New APU, PPT and PPSPM Financial Sector Obligations: Non-Compliance May Now Lead to Fines of up to 10% of Paid-up Capital

In 2017, Bank Indonesia (“BI”) introduced Regulation No. 19/10/PBI/2017 on the Application of Anti-Money-Laundering (Anti Pencucian Uang – “APU”) and Prevention of Terrorism Financing (Pencegahan Pendanaan Terorisme – “PPT”) Measures by Organizers Other Than Banks and Non-Bank Foreign Exchange Business Organizers (“Regulation 10/2017”). However, in an effort to ensure that the applicable APU and PPT measures, as well as measures aimed at preventing the Proliferation of Weapons of Mass Destruction (Pencegahan Pendanaan Proliferasi Senjata Pemusnah Massal – “PPSPM”), are in line with current requirements, BI has now decided to issue Regulation No. 10 of 2024, which bears a similar title to Regulation 10/2017 (“Regulation 10/2024”) and which has been in force since 31 December 2024.[1]