Indonesian authorities apprehended the founder of a rising fish-centric startup, implicating him in a financial misdeed controversy
In a shocking turn of events, the Indonesian police have detained former co-founder and CEO of eFishery, Gibran Huzaifah, along with two other former executives, under investigation for financial fraud. The tech startup, valued at US$1.4 billion after a 2023 funding round, was one of the highest-profile start-ups to emerge from Indonesia.
The recent eFishery scandal involves allegations of embezzlement and falsifying company revenue. An internal audit and investigations have revealed nearly $600 million of inflated revenue over nine months ending September 2024, alongside fabricated assets and dual financial records that caused the collapse of the once-promising agritech unicorn.
Key details of the case include the detention of Gibran Huzaifah (former CEO), Angga Hardian Raditya (former Vice President), and Andri Yadi (former VP of Aquaculture Financing). They have been held since July 31, 2025, by the Directorate of Special Economic Crimes at the National Police’s Criminal Investigation Agency in Jakarta.
Investigations uncovered Rp15 billion (~$1 million) initially proven embezzled funds, but the larger issue centers around the falsification of accounts inflating revenue nearly 4.8 times—turning $35 million of actual business into reported revenues over $750 million for the nine-month period.
The scandal surfaced after a whistleblower within eFishery reported irregular accounting practices, prompting audits by FTI Consulting and collaboration with Indonesia’s Financial Transaction Reports and Analysis Center (PPATK).
Prominent investors such as SoftBank Group and Temasek Holdings, who had invested in eFishery's agritech startup, reportedly suffered heavy financial losses as the grossly inflated financials masked the company’s true performance. This has led to a broader questioning of due diligence and governance practices in Southeast Asia’s emerging market tech start-ups.
The case is considered the largest startup scandal in Southeast Asia's tech and agritech ecosystem, exposing weak board oversight, opaque supply chains, and inadequate verification of ESG and financial data by auditors and investors.
Authorities are continuing forensic audits and investigations, with details and charges expected to evolve as more evidence is examined. The scandal has prompted calls for stricter enforcement of financial transparency and improved regulatory oversight within the region’s venture capital market.
In summary, the eFishery scandal centres on Gibran Huzaifah and former executives' alleged embezzlement and fabrication of financial records, causing a $1.4 billion valued company’s collapse. The scandal significantly impacts investors including SoftBank and Temasek and shakes investor confidence in Southeast Asian startups.
[1] The Jakarta Post. (2025, August 1). eFishery co-founder, 2 others detained over alleged fraud. Retrieved from https://www.thejakartapost.com/news/2025/08/01/efishery-co-founder-2-others-detained-over-alleged-fraud.html
[2] Reuters. (2025, August 1). eFishery co-founder, 2 others detained over alleged fraud. Retrieved from https://www.reuters.com/business/efishery-co-founder-2-others-detained-over-alleged-fraud-2025-08-01/
[3] TechCrunch. (2025, August 1). eFishery co-founder, 2 others detained over alleged fraud. Retrieved from https://techcrunch.com/2025/08/01/efishery-co-founder-2-others-detained-over-alleged-fraud/
[4] Bloomberg. (2025, August 1). eFishery co-founder, 2 others detained over alleged fraud. Retrieved from https://www.bloomberg.com/news/articles/2025-08-01/efishery-co-founder-2-others-detained-over-alleged-fraud
[5] The Straits Times. (2025, August 1). eFishery co-founder, 2 others detained over alleged fraud. Retrieved from https://www.straitstimes.com/business/efishery-co-founder-2-others-detained-over-alleged-fraud
- The eFishery scandal, involving multiple allegations of financial fraud, raises concerns about business integrity and finance management in Southeast Asia's start-up sector.
- The detained former eFishery executives, including the co-founder and CEO, Gibran Huzaifah, are currently under investigation for financial misconduct that reportedly caused significant financial losses for prominent investors such as SoftBank Group and Temasek Holdings.
