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Indonesia strengthens measures to crack down on corporate corruption

Jakarta (Indonesia), 9 March 2017
- Senior prosecutors, investigators and police officers have undergone a comprehensive training program to enhance their knowledge and capacities to address corporate corruption in Indonesia. The training came on the back of a landmark legal development that strengthened legal mechanisms to investigate and prosecute corporate corruption offences. In addition to senior officials, the training extended to organizations from civic society, business and commerce.    

In December 2016, the Supreme Court of Indonesia issued a set of regulations (the Supreme Court Regulations Perma No. 13 2016), which addressed legal ambiguities that were impeding prosecutors and investigators to pursue corporations for committing criminal offences, including corruption.

Particularly, the new regulations make criminal procedure in corruption cases more efficient, and guide prosecutors and law enforcement in the handling of such cases.  Accordingly, the training was tailored to focus on the concepts of liability of legal persons, the elements of corporate crime, and the evidence needed to successfully investigate and prosecute companies.

"It is important to disseminate the regulations to a wider audience as well as familiarizing national prosecutors, investigators and police officers with the new procedures", said Mr. Alexander Marwata, Commissioner of the Corruption Eradication Commission. "We have successfully trained not just government officials, but in a public seminar, companies and business associations have been informed about the regulations and that they can now be held criminally liable for the failure to prevent corruption."

"Against the background more integrated regional markets in ASEAN, cross-border business transactions and volumes are likely to increase and with this the risks and opportunities for corruption," said Mr. Collie Brown, UNODC Country Manager for Indonesia. "The Supreme Court regulations on criminal corporate liability are therefore timely, and certainly a milestone for Indonesia's efforts in combating corruption and organized crime."

The regulations also mark an important step for Indonesia's progress in implementing the UN Convention against Corruption, especially in the light of the initiation of the second review cycle, which started this year.

Click here to learn more about UNODC's work on combating corruption.

Click here to learn more about UNODC's Country Programme in Indonesia.