JP/3/Royalty

JP/3/Royalty

Foundation to sue one music royalty evader

JAKARTA (JP): The Indonesian Creative Acts Foundation (YKCI),
which collects royalties from consumers, will soon sue a
businessman in the entertainment industry for refusing to pay
music royalties.

Staffers at the foundation revealed the plan to city
councilors during a hearing yesterday.

"We pledge our full support for the foundation's plan. Since
the law on copyrights was issued in 1982 and reviewed in 1987,
none of the music users for commercial purposes have been brought
to trial for failing to pay up," said MH Ritonga, Chairman of the
City Council.

The staff members of the foundation, however, refused to
reveal the identity of the businessman to inquisitive reporters.

"We are ready to swing our samurai on the (royalty) evader
this time," said YCKI's General Manager Candra Darusman.

Under the existing copyright law, the businessman faces a
maximum Rp 100 million (US$46,950) fine or two to seven years in
jail.

The visit by the foundation's management to the City Council
yesterday appeared rather unusual. As an agency which operates on
the national level, it should have held a hearing with the House
of Representatives, and not a provincial legislative assembly
like the City Council.

"We are here to share views concerning our problem with the
city councilors. Further, the majority of royalty payers live
here (in Jakarta)," said Enteng.

Also present at the hearing was Mrs. Ritonga, in her capacity
as president director of the Indonesian Music Foundation (YMI).

Ismail Marzuki

Candra, who is also a noted musician, said the foundation was
established in 1990 as a non-profit mediator between composers,
both local and foreign, and music users for commercial purposes.

Concerning music users for commercial purposes, the foundation
targets any profit-making enterprise which uses music as part of
their product, including pubs, discos, hotels, restaurants,
theaters, etc.

There are reportedly between 2,000 and 3,000 such businesses
in the capital.

As one of the legally recognized representatives of composers,
the foundation held rights to collect royalties for 19,000 local
songs and around 1 million foreign numbers.

Candra said the figure of royalty the foundation collected
rises steadily every year.

In 1992, a mere 20 percent of music users here paid their
dues, while in 1993, the percentage rose to 50.

The foundation's income in Jakarta alone rose from Rp 400
million ($187,775) in 1991, to Rp 800 million in 1992 and Rp 1.1
billion last year.

The foundation also maintains branches in Bandung and
Surabaya, but so far both are far from being full-fledged
foundations.

Candra said the five-biggest royalty recipients in 1993 were
the heirs of the late Ismail Marzuki, Arianto, Rinto Harahap,
Tito Sumarsono and Mochtar B, a dang-dut music composer.

"The heirs of Ismail Marzuki obtained Rp 9 million from the
YKCI last year," said Candra. (jsk)