goods coming here did not pay, suspected of being smuggled,” Purbaya stated on Friday, February 13, 2026.

Retailers reportedly failed to provide proof of import or trade forms when requested. According to Purbaya, some goods were “clearly smuggled,” while others involved “under-invoicing,” where reported invoice values are lower than actual transaction prices.

Traders are suspected of evading import duties entirely, or paying only half of the amount owed. Purbaya warned that the sealing of the stores serves as a warning to other businesses attempting to deprive the state of revenue.

The Finance Minister also suspects potential involvement of customs officials in the alleged scheme, stating, “It seems so.” He indicated a full investigation into all parties involved is underway, including former officials.

Purbaya noted that he has already reshuffled enforcement personnel, and considers the current team’s performance to be strong. He will continue to monitor the ongoing legal proceedings.

The Jakarta Regional Customs Office previously sealed three luxury jewelry stores located in Plaza Senayan, Plaza Indonesia, and Pacific Place for alleged import administrative violations.

“We conducted operations related to ‘high value goods,’ which are premium items we suspect were not declared through proper import notifications,” said Siswo Kristyanto, Head of Enforcement at the Jakarta Regional Customs Office, as quoted by Antara.

Kristyanto indicated that further enforcement actions against other luxury jewelry retailers in Jakarta shopping centers are possible. “For now, three stores are involved, but it is possible that more will be identified in the future beyond just one outlet,” he concluded.