Kadin: Criminal Sanctions Must be Removed From the New Draft Bill on Trade

Fitri Novia Heriani, Mahinda Arkyasa

During the public hearing with Commission IV (Commission) of the House of Representatives on Tuesday (26/3), the Indonesian Chamber of Commerce and Industry (Kadin) argued that criminal sanctions should be removed from the new Draft Bill on Trade (Bill). Kadin stated that the Bill should prioritize administrative sanctions.

Franky Sibarani, Chairman of the Permanent Committee for Domestic Trade at Kadin, asserted that criminal sanctions stipulated under Articles 65 to 73 of the Bill are not based on a clear rationale and can be considered as a threat to businesses.

“The articles should be taken out,” Franky said during the hearing.

However, if the Government still insists on including the criminal sanctions, Franky proposed that such sanctions should only be imposed after every possible administrative sanction has been exhausted, including written warnings, guidance, business license revocation, and administrative fines.

Aria Bima, Deputy Chairman of the Commission, strongly opposed Franky’s argument on removing the criminal sanctions from the Bill. He argued that criminal sanctions are essential because trade is a matter related to public welfare.

Nevertheless, Aria appreciated Kadin’s input and confirmed that it will be discussed along with the input from other stakeholders in an internal meeting.

(jt)

Fitri Novia Heriani, Mahinda Arkyasa

During the public hearing with Commission IV (Commission) of the House of Representatives on Tuesday (26/3), the Indonesian Chamber of Commerce and Industry (Kadin) argued that criminal sanctions should be removed from the new Draft Bill on Trade (Bill). Kadin stated that the Bill should prioritize administrative sanctions.

Franky Sibarani, Chairman of the Permanent Committee for Domestic Trade at Kadin, asserted that criminal sanctions stipulated under Articles 65 to 73 of the Bill are not based on a clear rationale and can be considered as a threat to businesses.

“The articles should be taken out,” Franky said during the hearing.

However, if the Government still insists on including the criminal sanctions, Franky proposed that such sanctions should only be imposed after every possible administrative sanction has been exhausted, including written warnings, guidance, business license revocation, and administrative fines.

Aria Bima, Deputy Chairman of the Commission, strongly opposed Franky’s argument on removing the criminal sanctions from the Bill. He argued that criminal sanctions are essential because trade is a matter related to public welfare.

Nevertheless, Aria appreciated Kadin’s input and confirmed that it will be discussed along with the input from other stakeholders in an internal meeting.

(jt)

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