A New Year for Taxation
The Directorate General of Taxation (Ditjen Pajak) is anticipating an increase in tax reporting, for which it is also preparing itself for an increased number of complaints and objections. The Ministry of Finance is also keen on strengthening its cooperation with the Indonesian National Police (Polri) for tax-related law enforcement measures. In the midst of all that, the the discussion on the Tax Amnesty Bill continues.
Legislative Update: the Bill on the Prohibition of Alcoholic Beverages
The Special Committee formed to discuss the Bill on the Prohibition of Alcoholic Beverages (Pansus RUU Minol) convened on February 25, 2016. The Government attended the meeting and handed over the Problem Inventory List (DIM) for the Bill—the process to assemble this list began in mid-2015. The plan is to discuss the DIM in the next 2 weeks.
Moratorium on the Creation of New Autonomous Region
Last year, in a hearing (RDP) with the House of Representatives (DPR), the Ministry of Home Affairs (Kemendagri) and the House Commission II agreed to reschedule the discussion on expanding and establishing new autonomous regions (DOB). But the Government has finally decided to instead suspend the expansion of DOB in accordance with the decision of the Regional Autonomy Advisory Council (DPOD) led by Vice President Jusuf Kalla on February 19, 2016.
Updates on Nazaruddin’s Money Laundering Case
The trial of Muhammad Nazaruddin’s alleged money laundering case continues. The Corruption Court in Central Jakarta District Court has held hearings for the testimony of Nazaruddin’s former employee. The hearing revealed a number of tricks used by several State-Owned Enterprises (BUMN) to disguise payments to Permai Group, the company of the disgraced ex-Democratic-Party-treasurer.
UU Tapera: Next Steps
In the Plenary Session held on February 23, 2016, the House of Representatives (DPR) agreed to enact the Law on Public Housing Savings (UU Tapera). The Minister of Public Works and Public Housing (PUPR) Basuki Hadimuljono represented the President and delivered a speech in the plenary session, highlighting the right of every person to live in physical and spiritual prosperity, hence the need for a family to afford their own home. Now that the Tapera Bill has been enacted into Law (UU Tapera), what process will follow this legislation?
Allegation of Cartel Practices on Imported Cattle and Beef
The trial conducted by the Business Competition Supervisory Commission (KPPU) to examine allegations of cartel practices involving 32 feedlots is still ongoing. That, the KPPU has been accused of being suspiciously selective in their process. The accusation was made by Rian Hidayat, the legal counsel of the following companies:
PKPU for Merpati
The former employees of PT Merpati Nusantara Airline (Persero) (Merpati) may have to wait longer before they can receive their salary from Merpati. On February 22, 2016, the bankruptcy lawsuit that former Merpati employees against the Company should’ve entered into trial, but it was revealed that Merpati also received another lawsuit on Suspension of Debts Payment (PKPU) from one of its creditors. And so the examination of the PKPU took precedence.
Mangasi Situmeang and the AGO’s Job Rotation System
Mangasi Situmeang, a prosecutor and former head of the Pontianak District Attorneys’ Office, won the lawsuit he filed against the Attorney General HM Prasetyo at the Jakarta State Administrative Court. The lawsuit was filed in November 2015 related to the Attorney General’s sudden decision to reassign and demote Mangasi without any explanation. The Court ordered HM Prasetyo to annul said decision.
Updates on Damayanti’s Case
In the past two weeks, the Corruption Eradication Commission (KPK) has examined several local government and state institution officials supposedly familiar with the Ministry of Public Works and Public Housing’s (Kemen-PUPR) Trans-Seram road project involving member of the House Commission V of the House of Representatives Damayanti Wisnu Putranti of PDI-P.
Development in the Pertamina Foundation Case
After months of no progress, the National Police’s Criminal Investigation Division (Bareskrim POLRI) questioned the former CEO of state-owned oil & gas PT Pertamina Karen Agustiawan in her capacity as a witness in the alleged embezzlement of funds in Pertamina Foundation’s “Saving Trees” program. The program was funded by Pertamina’s Corporate Social Responsibility (CSR) fund. The Bareskrim has only named one suspect in the case, i.e., the former Pertamina Foundation Executive Director Nina Nurlina Pramono.