KPK can open bank accounts without BI consent<\/p>\n
Muninggar Sri Saraswati, The Jakarta Post, Jakarta<\/p>\n
The Supreme Court has upheld a law allowing the Corruption
\nEradication Commission (KPK) to examine the bank accounts of
\npeople being investigated for graft without consent from the
\ncentral bank governor.<\/p>\n
Responding to Bank Indonesia's request for a judicial review,
\nthe Supreme Court issued the ruling on Dec. 2. It says Law No.
\n30\/2002 on the KPK gives the commission access to bank accounts
\nin investigations despite Law No. 31\/1999 on corruption
\neradication and Law No. 10\/1998 on banking, which guarantee
\nconfidentiality.<\/p>\n
The two earlier laws spell out the special procedures law
\nenforcers must follow when looking into bank accounts belonging
\nto suspects; one of which is seeking approval from the Bank
\nIndonesia governor beforehand.<\/p>\n
Chief Justice Bagir Manan said in the ruling signed on Dec. 2
\nthat Article 12 of the KPK law was specific legislation,
\ntherefore the commission's authority to examine bank accounts of
\nsuspects in investigations and prosecutions was acceptable.<\/p>\n
Article 12 of the KPK law says the body has the authority to
\nobtain information from banks or other institutions about the
\nfinancial status of those under investigation.<\/p>\n
The same article also gives the KPK the power to order banks
\nor other financial institutions to freeze the accounts of
\nsuspects, defendants or other parties involved in suspected graft
\nor fraud.<\/p>\n
KPK deputy chairman Erry Riyana Hardjapamekas welcomed the
\nruling, saying that it would expedite the investigations and
\nprosecutions conducted by the commission.<\/p>\n
"Although KPK has been dubbed a superbody, we have not been
\nable to examine the bank accounts of suspected criminals so far,"
\nhe said over the weekend.<\/p>\n
The central bank had contested the KPK law and insisted on the
\nsupremacy of the banking law, which restricts access to bank
\naccounts to police, prosecutors and judges only.<\/p>\n
The BI does not consider the KPK, which was set up after the
\nissuance of the banking law, one of the three law enforcers.<\/p>\n
"We believe the central bank must adopt prudential banking
\nprinciples, including by protecting bank confidentiality," Erry
\nsaid.<\/p>\n
During a meeting with the House of Representatives last month,
\nKPK chairman Taufiqurrachman Ruki raised the issue, saying bank
\nconfidentiality had hampered the commission's duties.<\/p>\n
Taufiqurrachman had asked the House to amend anticorruption
\nlaws, including bank secrecy laws, saying the bank
\nconfidentiality law was among the most formidable stumbling
\nblocks to swift prosecution of corruption cases.<\/p>\n
He called for legislators to endorse more regulations to boost
\nthe commission's powers.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/kpk-can-open-bank-accounts-without-bi-consent-1447893297",
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