Amid SOE Transformation, Legal Risks Intensify in the Era of the New Criminal Code and Criminal Procedure Code

JAKARTA – Amid the acceleration of business transformation for State-Owned Enterprises (SOEs), legal risk aspects have now become a primary concern for decision-makers. This issue has come to the fore with the enactment of the new Criminal Code (KUHP) and the new Criminal Procedure Code (KUHAP) since 2 January 2026. These regulatory changes carry significant consequences for how corporations conduct business transformation. The situation demands a combination of clear governance, execution speed, and deeper risk mitigation amid increasingly complex business dynamics. Director of Transformation and Business Sustainability at PT Pertamina (Persero), Agung Wicaksono, emphasised that business transformation acceleration must align with legal accountability. “Amid the acceleration of SOE transformation, every corporate action must still move quickly, yet remain accountable and compliant within legal corridors. The new KUHP and KUHAP demand that we strengthen governance, clarify decision-making, and ensure every business step provides sustainable added value, not only for the company but also for the state,” Agung explained during a discussion on Risk Management in Streamlining SOE Business in the Era of the New KUHP and KUHAP, on Wednesday (15/4/2026). The process of consolidation and simplification of business portfolios does not only consider commercial aspects but also the legal implications of every decision taken. Director of Strategic Business Development and Portfolio at PT Telkom Indonesia Tbk, Seno Soemadji, highlighted the importance of maintaining a balance between efficiency and legal compliance. “Streamlining is not merely about tidying up the portfolio, but building a more focused, agile, and valuable corporate foundation. For SOEs, the challenge is to maintain a balance between efficiency, synergy, and legal prudence, so that business transformation can proceed faster without sacrificing governance integrity,” he stated. Understanding the principles of the business judgment rule is deemed important to provide protection to management in making professional strategic decisions. General Chairman of ILUNI UI and Managing Partner of UMBRA, Pramudya A. Oktavinanda, described the momentum of SOE transformation as an opportunity to strengthen good governance foundations. “The momentum of SOE transformation needs to be seen as an opportunity to strengthen governance, clarify management responsibilities, and build healthy legal protection for corporate executives. In the new legal regime, the business judgment rule, compliance, risk mitigation, and independent business decision-making must form a unified whole in every strategic decision,” he said.