Foreign lawyers' illegal practice?

Foreign lawyers' illegal practice?

Police questioned recently a number of expatriates who
allegedly practice as counsels/lawyers through a limited
liability company (PT).

This investigation should be praised and receive support from
all Indonesian lawyers. Why? First, foreign lawyers practicing
here is not in accordance with a reciprocity principle, which
commonly applies in international law, and, in turn, results in
unfair treatment to Indonesian lawyers. Unfairness is the main
issue of this matter, since Indonesian lawyers cannot practice
law in foreign countries unless they have met very strict
requirements.

On the other hand, foreign lawyers are easily discharging
legal services on Indonesian law in Indonesia. Is this the
meaning of an open market in the globalization era, as promoted
by developed countries?

Second, expatriates who use a PT as their business vehicle are
obviously violating their work permits. Arguments that they only
render advisory services in management, investment and business
opportunity are questionable.

For instance, in Business Times, May 17, 1996, an
advertisement of a law firm with the initials MLB declared that
it had an office in Jakarta called PT MLB Indonesia. Furthermore,
in business transactions in Jakarta, we can easily find much
paperwork on Indonesian laws prepared by foreign lawyers under
the name of a PT. This is clear evidence of the existence of
foreign lawyers practicing Indonesian law.

Third, in terms of figures, it would be too naive to say that
the number of foreign lawyers in Indonesia is small, without
considering the possibility that they might use high-tech
equipment such as facsimile, e-mail or tele-video conference, by
which one foreign lawyer is actually supported by a group of his
colleagues overseas. What is the result? Hugh amounts of money
will flow overseas, and this will swallow Indonesia's foreign
exchange and, perhaps, will also lessen the income tax of a
country which is currently suffering economic turmoil.

We have noted from headlines in many Indonesian newspapers how
other countries treat Indonesian illegal workers or Indonesians
who misuse their work permits. It should be ironic that we are
too ignorant and do not realize that our laws are not being
honored by foreigners who are earning money here.

The authority's actions will be more fruitful if Indonesian
lawyers actively participate. What participation? Perhaps, these
approaches can be taken into consideration: First, Indonesian
lawyers should report to the authorities (and to organizations of
legal practitioners) whenever they find expatriates who, under a
PT, render legal services in Indonesia. Second, every Indonesian
lawyer should refrain from dealing with expatriates who misuse
their work permits by acting as legal counsels.

Indeed, achievement of such approaches needs cooperation among
and trust from all Indonesian lawyers.

IRIANTO HELDY

Jakarta