Compliance is an important issue for foreign investment companies doing business in Indonesia. As international organizations, foreign investment companies are not only required to comply with the laws and regulations of the country of origin of their parent companies but also with relevant laws and regulations in Indonesia.
By Michael S. Carl, Andini Dewi and Bambang Dhanisworo
Defamation under Indonesian law involves the issuance of a defamatory statement that causes a person to suffer harm. The term defamation is often used to encompass both slander (penistaan) and libel (penistaan dengan surat). Defamation is governed in the Indonesian Criminal Code under Chapter XVI, which covers six types of defamation.
Defamation under the Indonesian Criminal Code1. Slander or defamation (Article 310 (1) of the Criminal Code).
2. Libel or defamation in writing (Article 310 (2) of the Criminal Code).
The elements that need to be fulfilled under Article 310 (1) and (2) are:
the defamation is made intentionally to harm a person's honor or reputation
the defamation is addressed to an individual, not a government institution, official or association, community, etc.
the defamation needs to contain an accusation about a specific matter (e.g., deception, embezzlement, etc.), as long as it disgraces the related person and
Indonesia enacted a new Condominium Law in 2011 to replace Law No. 16 of 1985 regarding Condominiums. The implementing regulations of the New Condominium Law were to be issued at the latest one year after the enactment of the law.
The mining industry in Indonesia remains in flux. On October 14, 2014, the Indonesian Government issued the third amendment to Government Regulation No. 23 of 2010 regarding the Implementation of Mineral and Coal Mining Business Activities.
SSEK provides an overview of the rules and regulations affecting investment in Indonesia and look at the main legal developments in the country over the last year and how they impact companies operating or investing here.
With a population of more than 250 million, Indonesia is an attractive country for investors, particularly those interested in the distribution, retail and franchise sectors. But 2014 was a nervous time for new and existing investors in Indonesia, many of whom delayed any major actions to see how the country's legislative and presidential elections would play out.
Indonesia's Construction Services Development Institute has issued a new regulation that amends the requirements for the issuance of the Business Entity Certificate for integrated construction service companies.
Indonesia's Agrarian Law provides that foreigners can only acquire right to use (hak pakai) title for land if they reside in Indonesia. If foreign investors wish to engage in business in Indonesia, they must establish a foreign capital investment (PMA) company.