Indonesian Law Digest

Business under the Draft Criminal Law Code: Part IV - Sailing and Aviation
The fourth part of our Indonesian Law Digest (ILD) series on the Draft Criminal Law Code 2018 (“RKUHP 2018”) analyzes the various criminal provisions which relate to both maritime and aviation businesses. Our analysis ultimately reveals that few improvements have been made in terms of both of these sectors, which makes us question the government’s urgency as regards the implementation of the new RKUHP 2018.
Draft Bill on Wiretapping
The Draft Bill set out two areas in which wiretapping can be legally undertaken, namely for the purpose of law enforcement and to gather intelligence information.
Public Procurement Reform: Part II
This week, we resume our discussion where we left off after the first part of this two-part edition of Indonesian Law Digest (ILD) on the public procurement of goods/services (“Procurement”), as addressed under the new Presidential Regulation No. 16 of 2018 on the Public Procurement of Goods and Services. In this second part we will address the remaining provisions, including the following highlights: 1) Implementation of e-reverse auctions; 2) Contract amendments, which apply to all types of contracts; 3) Utilization of the e-marketplace system for online Procurement; 4) New dispute-settlement mechanisms; and 5) New thresholds for international tenders/selections; and so forth.
Public Procurement Reform: Part I
Contracts are undoubtedly the most important element of Procurements. The various types of contracts which are available under the new framework have not been significantly changed, however, the classification of contracts has now been simplified.
Business under the Draft Criminal Law Code: Part III - Consumer Goods, Pawnbroker, Environment, Secrecy Disclosure and Fraudulent Corporate Acts
Continuing the hottest legal issue in the criminal law, this edition of Indonesian Law Digest (ILD) will present the analysis on criminal provisions under the Draft Criminal Law Code 2018 ("RKUHP 2018") addressing these matters: 1) Consumer goods; 2) Pawnbroker; 3) Environmental law; 4) Secrecy disclosure; and 5) Fraudulent corporate acts. Eventually, the criminal provisions under RKUHP 2018 are not connected with the sectoral legal frameworks and fail to bring improvement in each business sectors, not to mention that the issue on the overlapping criminal provisions.
Gijzeling and the Hostage Mechanism: The Ultimate Tax-Compliance Regime
The government has set itself a tax-revenue target for 2018 of IDR 1,618.1 trillion, which represents an increase of 9.9% over the 2017 target of IDR 1,472.7 trillion. In order to achieve this target, a number of strategies aimed at strengthening tax compliance by taxpayers are being implemented. One of the strategies is the enforcement of “gijzeling”, which literally means to take non-compliant taxpayers hostage.
Business under the Draft Criminal Law Code: Part II - Intellectual Property, Insurance, Antitrust and Bankruptcy
This edition of Indonesian Law Digest (ILD) will continue with our in-depth analysis of the Draft Criminal Law Code 2018 ("RKUHP 2018") within a business context. This time around, criminal provisions which relate to the following business sectors, as they are addressed by the RKUHP 2018, will be analyzed and compared with the existing legal frameworks: 1) Intellectual property; 2) Insurance; 3) Monopoly and unfair business practices (antitrust); and 4) Bankruptcy.
Professionals: Know Your Customers
One of the most noticeable efforts made by the government was the introduction of the mandatory implementation of the know-your-customer (“KYC”) principles for certain professions which are exposed to the risk of money laundering or terrorism financing. This effort marks a new chapter in terms of the national planning of AML/CTF programs, which no longer limits the implementation of KYC principles to financial-service institutions only.
Business under the Draft Criminal Law Code: Part I - Corporate Criminal Acts
the RKUHP 2018 also introduces no less than 190 articles of criminal provisions which will ultimately change the way that interested parties conduct business in Indonesia. This includes matters relating to corporate crime, anti-trust, intellectual property rights, bankruptcy, the environment, insurance, electronic information and technology, the legal profession and other related areas.
National Import Reforms
The government through the Ministry of Trade has now already issued 18 out of 21 new regulations which were formulated in order to address the import-and-export sector. According to these new regulations, the government is hoping to reduce the bureaucratic obstacles to trade through the implementation of a post-border scheme.
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