Shareholders in Public Companies Now Required to Report Share-Pledging Activities

In 2017, the Financial Services Authority (Otoritas Jasa Keuangan – “OJK”) introduced Regulation No. 11/POJK.04/2017 on Companies (“Regulation 11/2017”) which, at its core, mandated that members of the boards of directors (“BoD”) or boards of commissioners (“BoC”) of public companies report all share ownership in their respective companies (including both direct and indirect ownership), as well as any subsequent changes that were made to the ownership of said shares (collectively referred to as “Ownership Reports”) to the OJK.[1]