Indonesian Political, Business & Finance News

Government to Clarify Authority for Calculating State Losses

| Source: ANTARA_ID Translated from Indonesian | Legal
Government to Clarify Authority for Calculating State Losses
Image: ANTARA_ID

Jakarta (ANTARA) - Coordinating Minister for Legal Affairs, Human Rights, Immigration and Corrections Yusril Ihza Mahendra said the government plans to clarify the rules governing the authority to calculate state financial losses.

The proposal comes amid plans to refine the definition of corruption offences in Law No. 31/1999 on the Eradication of Corruption, as amended by Law No. 20/2001.

“Whoever is authorised to conduct the examination should be specified in law, so that there is legal certainty as well,” Yusril said after a press conference at the National Economic Council office in Jakarta on Tuesday.

Yusril said Constitutional Court ruling No. 25/PUU-XIV/2016 had affirmed that state losses in corruption cases must be concrete, or actual losses, rather than merely potential losses.

He said the law should also clearly specify which parties are authorised to calculate state financial losses.

Yusril also said the government would refine the provisions defining corruption in order to ensure fairness and legal certainty for both the public and Indonesia’s investment climate.

The government plans to redraft Articles 2 and 3 of the Corruption Eradication Law. These provisions cover, among other things, enriching oneself, another person or a corporation unlawfully in a way that causes losses to the state’s finances or economy.

According to Yusril, the provisions are still too broad and could lead to differing interpretations in their application. He likened the two articles to “catch-all provisions” capable of covering almost every aspect.

He explained that criminal law must adhere to the principle of lex stricta, under which a legal provision must be interpreted precisely. Rules that are too broad, he said, cannot guarantee legal certainty.

He also assured the public that the proposed redefinition would not weaken efforts to eradicate corruption in Indonesia.

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