Law

After being enacted on Feb. 24, 2025, Law No. 1/2025 on State-Owned Enterprises (UU BUMN 2025) paved the way for structural and functional reform of BUMNs. The goals are clear: to strengthen professionalism, reduce political intervention, and make BUMN a catalyst for national economic development. However, as with all major legal reforms, the revised text is not the end but rather the beginning of the real big work. Naturally, the public and stakeholders’ attention is focused on the implementation of the legal provisions. And this is where various challenges and “homework” begin to appear. 

We all know that the amendment of the Law on BUMN is urgently needed. After two decades without any substantive revision, the UU BUMN 2025 appears with a number of hopes. Previously, BUMN was in tension between its status as a business entity and its role as a State instrument and the new law aims to end this ambiguity by affirming the corporate orientation of BUMN, restructuring inter-institutional relations, and strengthening legal protection for State business actors. However, the biggest challenge is not on the legal norms, but rather how this regulation will be implemented. And we also know, in this case, nothing is easy in Indonesia. 

An investigation into the alleged corruption case of Hajj quota in 2024 is still underway. It was reported last Monday (23/06) that the Corruption Eradication Commission (KPK) summoned Khalid Basalamah to give information regarding Hajj management in 2023-2024, but his role remains undisclosed to the public. The KPK Spokesperson, Budi Prasetyo, only said that Khalid Basalamah provided an important piece of information which could help develop the case.

Amidst all the problems surrounding BUMN, the revision of the Law on BUMN through Law No. 1/2025 has again raised the classic discourse regarding the position of BUMN in the Indonesian legal system. The main focus of the debate this time, especially on social media, is the provision stating that members of the Board of Directors, Board of Commissioners, and Supervisory Board of BUMN are not State administrators, among other things. This provision has raised accusations that the revision of the Law was deliberately intended to complicate law enforcement. Is that true?

On Feb. 24, 2025, President Prabowo Subianto officially signed Law No. 1/2025 on State-Owned Enterprises (BUMN), which is the third amendment to Law No. 19/2003. The law is not just an administrative revision, but reflects a fundamental change in the paradigm of BUMN management in Indonesia. There has been much praise accompanying the promulgation of this regulation, but there are also many important concerns to note. We will discuss the contents of this law briefly through this series of articles.

It has been a while since we last revisited the long-standing pattern of corruption in East Kalimantan—an issue that has become so recurrent that it almost feels like an annual tradition. Our discussion at the end of 2023 revolved around a sting operation carried out by the Corruption Eradication Commission (KPK). In 2024, as if continuing the legacy, the KPK returned with a new investigation, this time digging into a prominent politician, Awang Faroek Ishak, who is also the former Governor of East Kalimantan. Soon after, the KPK officially named Awang as suspect in the case along with two other individuals. The case marks a significant development in the anti-corruption body’s ongoing scrutiny of the region, but will the latest investigation change anything?

The recent announcement on the determination of PT Insight Investments Management (PT IIM) as a corporate suspect in the Taspen corruption case marks another significant application of Indonesia’s legal framework to hold corporations accountable for corruption crimes. This move not only intensifies the spotlight on the role of private-sector entities in State fund embezzlement but also underscores the evolving strategy of both the Corruption Eradication Commission (KPK) and Attorney General’s Office (AGO) in prosecuting corporate crime.

The case of alleged corruption that has rocked PT TASPEN (Persero) continues to develop, as the Corruption Eradication Commission (KPK) moves forward with prosecutions linked to fictitious investments involving State funds. As the trial of former President Director of the firm, Antonius Nicholas Stephanus Kosasih, proceeds, a new corporate suspect has been named: PT Insight Investments Management (PT IIM), the investment management firm alleged to have facilitated the fictitious transactions at the heart of the scandal.

After a long investigation process, nine top officials of private sugar companies—who are reportedly actively involved in the case of alleged manipulation of sugar imports—finally faced an indictment hearing towards the end of last week. Overall, the defendants are...