'Money-laundering bill should secure loans'
'Money-laundering bill should secure loans'
Kurniawan Hari, The Jakarta Post, Jakarta
The government urged on Tuesday the House of Representatives
(DPR) to speed up deliberation of the bill on money laundering as
it would affect the disbursement of much-awaited loans from the
Consultative Group on Indonesia (CGI) and the Asian Development
Bank (ADB).
Speaking to legislators, Minister of Justice and Human Rights
Yusril Ihza Mahendra disclosed that enforcement of the money-
laundering law was a condition for the disbursement of the loans.
The CGI and ADB pledged last year to grant loans amounting to
US$3.14 billion and US$600 million respectively.
As part of his lobbying, Yusril said, he had met the U.S.
attorney general and ministry of finance to brief them on
Indonesia's commitment to eradicating the crime.
"The U.S. attorney general and ministry of finance positively
responded to my explanation," Yusril said.
Compared with the U.S., Indonesia has done little to combat
money laundering, an official said.
Director general for legislation Abdul Gani revealed that the
U.S. had already enforced 250 laws and regulations and had 150
institutions handling money laundering.
"We only have two laws on the central bank, which deal
somewhat ineffectively with money laundering," he said.
Responding to the demand, legislators pledged to finish the
deliberation of the bill by March 25, the end of the House's
current sitting.
The quick response from legislators was proven by the
immediate establishment of a committee in charge of deliberating
the bill.
Pressure has also mounted on the House to endorse the bill
immediately due to the fact that the bill was submitted on Jan.
15 last year.
The 34-page bill contains 10 chapters and 52 articles, which
mainly stipulate measures to control attempts to conceal and hide
funds suspected of coming from illegal sources.
Those suspected of committing money laundering will be subject
to this law and will face between five years and 15 years in jail
or between Rp 5 billion and Rp 15 billion in fines.
It states that financial institutions (banks) shall report to
the authority if they find any suspicious transaction, at a
minimum value of Rp 100 million. If the financial institution
does not report that suspicious transaction, it will be fined Rp
250 million.
The bill on money laundering also suggests the establishment
of a commission for the eradication of money laundering.
Apart from bill on money laundering, the House was scheduled
to complete the deliberation of 10 other bills on various issues
before March 28, despite the intention of House Speaker Akbar
Tandjung to make it 22 bills.