Legal Certainty Key to Investment: Peradi SAI Discusses New Era of Corporate Criminal Liability

The Indonesian Advocates Association–Suara Advokat Indonesia (Peradi SAI) held the Indonesia Legal & Economic Forum (ILEF) 2026 in Jakarta on Thursday (25/6). The forum served as a dialogue space between the business community and law enforcement officers in the wake of the new Criminal Code (KUHP). Themed ‘Corporate Criminal Liability After the New KUHP: The First Six Months – Reading the Perspective of Law Enforcement’, the forum was held exactly six months after the KUHP came into effect. Peradi SAI Chairman Harry Ponto stated that the forum was born from a real need to bring together two worlds that can no longer move separately: business and law. ‘We created this forum to bring the business world and the legal world together. Like it or not, both must now move in tandem. The business world needs certainty about how corporate criminal provisions will be applied in practice,’ said Harry. According to Harry, the implementation of the KUHP has a significant impact on corporate governance, risk management, and compliance systems. Business actors must not only understand the letter of the law but also know how law enforcement officers interpret and apply it. Harry emphasised that criminal law is now moving towards stronger corporate accountability. Companies can no longer hide behind the excuse of ignorance regarding violations that should have been preventable. ‘If they should have known but allowed a violation to occur, that can also be a basis for criminal liability. Law enforcement can even trace the beneficial owner behind the corporation,’ he said. Nevertheless, Harry cautioned that good faith in business decision-making must still be protected. He assessed that law enforcement needs to clearly distinguish between reasonable business risks and criminal acts. ‘What must be examined is the presence or absence of mens rea, or criminal intent. Business decisions made in good faith must not be criminalised,’ Harry stressed. ILEF 2026 Executive Chairman and Chairman of the Peradi SAI Legal Committee for Investment and Economy, Daniel Ginting, described the forum as an essential space for building a common understanding between business actors and law enforcement. Ginting said the results of the forum’s discussions would be further developed with the private sector and state-owned enterprises to support national economic growth targets. ILEF 2026 featured speakers from the front lines of criminal law policy, including Supreme Court Justice for Criminal Cases Surya Jaya, Senior Public Prosecutor at the Attorney General’s Office Erni Mustikasari, and Head of the Criminal Investigation Supervisory Bureau of the National Police Brigadier General Boy Rando Simanjuntak. Keynote speeches were delivered by BPI Danantara Chief Investment Officer Pandu Sjahrir and Indonesian Business Council (IBC) CEO Sofyan A. Djalil. The forum was opened by the Chairman of Commission III of the House of Representatives (DPR RI), Habiburokhman. Habiburokhman assessed that corporations play an important role as drivers of the national economy. However, this role must be supported by legal certainty to maintain a healthy investment climate. ‘Corporations are the engine of the national economy, but legal certainty is the main anchor. The implementation of the new KUHP must deliver fair and accountable law enforcement while continuing to support the creation of a healthy investment climate,’ he said. On the same occasion, Peradi SAI Secretary General Patra M. Zen explained that ILEF has three main objectives: bridging the business and legal worlds, serving as a learning tool for the new corporate criminal liability regime, and providing input to the government regarding the implementation of the National KUHP. Patra reminded that before the new KUHP came into effect, corporate criminal liability was generally more recognised in specific crimes such as corruption, environmental offences, and money laundering. Now, its scope is much broader. ‘What is needed is a common understanding. We do not see the new KUHP as a threat, but rather as an instrument to create legal certainty while supporting the government’s programme to increase economic growth,’ Patra concluded.