Selasa, November 17, 2020

Indonesian Supreme Court Nullifies Landmark Decision on Capital Markets

The Supreme Court (Mahkamah Agung – “MA”) has approved a judicial review that was originally filed by PT BGI under case registration number No. 863/PK/Pdt/2019, which has therefore now annulled the previous landmark decision of the MA on the capital market stipulated under MA decision No. 1455K/Pdt/2017.
This landmark decision has ruled that the party entitled to file a lawsuit for and on behalf of the bondholder was the trustee. Based on Article 51, Paragraph (2) of Law No. 8 of 1995 on the Capital Market (“Capital-Market Law”), it is stipulated that the trustee represents the interests of debt securities holders, both inside and outside of court.
The panel of judges at the MA that implemented the judicial review has thus annulled the previous court decisions on this case on the basis that Article 51, Paragraph (2) of the Capital Market Law had been misinterpreted. The dispute in question had supposedly arisen between the debt securities holder and the trustee, as regulated under Article 53 and Article 111 of the Capital Market Law.
According to the aforementioned articles, a trustee was obliged to provide compensation to debt securities holders for losses incurred as a result of any negligence regarding the carrying out of their duties. Moreover, any party who has suffered losses as a result of a violation of the Capital-Market Law and/or its implementing regulations may claim compensation, either individually or in conjunction with other parties who are making similar claims against the parties responsible for the violation.
PT BGI’s attorney, Irfan Melayu, has stated that his client’s victory in this case represents a victory for investors as a whole and that, as a result of this judicial review decision, the rights of investors have now been made clearer.
For more on this story, see Hukumonline: MA Batalkan Landmark Decision Terkait Pasar Modal.

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The Supreme Court (Mahkamah Agung – “MA”) has approved a judicial review that was originally filed by PT BGI under case registration number No. 863/PK/Pdt/2019, which has therefore now annulled the previous landmark decision of the MA on the capital market stipulated under MA decision No. 1455K/Pdt/2017.
This landmark decision has ruled that the party entitled to file a lawsuit for and on behalf of the bondholder was the trustee. Based on Article 51, Paragraph (2) of Law No. 8 of 1995 on the Capital Market (“Capital-Market Law”), it is stipulated that the trustee represents the interests of debt securities holders, both inside and outside of court.
The panel of judges at the MA that implemented the judicial review has thus annulled the previous court decisions on this case on the basis that Article 51, Paragraph (2) of the Capital Market Law had been misinterpreted. The dispute in question had supposedly arisen between the debt securities holder and the trustee, as regulated under Article 53 and Article 111 of the Capital Market Law.
According to the aforementioned articles, a trustee was obliged to provide compensation to debt securities holders for losses incurred as a result of any negligence regarding the carrying out of their duties. Moreover, any party who has suffered losses as a result of a violation of the Capital-Market Law and/or its implementing regulations may claim compensation, either individually or in conjunction with other parties who are making similar claims against the parties responsible for the violation.
PT BGI’s attorney, Irfan Melayu, has stated that his client’s victory in this case represents a victory for investors as a whole and that, as a result of this judicial review decision, the rights of investors have now been made clearer.
For more on this story, see Hukumonline: MA Batalkan Landmark Decision Terkait Pasar Modal.

......