BKPM to standardize investment procedures, forms
The Investment Coordinating Board (BKPM) plans to create one-size-fits-all standards to better serve potential investors across the country, in response to complaints about different registration forms and procedures in various regional administrations. BKPM head Thomas “Tom” Lembong told 531 representatives of regional investment agencies (DPM PTSP) during the BKPM National Coordination Meeting in Nusa Dua, Bali, that the board’s reform watchword this year was “Kis”, an abbreviation of Coordination, Integration and Standardization in Indonesian. “Investors who plan to invest in several regions are frustrated dealing with all of the different standards […] We need to coordinate more to have one vision; integrate all data from all agencies on one database and standardize every different format of forms and procedures,” he said on Friday. Under the current administration, thousands of business regulations have been annulled to simplify the registration, construction and running of businesses. The reforms have largely worked well at the central government level, but not at the regional level where businesspeople report dozens of different forms and licenses to be completed before starting…
Read MoreFINANCIAL AUTHORITY LAUNCHES BANKING REGULATION DIGITAL LIBRARY
The Financial Services Authority (OJK) launched on Monday its new website that compiles hundreds of scattered banking regulations. The website, called the Online Banking Regulation Information System (SIKePO), functions as a digital library that provides information about banking regulations that is accessible not only to the industry but also the public, OJK commissioner for banking supervision Nelson Tampubolon said in his remarks during the launch in Jakarta. There are 96 regulations and 85 derivative regulations on conventional banking industry that are being implemented. With their number and complexity, stakeholders probably do not have comprehensive understanding of a particular regulation so it is important to have codification of the regulations based on their topics and track records,” Nelson said. The system will provide users with the regulations’ track records, which shows whether they have been replaced, revoked or are still implemented. The regulations are classified as follows: institutional, business activity, banking services and support, principle of prudence, accounting standards and reports, banking supervision, consumer protection and others (supporting institutions and infrastructure and payment system). The…
Read More
Flashback of 5 Biggest Cartel Cases In Indonesia
Shocking news came from the Business Competition Supervisory Commission (KPPU). It stated that Yamaha Indonesia Motor Manufacturing (YIMM) and Astra Honda Motor (AHM) found guilty of price fixing. Both companies were convicted of cartel practices in accordance with case 04 / KPPU-I / 2016 about the alleged of cartel on February 22, 2017. YIMM and AHM were proven legally and convincingly guilty for violating Article 5 of Law No. 5 of 1999 on Monopoly Practices and Unfair Competition (Law 5/1999). KPPU also punished YIMM and AHM with a fine of IDR 25 billion and IDR 22.5 billion respectively. Fines received by YIMM were heavier because the Commission assessed that YIMM had manipulated the data in court. Therefore, the punishment for YIMM was included 50 percent additional amount of the fine proportions. While the fines imposed for AHM had been cut 10 percent because the Commission considered that AHM was cooperative. Prior to this decision, the Commission also had investigated and decided 5 Cartels Cases which were the highlight of public concern. Those cartels are:…
Read MoreDECREE OF SUPREME COURT (PERMA) RELATED TO DISPUTES IN ISLAMIC/SHARIA ECONOMY, AFFIRMED RELIGIOUS COURTS COMPETENCE
The Supreme Court (MA) has issued a decree of the Supreme Court (PERMA) No. 14 Year 2016 on Procedures for the Settlement of Islamic Economics Dispute, which was approved on last December 22, 2016. Actually PERMA has long been awaited since its formation as a complement of PERMA No. 2 Year 2008 concerning Law Compilation of Islamic Economics (KHES). Initially, the complement was established due to the concerns of Indonesia Lawyers Association (APSI). When there is a vacuum on procedural law, economics or sharia business dispute resolutions are still subject to the provisions of ordinary civil procedural law in the district court. Although an economic dispute is based on Islamic principles, but the implementation still complies with the Dutch colonial legal system, such as HIR (Het Herzeine Indlandsche Reglement), R.Bg (Reglement buitengewesten Rechts), and Rv (Reglement of de Rechtsvordering). PERMA has impact on the implementation of Article 49 of Law No. 3 of 2006 on the Religious Courts against the spread of its jurisdiction as a result of the development of sharia economic. For…
Read MoreSMALL CLAIMS COURT (SIMPLE LAWSUIT) CAN BE APPLIED IN THE RELIGIOUS COURT
“Like the civil lawsuits at district court, nowadays the process of Islamic Economy case in the religious court could be completed within 25 working days since the first day of hearing.” Pursuant to the Supreme Court Regulation Number 14 of 2016 regarding Settlement Procedures of the Islamic Economy Case, Islamic economy case can be resolved through a simple lawsuit called small claims procedures. (Also Read: All Claim Less Than 200 Million Must Be Submitted Before Small Claim Court) This regulation, waive the provision of Article 3 paragraph (2) point (a) as stipulated in Supreme Court Regulation Number 2 of 2015. It is stated that a simple lawsuit is not categorized as a dispute settlement examined under special court. Different from the previous regulation, pursuant to the new Supreme Court Regulation No. 14 of 2016, the small claims court process now can be applied in the religious court (one of the special courts in Indonesia) Supreme Court Regulation No. 14 of 2016 has regulated that the Islamic economy case can be resolved by general or…
Read MoreCAN A COMPANY SOLELY CONDUCT THE LAYOFF?
The public understanding of the Employment Termination (PHK), as of termination taken unilaterally by the company is the wrong thing. Referring to the Labor Law, a layoff is a termination of employment for a particular issue that resulted in termination of rights and obligations between employees and companies. Thus, layoffs may occur because of the initiative of the company or the employees concerned. Either done by the employee or carried out by the company, layoffs must comply with the provisions stipulated in Law No. 13 of 2003 on Manpower (Labor Law) and the existing regulations in a Company. In the case of layoffs, it is begun with the resignation of the employee. it should also consider the provisions contained in the Employment Law and the regulations applied in the company. However, if the layoff is an initiative of the company, the reasons for the layoff should be clarified.. Are there violations carried out by the employees or are they laid off because of other reasons, such as the employee reaches retirement age, the efficiency,…
Read MoreBoard of Commissioners (BOC) Cannot be Completely OffHand in A Company Bankruptcy
The accountability of “BOC as the supervisor in a company, should be requested when a company is declared bankrupt.” The role and the main task of the board of commissioners in a company (Limited Liability Company) is carrying out general supervision over the policy and management of the company as well as providing advice to the board of directors. When a responsibility is neglected, it will possibly be asked to be responsible for the loss. That applies also in the process of bankruptcy. In principle, bankruptcy is a general confiscation of all assets of the company in which its management and settlement are conducted by a curator and are overseen by a supervisory judge as appointed in a bankruptcy decision. However, often times all confiscated assets are unable to pay off all debts of the company. In fact, there are times when a company has no assets at all, so that settlement to pay off the existing debts cannot be done. When that happens, the board of commissioners as the party who has the…
Read MorePERSONAL SECURITY IS ONE CHOICE OF COLLATERAL THAT YOU CAN USE
In any loan agreement, debtors (debt parties) will be charged with an obligation to provide collateral of repayment of debts owed to be submitted to the creditors. There are two kinds of collaterals; those are material and individual collaterals. When the debtor does not have the goods or valuable assets that can be charged as material collateral (encumbrance, fiduciary, pledge or mortgage), an individual guarantee or an underwriter can be the best solution. An Individual guarantee or an underwriter (borgtocht) under Section 1820 Book of the Law of Civil Code is: A form of agreement where a third party for the sake of the interests of creditors, committed itself to fulfill the engagement/commitment of debtor, if the debtor does not meet the agreement. Based on the explanation above, it can be understood that an underwriting is an agreement of accessoir or the continuation of an agreement as a result of the existence of a principal agreement. It is similar to other collateral in general. So, in the absence of a principal agreement (such as…
Read MoreCHECK THIS OUT! Here are Stages in Handling Corporate Crime
Today, the crime mode is growing. A crime is not always committed by individuals, but also institutions, such as corporations. In response to this, a year ago, the Supreme Court (MA) issued Regulation Number. 13 Year 2016 on Procedures of Handling Criminal Acts by the Corporation. However, in reality the corporation is involved in various criminal acts (corporate crime) and it can be a place to hide treasures gained through criminal acts. These criminal acts are untouched by the legal process. Frequently, such crime issues become the subjects of debate among law enforcement officers. Therefore, the Supreme Court issued the Supreme Court Regulation (PERMA) Number 13 Year 2016 on Procedures of Handling Criminal Acts by the Corporation. Previously, the definition of corporate criminal under Article 3 PERMA Number. 13/2016 is: “a criminal act by the Corporation is a criminal act committed by the person based on the employment relationship, or based on other relationships, either individually or jointly, acting for and on behalf of corporations inside and outside the Corporate Environment.” There are several…
Read More