Entrepreneurs concern on new SC regulation

December 31, 2016, 04.13 PM  | Reporter: Sinar Putri S.Utami, Teodosius Domina
Entrepreneurs concern on new SC regulation


JAKARTA. Domestic entrepreneurs, which are members of Association of Indonesian Employers (Apindo), concern that the Supreme Court (SC) Regulation on the Procedures on Handling Corporate Criminal Case will bring negative consequences to them. Therefore, Apindo requested for socializations on the regulation.

Chairman of Public Policy at Apindo Danang Girindrawardana said, the entrepreneurs concerned that the regulation is less in sync with the criminal code. Let alone, any action conducted by the corporate administrator does not necessarily relate to the corporate.

“Does the individual behavior necessarily bring consequences to the confiscated assets of the company? What if it is related to public company, state owned enterprises, and locals owned enterprises? This will deteriorate investment climate,” he said, Friday (30/12).

According to Apindo, the assets confiscation should be conducted in a fair manner. Therefore, Apindo requested that some definitions in the regulation should be clarified. “We were not invited to discuss. In fact, this regulation affects to the employers,” he said.

As is known, this week the SC issued SC Regulation No 13/2016 on the Procedures on Handling Corporate Criminal Case. Consists of 37 articles, the regulation stipulates the law responsibility of a corporate, which allegedly committed criminal action.

The SC regulation allows law enforcer to request legal liability to a person listed on the corporate deed as the person in charge, such as chief executive or board of directors. In addition, the law enforcer can impose fines and assets confiscation against the corporate.

Spokesman of the Corruption Eradication Commission (KPK) Febri Diansyah said that the regulation, which was enacted on 29 December 2016, provides more flexibility for KPK to take action against corporation, which involves in corruption case.

Previously, no one corporation could be prosecuted by KPK due to the lack of mechanism. “For example, some cases related to forestry and other corruption cases that caused huge losses,” he said recently.

(Muhammad Farid/Translator)

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