Asset Recovery and Management Laws in Indonesia: A Call for Harmonization
Indonesia’s asset recovery process has been plagued by inefficiencies due to disharmony and overlapping regulations. The country’s legal framework for asset recovery is fragmented, with different agencies involved, leading to sectoral egos and lengthy coordination.
The Current State of Asset Recovery in Indonesia
The Attorney General’s Office, as a law enforcement agency, has the authority to investigate, prosecute, and execute court decisions. However, its role in asset recovery remains unclear. A new strategy is needed to ensure maximum social welfare through efficient asset recovery.
Challenges in Indonesia’s Current System
- Overlapping regulations
- Fragmented legal framework
- Different agencies involved, leading to sectoral egos and lengthy coordination
International Comparison
This study analyzed the existing regulations on asset recovery in Indonesia and compared them with those of other countries, including the United States, United Kingdom, and Italy. The results showed that these countries’ mechanisms for asset recovery are more efficient and can be adapted to Indonesia’s context.
Key Findings
- More efficient mechanisms for asset recovery exist in other countries
- These mechanisms can be adapted to Indonesia’s context
Recommendations
Based on economic analysis of law (EAL) and cost-benefit analysis (CBA), the study recommends that Indonesia adopt a more coordinated approach to asset recovery, with the Attorney General’s Office as the lead coordinator. This would enable the country to recover stolen assets more efficiently and achieve maximum social welfare.
Key Recommendations
- Adopt a more coordinated approach to asset recovery
- Amend laws on criminal procedure, specifically the 1999 Criminal Procedure Code (KUHAP), to provide a clearer framework for asset recovery
- Harmonize regulations and coordinate efforts among agencies
Conclusion
Indonesia’s current asset recovery process is inefficient due to disharmony and overlapping regulations. By adopting a more coordinated approach, harmonizing regulations, and coordinating efforts among agencies, Indonesia can improve its asset recovery process and bring more criminals to justice.