Breakdown of Rp33 Billion in Unclaimed Royalties at LMKN: Who Are the Owners?
LMKN for the first time publicly announced the amount of unclaimed royalties – royalties that have been earned but are awaiting distribution due to administrative hurdles – at a plenary meeting held at the agency’s office in South Jakarta on Tuesday, 3 March. The total unclaimed royalties amount to Rp33,021,150,878. Unclaimed royalties are the economic returns from works that have been used and generated royalties but have been hampered by administrative processes, so the funds have not yet been distributed to their owners.
The Rp33.021 billion unaclaimed royalties are spread across several categories based on data sources and characteristics:
In the first category, unclaimed royalties amount to Rp19,159,523,431. These royalties stem from the use of songs and/or music on digital platforms where usage data is identified, but the creator or copyright holder is not registered as a member of the Lembaga Manajemen Kolektif (LMK). This means the work was used and earning royalties, but the owner is not yet recorded in the membership system and cannot be distributed.
In the second category, Rp5,554,734,519 relates to digital royalties where usage data exists but the identity of the creator or rights holder cannot be adequately identified. This is usually due to mismatches in metadata, song titles, creator names, or other information not being synchronised.
The third category concerns royalties from live performances — collected in an analogue or non-digital manner — for which claims have not been submitted by the LMK or the creator within the permitted period. For the January–June 2025 period, this category totals Rp215,320,095.
The fourth category covers royalties for recording producers (phonograms) for their works used in public spaces or commercial activities, but disbursal has not occurred due to lack of claims or incomplete verification. This sums to Rp2,583,284,752.
The fifth category is for singers, musicians or performers whose performing rights generate royalties but who have not yet been identified or whose claims have not been filed. The amount is Rp5,507,388,528.
Overall, the unclaimed funds arise from around 1,985,333 works identified as having been used in Indonesia. The works have been used and generated royalties, but administrative constraints — such as non-registration, non-claim, or data identification issues — have left the funds awaiting distribution.
The distribution of unclaimed royalties is subject to a two-year window from the date of the announcement. LMKN also encouraged rights‑holders to first register with the LMK.
“During two years from today,” said Ahmad Ali Fahmi, LMKN Commissioner for Licensing, after the LMKN Plenary Meeting in South Jakarta on Tuesday, 3 March. “If two years pass without a claim, it cannot be claimed, and if you have not registered with LMK, the funds will go into a reserve fund under the law.”
LMKN and musicians have stressed that public understanding of performing rights and royalty distribution remains low. By 2025, around Rp70 billion in royalties had not yet been claimed by rights holders. Distribution of royalties occurs in two waves, for the period January–April 2025, via LMK. The issue came to light after around 60 songwriters reported LMKN to the Corruption Eradication Commission (KPK) on 6 January, alleging irregularities in the withholding of royalty funds.