The President Regulation on Beneficial Ownership
The President Regulation (Perpres) on the Implementation of Principles of Recognizing the Beneficiaries of Corporations in the Framework of the Prevention and Eradication of Money Laundering and Criminal Acts of Terrorism, otherwise known as the Perpres on Beneficial Ownership was finally signed by the President on March 1, 2018 and was promulgated on March 5, 2018. The Perpres is to help the Government in determining whether or not transactions involving corporations are connected to money laundering and/or the financing of terrorism. The Perpres is also intended for Indonesia to comply with the 24th and 25th recommendations of the Financial Action Task Force (FATF) on Money Laundering.
Peace for Margahayu Land Group
PT Margahayu Land Development (MLD) ended the year 2017 and began the year 2018 with four lawsuits filed against its four different subsidiaries. The lawsuits were filed by the companies’ creditors, business partners, and buyers of properties. Fortunately, the group is able to peacefully resolve all of the disputes.
Another Problem for PANN Pembiayaan Maritim
In 2015, PT PANN Pembiayaan Maritim—a state-owned enterprises (BUMN) focused on the financing of the maritime sector—was embroiled in a graft case. The Attorney General’s Office (AGO) named two suspects in the case and the trials ended on November 2017. But that was not the end of problem. Recently, the Central Jakarta District Court registered a civil lawsuit filed by two companies against PT PANN Pembiayaan Maritim and two of its affiliated companies, demanding compensation of over Rp1 trillion.
Krakatau Engineering Debts Dispute
It hasn’t been long since PT Krakatau Engineering (the Company) resolved its debts dispute, but now the subsidiary of PT Krakatau Steel Tbk (KRAS) must face a lawsuit filed by one of its business partner.
Corruption Journal
On February 28, 2018, the Ministry of Home Affairs, the Attorney General’s Office, the Police and the Government Internal Supervisory Apparatus (APIP) jointly signed a Memorandum of Understanding (MoU) on combating corruption, but on the occasion, the Chief of the National Police’s Criminal Investigation Unit (Bareskrim Polri) Komjen (Pol) Ari Dono Sukmanto gave a statement that sparked an outdated debate: whether the repatriation of State losses could eliminate the element of a criminal offense already committed by a person. In the same week, the trial of Nur Alam, the disgraced governor of Southeast Sulawesi continues, and it was revealed that Nur Alam had several identity cards used for various purposes, including disguising the acceptance of bribes. While in another case, one of the suspects in a corruption case involving PT Sang Hyang Seri (Persero) filed a pre-trial petition against the Attorney General’s Office.
Buyers v. PT Kapuk Naga Indah: The End?
Towards the end of last year, nine buyers of the properties built by PT Kapuk Naga Indah (a subsidiary of Agung Sedayu Group) on Island C and D of the Jakarta Bay reclamation project decided to take legal steps against the conglomerate. The buyers claimed that there was no certainty about the construction of the properties they had purchased. The lawsuit was filed first at the Consumer Dispute Settlement Board (BPSK), but to no avail. The buyers later decided to file a civil lawsuit at the North Jakarta District Court. They also tried to win public support but this backfired on them.
Robbing Military/Police Insurance Firm Asabri (2)
PT Harvest Time, indirect subsidiary of Hanson Internasional (MYRX), has reportedly decided to postpone the initial public offering (IPO) because of lawsuits filed by some companies regarding land bank of the property company. Investors, however, shall thoroughly learn from the company’s past relationship with Asabri, a state insurance firm for military and police officers. Asabri’s investment in Harvest Time is a perfect example of how some people robbing the insurance firm.
A More Aggressive Anti-Graft Campaign & Household Consumption
The chance is big to see yet another record year for sting operation by the Corruption Eradication Commission (KPK). In the first two months of this year, the anti-graft agency has arrested and named 11 regents and governor as corruption suspects. Some of them are running for governor in this year’s simultaneous regional elections.
Jho Low’s Luxurious Yacht: Why Bali?
International media widely discussed about the seizure of The Equanimity, a luxury yacht reportedly owned by Jho Low, Malaysian businessman implicated in the mega corruption scandal of 1MDB, in Tanjung Benoa, Bali Island. Malaysian authorities immediately responded the event saying US Department of Justice has no evidence to prove that the yacht, linked to the embezzled 1MDB funds, is owned by Jho Low. Why Bali?
Constitutional Court Journal
The Constitutional Court recently announced their decisions on two important matters: the objection to Government policy for non-cash payments using electronic money (e-money), and limitation to advocate immunity. Doubts about the capacity of the Chief Justice of the Constitutional Court is on the rise, and is creating conflict in the institution.