UNDERSTANDING TO ERADICATE HANDBOOK FOR UNDERSTANDING CORRUPTION CRIMES

UNDERSTANDING TO ERADICATE HANDBOOK FOR UNDERSTANDING CORRUPTION CRIMES

THE CORRUPTION ERADICATION COMMITTEE THE REPUBLIC OF INDONESIA UNDERSTANDING TO ERADICATE Handbook for Understanding Corruption Crimes Compiled by The Corruption Eradication Committee Cover Design & Layout MPRCons Indonesia Published by the Corruption Eradication Committee, Jakarta, August 2006 The National Library: Publication Catalog Understanding to eradicate: handbook for understanding corruption crimes / compiled by the Corruption Eradication Committee. Jakarta : Corruption Eradication Committee, 2006. 121 pgs. ; 21 cm ISBN 979-15134-4 1. Corruption (In politics) Legal aspects. I. Corruption Eradication Committee. 345.023 23 www.kpk.go.id Jl. Veteran III No. 2, Jakarta 10110, Indonesia Ph. (021) 385 7579 Fax (021) 384 6122 Email. informasi@kpk.go.id Jl. Ir. H. Juanda No. 36, Jakarta 10110, Indonesia Ph. (021) 352 2546-50 Fax (021) 352 2625 2

TABLE OF CONTENTS Introduction... 4 Sample Analysis of an Event using Corruption Crime Matrix... 5 Corruption Crime... 16 What Is Meant by Corruption?... 17 Corruption Related to State Finance Loss... 20 Corruption Related to Bribery... 26 Corruption Related to Embezzlement in Office... 51 Corruption Related to Extortion... 62 Corruption Related to Fraud... 70 Corruption Related to Conflict of Interest in Procurement... 83 Corruption Related to Gratification... 87 Other Criminal Acts Related to Corruption... 91 Articles on Corruption Crime... 105 Articles on Other Criminal Acts Related to Corruption Crime... 112 Found Any Corruption? Report it!... 116 3

INTRODUCTION In 2005, Indonesia ranked first as the most corrupt nation in Asia according to the Pacific Economic and Risk Consultancy data. In the day-to-day reality, corruption occurs at almost every level and aspect of public life from Building Permit processing, procurement projects at government agencies, to the law enforcement process. Corruption grew unperceived out of what is considered by the general public to be common and natural practices, such as giving gifts to state officials/ employees or their family members in return for a service rendered. This practice is considered reasonable to do as part of the Eastern culture. These corrupt habits eventually will grow into actual seeds of corruption. Corrupt behavior persists in society due to among other things the dire lack of understanding on the definition of corruption. "Corruption" has been a popular term in Indonesia. Most people have heard of the word people in the hinterlands, college students, civil servants, private sector employees, law enforcers to state officials. But when they are asked about what corruption is, and what kinds of action can be categorized as a corruption crime, inevitably few will be able to answer correctly about the form or type of corruption as intended by the law. The definition of corruption has been set out explicitly in Law Number 3 of 1971 on Eradication of Corruption Crimes. Most of the definition of corruption in the law is referenced from the Criminal Code (KUHP) born before this country gained independence. However, the public's understanding of the definition remains severely lacking. Gaining a better understanding of the definition of corruption is not an easy matter either. Under Law Number 31 of 1999 juncto Law Number 20 of 2001 on Eradication of Corruption, the corrupt behavior that has been considered natural and reasonable can be categorized as a corruption crime. One example is gratification (gift giving) to state administrators with relation to their position; if not reported to the KPK, this may constitute a form of corruption crime. Identifying the forms/types of action which can be categorized as corruption is an early effort to prevent an person from committing corruption. This book has been intentionally published with the objective of helping the public understand more easily and accurately the forms/types of corruption as intended by the law. The presentation format matrices of corruption crime elements that contain the elements of each form/type of corruption crime is intended to help the public understand more easily how to analyze an act. It is intended to enable the public to conclude whether a given act constitutes a corruption crime. Eventually the public will be able to understand more easily the act which we should avoid: corruption. Anti-Corruption Greetings. 4

Head of KPK 5

SAMPLE ANALYSIS OF AN EVENT USING CORRUPTION CRIME MATRIX 6

FIRST CASE EXAMPLE B, a President Director of a State Enterprise, sold a 50-hectare plot of state land that constituted an asset of the company (State Enterprise) he is in charge of to F. Before proceeding with the sales transaction, however, B held a number of meetings with F until they agreed that B was to mark down the Tax Object Sale Value (NJOP) price of the land and F would make the payment in phases. Then B requested F to include two counterpart companies to meet the formal requirement in the bidding process. Next, B pursued a reduction of the NJOP price on the land so that the land's NJOP would match the price he had agreed with F and asked an appraisal company to make a sale price estimate to fit his request. B then came up with a tactic so that the sale would appear to have duly followed the procedure by forming an appraisal committee and a sales committee; however, B would first direct the appraisal committee to set the sale price that he desired and instruct the sales committee to limit the offer to F and the two other companies recommended by F, and the payment in the RKS was to be made in phases. In truth, B's action is contradictory to the Finance Minister Decree on the sale of state assets by public tender. On January 10, 2005 the land asset was sold to F before a Notary Public at one hundred billion rupiah, even though under the Decree of the Minister of State Enterprises any BUMN asset land sale should adhere to the highest NJOP of the current year or to the market price, meaning that the land should have been sold for one hundred and fifty billion rupiah. In the asset sale process, F transferred fifteen billion rupiah to B's account. B s action has cost the state, i.e. the BUMN, fifty billion rupiah. The above case was subsequently analyzed using the corruption crime element matrix for Article 2 of Law Number 31 of 1999 juncto Law Number 20 of 2001 with the following result; 7

FIRST CASE ANALYSIS Article 2 of Law Number 31 of 1999 juncto Law Number 20 of 2001: (1) Any person who by unlawful means commits an act of enriching himself or another person or a corporation in such a way as may inflict a loss on state finances or state economy shall be subject to a criminal penalty of life imprisonment or imprisonment for a minimum of four (4) years and a maximum of twenty (20) years and a fine for a minimum of two hundred million rupiah (Rp 200,000,000.00) and a maximum of one billion rupiah (Rp 1,000,000,000.00). (2) In the event that the corruption crime as referred to in paragraph (1) was committed in certain circumstances, death penalty may be imposed. No. Criminal Element Fact of Deed Committed and occurrence 1 Any person B is the President Director of a State Enterprise (BUMN) Supporting Evidence - Information from Defendant B - ID card in the name of B - Letter for B's appointment as BUMN President Director 2 Enriching oneself, another person or a corporation - On January 10, 2005, B received a money transfer of fifteen billion rupiah from F - F received an asset in the form of a 50-hectare plot of land for a price below the NJOP/market price - Information from Defendant B - Information from Witness F - Information from Bank Officer - Bank account printout 3 By unlawful means - B sold a 50-hectare plot of state land which was an asset of the state enterprise (BUMN) he leads to F. - Prior to selling, B held several meetings with F to negotiate the price and payment method. - After an agreement was reached, B pursued an NJOP price reduction until the price matched his agreement with F - B asked F to find two other companies to fulfill the administrative requirements for sale by tender. - B appointed an appraisal committee and sale committee to meet the formal requirements of tender process administration and had fixed the land price, its buyer and - Information from Witness F - Information from Appraisal Committee - Information from Sales Committee - Information from Land & Building Tax Office - Information from Appraisal Company - Information from the Corporate Commissioners 8

4 May inflict a loss on state finances or state Economy the installment payment method. - Under the Finance Minister Decree, however, a sale must be conducted by public tender and paid in cash. - On January 10, 2005, the land asset was sold for one hundred billion rupiah, despite the fact that under the State Enterprises Minister Decree, the sale of BUMN asset land must be subject to the highest NJOP for the current year and/or the market price, so the asset should have been sold for 150 billion rupiah. The state suffered a loss of fifty billion rupiah. - Information from the Directors - Information from Notary Public - Documents such as those related to the sale, land NJOP, Committee Decision - Finance Minister Decree - State Enterprise Minister Decree - Deed of Sale - Land certificate - Sale receipt - BUMN Company current account printout - Information from Experts from BPKP - Letter containing the state financial loss calculation statement CONCLUSION: The four elements of corruption crime in Article 2 of Law Number 31 of 1999 juncto Law Number 20 of 2001 have been met. The entire string of actions committed by B constitutes a corruption crime under Article 2 of Law Number 31 of 1999 juncto Law Number 20 of 2001, and therefore B is subject to a penalty of imprisonment. 9

SECOND CASE EXAMPLE W is an official at a State institution and was appointed to serve as the head of committee/person-in-charge of a goods procurement project at the institution in 2005. At the end of the budget year, S, an auditor from the competent agency for financial audit, was assigned to conduct a financial accountability audit on the goods procurement process carried out by W. During the audit, S found some indications of irregularities in the procurement process which inflicted a loss on the state. W learned about this and tried to approach S by offering 300 million rupiah and expressed his preference to S that the findings on the indicated irregularities be removed from the audit statement. S reported the attempted kickback to the Investigator, who acted upon it by taping the conversation between W and S and recording the money handover by W to S. As W handed the money to S, the Investigator made the arrest. The above case was subsequently analyzed using the corruption crime element matrix for Article 5 paragraph (1) letter a of Law Number 31 of 1999 juncto Law Number 20 of 2001 with the following result; 1 0

SECOND CASE ANALYSIS Article 5 paragraph (1) letter a of Law Number 31 of 1999 juncto Law Number 20 of 2001: (1) Penalty by imprisonment for a minimum of one (1) year and a maximum of five (5) years and or a fine of a minimum of fifty million rupiah (Rp 50,000,000.00) and a maximum of two hundred and fifty million rupiah (Rp 250,000,000.00) shall be imposed on any person who: a. gives or promises a thing to a civil servant or state administrator with the intention of inducing the performance or non-performance of something in his capacity, which contravenes with his obligations; or b.... No. Criminal Element Fact of Deed Committed and occurrence 1 Any person - W is an official at a State institution. - W is the head of committee/ person-in-charge of a goods procurement project at the institution. Supporting Evidence - Information from Defendant W - ID card in the name of W - Decision for head of committee 2 Giving something or promising something 3 To civil servants or state administrators 4 May inflict a loss on state finances or state Economy - W gave 300 million rupiah to S. - S reported W's plan to give money to the Investigator - S is a civil servant at a state institution that functions as the state financial auditor. - S is conducting a financial accountability audit on the goods procurement carried out by W. - W gave S the money with the intention that S would not include the found indications of irregularities in the goods - Information from Defendant W and Information from Witness S - Information from the Investigation Officer who made the arrest - Evidence in the form of: 1. Investigator's recording of the money handover from Defendant W to Witness S 2. 300 million rupiah in cash - Information from Witness S - Decree to appoint S as Civil Servant - S's letter of assignment to perform audit at W's institution - Information from S's supervisor - Information from Defendant W and Information from Witness S 1 1

procurement when preparing the audit statement. - W knew that this contradicted S's obligation as an auditor. - Information from S's Team Member - Document in the form of Financial Audit Statement. CONCLUSION: The four elements of corruption crime in Article 5 paragraph (1) letter a of Law Number 31 of 1999 juncto Law Number 20 of 2001 have been met. The entire string of actions committed by W constitutes a corruption crime under Article 5 paragraph (1) letter a of Law Number 31 of 1999 juncto Law Number 20 of 2001, and therefore W is subject to a penalty of imprisonment. 1 2

THIRD CASE EXAMPLE X, a Registrar at a District Court in Jakarta, served as a clerk in a fraud case against Defendant Y (Defendant Y was not detained for his fraud case.) On January 2, 2006, X was visited by Y in his office to lobby the Head of the Judge Panel, Judge A, who presided over the case so that Y would be found not guilty and acquitted in the verdict, and X would receive money from Y. X agreed to this and asked for the money to be given to him in advance before the case was adjudicated. On January 10, 2006 at around 2 p.m. West Indonesia Time, Y visited X in his office, carrying a black suitcase containing 500 million rupiah and handing it to X, then X accepted the suitcase containing the money. On January 24, 2006, in the trial for the fraud case against Defendant Y, the judge panel declared Defendant Y to have been found guilty of fraud and sentenced him to five years in prison. On hearing the verdict, Defendant Y became furious and yelled that he should have been acquitted because he had given 500 million rupiah to X. Upon this incident, Y reported X to the Resort Police. In his confession, Y stated that he had lobbied Judge A as the Head of the Judge Panel; however, Judge A was not willing to help Y, while he had spent the 500 million rupiah to repay his debts. The Resort Police subsequently conducted an investigation by determining X and Y as Suspects (in separate case files) and the case was assigned by the District Attorney to the District Court. The above case was subsequently analyzed using the corruption crime element matrix of Article 11 of Law Number 31 of 1999 juncto Law Number 20 of 2001 with the following result; 1 3

THIRD CASE ANALYSIS Article 11 of Law Number 31 of 1999 juncto Law Number 20 of 2001: Penalty by imprisonment for a minimum of one (1) year and a maximum of five (5) years and or a fine of a minimum of fifty million rupiah (Rp 50,000,000.00) and a maximum of two hundred and fifty million rupiah (Rp 250,000,000.00) shall be imposed on any civil servant or state administrator who accepts a gift or a promise despite the knowledge or reasonable suspicion that the gift or promise is given due to the power or authority related to his title, or which the person giving the gift or promise believes to be related to his title. No. Criminal Element Fact of Deed Committed and occurrence 1 Civil servant or state "X" as a District Court Registrar administrator 2 Accepting a gift or a promise On January 10, 2006, in his office, X accepted money in the amount of 500 million rupiah from "Y" Supporting Evidence - Information from Witness A and Witness Y - Information from Defendant X - Decree of Appointment as Registrar - Information from Witness Y - Information from Defendant X - Information from other Witnesses - A portion of the 500 million rupiah 3 Known Known by "Y" Information from Witness Y 4 It can be suspected that the gift or promise was given due to the power or authority vested in his title or which the person who gave the gift or promise believed to be related to his title With the 500 million rupiah, "X" as a Registrar would be able to approach/lobby the judge who examined his case to rule the case in his favor. - Information from Witness Y and Witness A - Information from Defendant X CONCLUSION: The four elements of corruption crime in Article 11 of Law Number 31 of 1999 juncto Law Number 20 of 2001 have been met. The entire string of actions committed by X constitutes a corruption crime under Article 11 of Law Number 31 of 1999 juncto Law Number 20 of 2001, and therefore X is subject to a penalty of imprisonment. 1 4

FOURTH CASE EXAMPLE X, a Registrar at a District Court in Jakarta, served as a clerk in a fraud case against Defendant Y (Defendant Y was not detained for his fraud case.) On January 2, 2006, X was visited by Y in his office to lobby the Head of the Judge Panel, Judge A, who presided over the case so that Y would be found not guilty and acquitted in the verdict, and X would receive money from Y. X agreed to this and asked for the money to be given to him in advance before the case was adjudicated. On January 10, 2006 at around 2 p.m. West Indonesia Time, Y visited X in his office, carrying a black suitcase containing 500 million rupiah and handing it to X, then X accepted the suitcase containing the money. On January 24, 2006, in the trial for the fraud case against Defendant Y, the judge panel declared Defendant Y to have been found guilty of fraud and sentenced him to five years in prison. On hearing the verdict, Defendant Y became furious and yelled that he should have been acquitted because he had given 500 million rupiah to X. Upon this incident, Y reported X to the Resort Police. In his confession, Y stated that he had lobbied Judge A as the Head of the Judge Panel; however, Judge A was not willing to help Y, while he had spent the 500 million rupiah to repay his debts. The Resort Police subsequently conducted an investigation by determining X and Y as Suspects (in separate case files) and the case was assigned by the District Attorney to the District Court. The above case was subsequently analyzed using the corruption crime element matrix of Article 13 of Law Number 31 of 1999 juncto Law Number 20 of 2001 with the following result; 1 5

FOURTH CASE ANALYSIS Article 13 of Law Number 31 of 1999 juncto Law Number 20 of 2001: Any person who gives a gift or a promise to a civil servant with relevance to the power or authority inherent to the title or position of the civil servant, or deemed by the giver of the gift or promise to be inherent to such title or position, shall be subject to imprisonment for up to three (3) years and or a fine of up to one hundred and fifty million rupiah (Rp 150,000,000.00). No. Criminal Element Fact of Deed Committed and occurrence Supporting Evidence 1 Any person "Y" - Information from Witness X - Information from other Witnesses - Information from Defendant Y 2 Giving a gift or a promise On January 10, 2006, at X's his office, Y gave money in the amount of 500 million rupiah to X - Information from Witness X - Information from Defendant Y - Information from other Witnesses - A portion of the 500 million rupiah 3 To a civil servant X as a District Court Registrar - Information from Witness Y - Information from other Witnesses - Decree of Appointment as Registrar 4 In view of the power or authority inherent to the title or position, or deemed to be inherent to the title or position by the giver of the gift or promise Y knew that as the Registrar who handled his case, X would be able to lobby the Head of the Judge Panel who handled his case to acquit Y in the fraud case against him Information from Defendant Y CONCLUSION: The four elements of corruption crime in Article 13 of Law Number 31 of 1999 juncto Law Number 20 of 2001 have been met. The entire string of actions committed by Y constitutes a corruption crime under Article 13 of Law Number 31 of 1999 juncto Law Number 20 of 2001, and therefore Y is subject to a penalty of imprisonment. 1 6

CORRUPTION CRIME 1 7

WHAT IS MEANT BY CORRUPTION? The definition of corruption from a legal perspective has been clearly set out in thirteen articles in Law Number 31 of 1999 juncto Law Number 20 of 2001. Under these articles, corruption is classified into thirty forms/types of corruption crime. The articles provide a detailed explanation of the acts that are subject to penalty of imprisonment for corruption. The thirty forms/types of corruption crime are as follows: 1) Article 2; 2) Article 3; 3) Article 5 paragraph (1) letter a; 4) Article 5 paragraph (1) letter b; 5) Article 5 paragraph (2); 6) Article 6 paragraph (1) letter a; 7) Article 6 paragraph (1) letter b; 8) Article 6 paragraph (2); 9) Article 7 paragraph (1) letter a; 10) Article 7 paragraph (1) letter b; 11) Article 7 paragraph (1) letter c; 12) Article 7 paragraph (1) letter d; 13) Article 7 paragraph (2); 14) Article 8; 15) Article 9; 16) Article 10 letter a; 17) Article 10 letter b; 18) Article 10 letter c; 19) Article 11; 20) Article 12 letter a; 21) Article 12 letter b; 22) Article 12 letter c; 23) Article 12 letter d; 24) Article 12 letter e; 25) Article 12 letter f; 26) Article 12 letter g; 27) Article 12 letter h; 28) Article 12 letter i; 29) Article 12B juncto Article 12C; and 30) Article 13. They can essentially be classified into the following: 1. Loss to state finances: - Article 2 - Article 3 2. Bribery: - Article 5 paragraph (1) letter a - Article 5 paragraph (1) letter b - Article 13 - Article 5 paragraph (2) 1 8

- Article 12 letter a - Article 12 letter b - Article 11 - Article 6 paragraph (1) letter a - Article 6 paragraph (1) letter b - Article 6 paragraph (2) - Article 12 letter c - Article 12 letter d 3. Embezzlement while in office: - Article 8 - Article 9 - Article 10 letter a - Article 10 letter b - Article 10 letter c 4. Extortion: - Article 12 letter e - Article 12 letter g - Article 12 letter h 5. Fraud: - Article 7 paragraph (1) letter a - Article 7 paragraph (1) letter b - Article 7 paragraph (1) letter c - Article 7 paragraph (1) letter d - Article 7 paragraph (2) - Article 12 letter h 6. Conflict of interest in procurement: - Article 12 letter i 7. Gratification: - Article 12 B juncto Article 12 C In addition to the definition of corruption crime elaborated above, there are other crimes related to corruption crime. The types of other crimes are set out in Articles 21, 22, 23 and 24 Chapter III of Law Number 31 of 1999 juncto Law Number 20 of 2001 on Eradication of Corruption Crime. The other criminal acts related to corruption crime are: 1. Obstructing the investigation of a corruption case: - Article 21 2. Failing to supply information or providing false information: - Article 22 juncto Article 28 3. Bank failing to supply information on a suspect's account: - Article 22 juncto Article 29 4. Witness or expert failing to provide information or providing false information: - Article 22 juncto Article 35 5. A person under title confidentiality failing to provide information or providing false information: - Article 22 juncto Article 36 6. Witness disclosing an informant s identity: - Article 24 juncto Article 31 1 9

2 0

2 1

CORRUPTION RELATED TO STATE FINANCE LOSS ARTICLE 2 ARTICLE 3 2 2

BREAKING THE LAW FOR PERSONAL GAIN AND POSSIBLY INFLICTING A LOSS ON STATE FINANCES IS CORRUPTION The definition of corruption in Article 2 of Law Number 31 of 1999 was first contained in Article 1 paragraph (1) letter a of Law Number 3 of 1971. The difference in the definitions lies in the introduction of the word "may" before the component of " inflicting a loss on state finances/economy" in Law Number 31 of 1999. To date, this article is one of the most commonly used to prosecute corruptors. Article 2 of Law Number 31 of 1999 juncto Law Number 20 of 2001: (1) Any person who by unlawful means commits an act of enriching himself or another person or a corporation which may cause a loss to state finances or state economy shall be subject to a criminal penalty of life imprisonment or imprisonment for a minimum of four (4) years and a maximum of twenty (20) years and a fine of a minimum of two hundred million rupiah (Rp 200,000,000.00) and a maximum of one billion rupiah (Rp 1,000,000,000.00). (2) In the event that the corruption crime as referred to in paragraph (1) was committed in certain circumstances, death penalty may be imposed. No. Criminal Element Fact of Deed Committed and occurrence 1 Any person Supporting Evidence 2 Enriching oneself, another person or a corporation 3 By unlawful means 4 May inflict a loss on state finances or state Economy CONCLUSION: 2 3

NOTE: 2 4

ABUSING AUTHORITY FOR PERSONAL GAIN WHICH MAY INFLICT A LOSS ON STATE FINANCES IS CORRUPTION The definition of corruption given in Article 3 of Law Number 31 of 1999 was first contained in Article 1 paragraph (1) letter b of Law Number 3 of 1971. The difference in the definitions lies in the introduction of the word "may" before the component of "inflict a loss on state finances/economy" in Law Number 31 of 1999. To date, this article is one of the most commonly used to prosecute corruptors. Article 3 of Law Number 31 of 1999 juncto Law Number 20 of 2001: Any person who for the purpose of enriching himself or another person or a corporation abuses the authority, opportunity or facility vested in him by his title or position which may inflict a loss on state finances or economy shall be subject to a penalty of life imprisonment or a penalty of imprisonment for a minimum of one (1) year and a maximum of twenty (20) years and or a fine of a minimum of fifty million rupiah (Rp 50,000,000.00) and a maximum of one billion rupiah (Rp 1,000,000,000.00). No. Criminal Element Fact of Deed Committed and occurrence 1 Any person Supporting Evidence 2 Enriching oneself, another person or a corporation 3 Abuses authority, opportunity or facility 4 Vested in him by his title or position 5 May inflict a loss on state finances or state Economy CONCLUSION: 2 5

NOTE: 2 6

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CORRUPTION RELATED TO BRIBERY Article 5 paragraph (1) letter a Article 5 paragraph (1) letter b Article 13 Article 5 paragraph (2) Article 12 letter a Article 12 letter b Article 11 Article 6 paragraph (1) letter a Article 6 paragraph (1) letter b Article 6 paragraph (2) Article 12 letter c Article 12 letter d 2 8

BRIBING A CIVIL SERVANT IS CORRUPTION The definition of corruption given in Article 5 paragraph (1) of Law Number 20 of 2001 is derived from Article 209 paragraph (1) of the Criminal Code, which was referenced in Article 1 paragraph (1) letter c of Law Number 3 of 1971, and Article 5 of Law Number 31 of 1999 as a corruption crime, which was subsequently redefined in Law Number 20 of 2001. Article 5 paragraph (1) letter a of Law Number 31 of 1999 juncto Law Number 20 of 2001: (1) Penalty by imprisonment for a minimum of one (1) year and a maximum of five (5) years and or a fine of a minimum of fifty million rupiah (Rp 50,000,000.00) and a maximum of two hundred and fifty million rupiah (Rp 250,000,000.00) shall be imposed on any person who: a. gives or promises a thing to a civil servant or state administrator with the intention of causing the civil servant or state administrator to do or not do something in his capacity, which contravenes with his obligations; or b.... No. Criminal Element Fact of Deed Committed and occurrence 1 Any person 2 Giving something or promising something 3 To civil servants or state - administrators 4 May inflict a loss on state finances or state Economy Supporting Evidence CONCLUSION: 2 9

NOTE: 3 0

BRIBING A CIVIL SERVANT IS CORRUPTION The definition of corruption given in Article 5 paragraph (1) of Law Number 20 of 2001 is derived from Article 209 paragraph (1) of the Criminal Code, which was referenced in Article 1 paragraph (1) letter c of Law Number 3 of 1971, and Article 5 of Law Number 31 of 1999 as a corruption crime, which was subsequently redefined in Law Number 20 of 2001. Article 5 paragraph (1) letter a of Law Number 31 of 1999 juncto Law Number 20 of 2001: (1) Penalty by imprisonment for a minimum of one (1) year and a maximum of five (5) years and or a fine of a minimum of fifty million rupiah (Rp 50,000,000.00) and a maximum of two hundred and fifty million rupiah (Rp 250,000,000.00) shall be imposed on any person who: a.... b. gives something to a civil servant or state administrator due to or in relation with something which contravenes with the obligations, is done or not done under his position. No. Criminal Element Fact of Deed Committed and occurrence 1 Any person 2 Giving something or promising something 3 To civil servants or state - administrators 4 May inflict a loss on state finances or state Economy Supporting Evidence CONCLUSION: 3 1

NOTE: 3 2

GIVING A GIFT TO A CIVIL SERVANT DUE TO HIS TITLE IS CORRUPTION The definition of corruption in Article 13 of Law Number 31 of 1999 is derived from Article 1 paragraph (1) letter d of Law Number 3 of 1971 as a corruption crime, such definition being subsequently modified in Law Number 31 of 1999. Article 13 of Law Number 31 of 1999 juncto Law Number 20 of 2001: Any person who gives a gift or a promise to a civil servant with relevance to the power or authority inherent to the title or position of the civil servant, or deemed by the giver of the gift or promise to be inherent to such title or position, shall be subject to imprisonment for up to three (3) years and or a fine of up to one hundred and fifty million rupiah (Rp 150,000,000.00). No. Criminal Element Fact of Deed Committed and occurrence 1 Any person 2 Giving a gift or a promise 3 To a civil servant 4 In view of the power or authority inherent to the title or position, or deemed to be inherent to the title or position by the giver of the gift or promise Supporting Evidence CONCLUSION: 3 3

NOTE: 3 4

A CIVIL SERVANT ACCEPTING A BRIBE IS CORRUPTION The definition of corruption in Article 5 paragraph (2) of Law Number 20 of 2001 is a new definition of corruption crime made in Law Number 20 of 2001. Article 5 paragraph (2) of Law Number 31 of 1999 juncto Law Number 20 of 2001: (1) Penalty by imprisonment for a minimum of one (1) year and a maximum of five (5) years and or a fine of a minimum of fifty million rupiah (Rp 50,000,000.00) and a maximum of two hundred and fifty million rupiah (Rp 250,000,000.00) shall be imposed on on any person who: a.... b.... (2) Any civil servant or state administrator who accepts any gift or promise as referred to in paragraph (1) letter a or letter b shall be subject to such penalty as referred to in paragraph (1). No. Criminal Element Fact of Deed Committed and occurrence 1 Civil servant or state administrator 2 Accepting a gift or a promise 3 As referred to in Article 5 paragraph (1) letter a or letter b Supporting Evidence CONCLUSION: 3 5

NOTE: 3 6

A CIVIL SERVANT ACCEPTING A BRIBE IS CORRUPTION The definition of corruption in Article 12 letter a of Law Number 20 of 2001 is derived from Article 419 number 1 of the Criminal Code referenced in Article 1 paragraph (1) letter c of Law Number 3 of 1971, and Article 12 of Law Number 31 of 1999 as a corruption crime, later redefined in Law Number 20 of 2001. Article 12 letter a of Law Number 31 of 1999 juncto Law Number 20 of 2001: Penalty by life imprisonment or imprisonment for a minimum of four (4) years and a maximum of twenty (20) years and a fine of a minimum of two hundred million rupiah (Rp 200,000,000.00) and a maximum of one billion rupiah (Rp 1,000,000,000.00) shall be imposed on: a. civil servant or state administrator who accepts a gift or a promise despite the knowledge or reasonable suspicion that the gift or promise was given to induce the performance or non-performance of something in his capacity against his obligation; b.... No. Criminal Element Fact of Deed Committed and occurrence 1 Civil servant or state administrator 2 Accepting a gift or a promise 3 Knew that the gift or promise was given to induce the performance or nonperformance of something in his title against his obligation 4 It can be suspected that the gift or promise was given to motivate him into doing or not doing something in his capacity against his obligation Supporting Evidence CONCLUSION: 3 7

NOTE: 3 8

A CIVIL SERVANT ACCEPTING A BRIBE IS CORRUPTION The definition of corruption in Article 12 letter b of Law Number 20 of 2001 is derived from Article 419 number 2 of the Criminal Code, referenced in Article 1 paragraph (1) letter c of Law Number 3 of 1971, and Article 12 of Law Number 31 of 1999 as a corruption crime, later redefined in Law Number 20 of 2001. Article 12 letter b of Law Number 31 of 1999 juncto Law Number 20 of 2001: Penalty by life imprisonment or imprisonment for a minimum of four (4) years and a maximum of twenty (20) years and a fine of a minimum of two hundred million rupiah (Rp 200,000,000.00) and a maximum of one billion rupiah (Rp 1,000,000,000.00) shall be imposed on: a.... b. civil servant or state administrator who accepts a gift despite the knowledge or reasonable suspicion that the gift was given due to the performance or non-performance of something in his capacity against his obligations; c.... No. Criminal Element Fact of Deed Committed and occurrence 1 Civil servant or state administrator 2 Accepting a gift 3 Knowledge that the gift was given due to the performance or non-performance of something in his capacity against his obligations 4 Reasonable suspicion that the gift was given due to the performance or nonperformance of something in his capacity against his obligations Supporting Evidence CONCLUSION: 3 9

NOTE: 4 0

A CIVIL SERVANT ACCEPTING A GIFT RELATED TO HIS TITLE IS CORRUPTION The definition of corruption in Article 11 of Law Number 20 of 2001 is derived from Article 418 of the Criminal Code referenced in Article 1 paragraph (1) letter c of Law Number 3 of 1971, and Article 11 of Law Number 31 of 1999 as a corruption crime, later redefined in Law Number 20 of 2001. Article 11 of Law Number 31 of 1999 juncto Law Number 20 of 2001: Penalty by imprisonment for a minimum of one (1) year and a maximum of five (5) years and or a fine of a minimum of fifty million rupiah (Rp 50,000,000.00) and a maximum of two hundred and fifty million rupiah (Rp 250,000,000.00) shall be imposed on any civil servant or state administrator who accepted a gift or a promise despite the knowledge or reasonable suspicion that the gift or promise was given due to the power or authority related to his title, or which the person giving the gift or promise believed to be related to his title. No. Criminal Element Fact of Deed Committed and occurrence 1 Civil servant or state administrator 2 Accepting a gift or a promise 3 Knowledge 4 Reasonable suspicion that the gift or promise was given due to the power or authority related to his title or which the person giving the gift or promise believed to be related to his title Supporting Evidence CONCLUSION: 4 1

NOTE: 4 2

BRIBING A JUDGE IS CORRUPTION The definition of corruption in Article 6 paragraph (1) letter a of Law Number 20 of 2001 is derived from Article 210 paragraph (1) letter 1 of the Criminal Code referenced in Article 1 paragraph (1) letter c of Law Number 3 of 1971, and Article 6 of Law Number 31 of 1999 as a corruption crime, later redefined in Law Number 20 of 2001. Article 6 paragraph (1) letter a of Law Number 31 of 1999 juncto Law Number 20 of 2001: (1) Penalty by imprisonment for a minimum of three (3) years and a maximum of fifteen (15) years and a fine of a minimum of one hundred and fifty million rupiah (Rp 150,000,000.00) and a maximum of seven hundred and fifty million rupiah (Rp 750,000,000.00) shall be imposed on any person who: a. gives or promises something to a judge with the intention to influence the ruling of a case assigned to him to be adjudicated or b.... No. Criminal Element Fact of Deed Committed and occurrence 1 Any person 2 Giving or promising something 3 To a judge 4 With the intention to influence the ruling of a case assigned to him to be adjudicated Supporting Evidence CONCLUSION: 4 3

NOTE: 4 4

BRIBING A COUNSEL IS CORRUPTION The definition of corruption in Article 6 paragraph (1) letter b of Law Number 20 of 2001 is derived from Article 210 paragraph (1) letter 2 of the Criminal Code, referenced in Article 1 paragraph (1) letter c of Law Number 3 of 1971, and Article 6 of Law Number 31 of 1999 as a corruption crime, later redefined in Law Number 20 of 2001. Article 6 paragraph (1) letter b of Law Number 31 of 1999 juncto Law Number 20 of 2001: (1) Penalty by imprisonment for a minimum of three (3) years and a maximum of fifteen (15) years and a fine of a minimum of one hundred and fifty million rupiah (Rp 150,000,000.00) and a maximum of seven hundred and fifty million rupiah (Rp 750,000,000.00) shall be imposed on any person who: a.... b. gives or promises something to a person who under the laws and regulations is stipulated to be a counsel to attend court hearings with the intention to influence the advice or opinion to be given with relation to a case assigned to the court to be adjudicated. No. Criminal Element Fact of Deed Committed and occurrence 1 Any person 2 Giving or promising something 3 To a counsel attending a court hearing 4 With the intention to influence the advice or opinion to be given with relation to a case assigned to the court to be adjudicated Supporting Evidence CONCLUSION: 4 5

NOTE: 4 6

JUDGE AND COUNSEL ACCEPTING A BRIBE IS CORRUPTION The definition of corruption in Article 6 paragraph (2) of Law Number 20 of 2001 is derived from Article 420 paragraph (1) letters 1 and 2 of the Criminal Code referenced in Article 1 paragraph (1) letter c of Law Number 3 of 1971, and Article 6 of Law Number 31 of 1999 as a corruption crime, later redefined in Law Number 20 of 2001. Article 6 paragraph (2) of Law Number 31 of 1999 juncto Law Number 20 of 2001: (2) A judge who accepts a gift or promise as referred to in paragraph (1) letter a or a counsel who accepts a gift or promise as referred to in paragraph (1) letter b shall be subject to the same criminal penalty as referred to in paragraph (1). No. Criminal Element Fact of Deed Committed and occurrence 1 Judge or counsel 2 Accepting a gift or promise 3 As referred to in Article 6 paragraph (1) letter a or letter b Supporting Evidence CONCLUSION: 4 7

NOTE: 4 8

JUDGE ACCEPTING A BRIBE IS CORRUPTION The definition of corruption in Article 12 letter c of Law Number 20 of 2001 is derived from Article 420 paragraph (1) letter 1 of the Criminal Code referenced in Article 1 paragraph (1) letter c of Law Number 3 of 1971, and Article 12 of Law Number 31 of 1999 as a corruption crime, later redefined in Law Number 20 of 2001. Article 12 letter c of Law Number 31 of 1999 juncto Law Number 20 of 2001: Penalty by life imprisonment or imprisonment for a minimum of four (4) years and a maximum of twenty (20) years and a fine of a minimum of two hundred million rupiah (Rp 200,000,000.00) and a maximum of one billion rupiah (Rp 1,000,000,000.00) shall be imposed on b.... c. any judge who accepts a gift or promise despite the knowledge or reasonable suspicion that the gift or promise was given to influence the ruling of a case assigned to him to be adjudicated; d.... No. Criminal Element Fact of Deed Committed And occurrence 1 Judge 2 Accepting a gift or promise 3 Knowledge or reasonable suspicion that the gift or promise was given to influence the ruling of a case assigned to him to be adjudicated Supporting Evidence CONCLUSION: 4 9

NOTE: 5 0

COUNSEL ACCEPTING A BRIBE IS CORRUPTION The definition of corruption in Article 12 letter d of Law Number 20 of 2001 is derived from Article 420 paragraph (1) letter 2 of the Criminal Code referenced in Article 1 paragraph (1) letter c of Law Number 3 of 1971, and Article 12 of Law Number 31 of 1999 as a corruption crime, later redefined in Law Number 20 of 2001. Article 12 letter d of Law Number 31 of 1999 juncto Law Number 20 of 2001: Penalty by life imprisonment or imprisonment for a minimum of four (4) years and a maximum of twenty (20) years and a fine of a minimum of two hundred million rupiah (Rp 200,000,000.00) and a maximum of one billion rupiah (Rp 1,000,000,000.00) shall be imposed on c.... d. any person stipulated by the laws and regulations to be a counsel to attend court hearings who accepted a gift or promise, despite the knowledge or reasonable suspicion that the gift or promise was intended to influence the advice or opinion to be given with relation to a case assigned to the court to be adjudicated; e.... No. Criminal Element Fact of Deed Committed And occurrence 1 Counsel attending a court hearing 2 Accepting a gift or promise 3 Knowledge or reasonable suspicion that the gift or promise was intended to influence the advice or opinion to be given with relation to a case assigned to the court to be adjudicated Supporting Evidence CONCLUSION: 5 1

NOTE: 5 2

CORRUPTION RELATED TO EMBEZZLEMENT IN OFFICE Article 8 Article 9 Article 10 letter a Article 10 letter b Article 10 letter c 5 3

A CIVIL SERVANT EMBEZZLING MONEY OR ENABLING EMBEZZLEMENT IS CORRUPTION The definition of corruption in Article 8 of Law Number 20 of 2001 is derived from Article 415 of the Criminal Code referenced in Article 1 paragraph (1) letter c of Law Number 3 of 1971, and Article 8 of Law Number 31 of 1999 as a corruption crime, later redefined in Law Number 20 of 2001. Article 8 of Law Number 31 of 1999 juncto Law Number 20 of 2001: Penalty by imprisonment for a minimum of three (3) years and a maximum of fifteen (15) years and a fine of a minimum of one hundred and fifty million rupiah (Rp 150,000,000.00) and a maximum of seven hundred and fifty million rupiah (Rp 750,000,000.00) shall be imposed on any civil servant or any person other than civil servant who is assigned to a public title on a permanent or temporary basis, who intentionally embezzles money or securities kept by virtue of his title, or allows the money or securities to be taken or embezzled by any other person, or assists in such an act. No. Criminal Element Fact of Deed Committed and occurrence 1 Civil servant or any person other than civil servant assigned to a public title on a permanent or temporary basis 2 Intentionally 3 Embezzles or allows any other person to embezzle or assists in such an act 4 Money or securities 5 Kept by virtue of his title Supporting Evidence CONCLUSION: 5 4

NOTE: 5 5

A CIVIL SERVANT FALSIFYING THE BOOKS FOR ADMINISTRATIVE AUDIT IS CORRUPTION The definition of corruption in Article 9 of Law Number 20 of 2001 is derived from Article 416 of the Criminal Code referenced in Article 1 paragraph (1) letter c of Law Number 3 of 1971, and Article 9 of Law Number 31 of 1999 as a corruption crime, later redefined in Law Number 20 of 2001. Article 9 of Law Number 31 of 1999 juncto Law Number 20 of 2001: Penalty by imprisonment for a minimum of one (1) year and a maximum of five (5) years and a fine of a minimum of fifty million rupiah (Rp 50,000,000.00) and a maximum of two hundred and fifty million rupiah (Rp 250,000,000.00) shall be imposed on any civil servant or any person other than civil servant who is assigned to a public title on a permanent or temporary basis, who intentionally falsifies the books or special lists for administrative audit. No. Criminal Element Fact of Deed Committed and occurrence 1 Civil servant or any person other than civil servant assigned to a public title on a permanent or temporary basis 2 Intentionally 3 Falsifies 4 Books or special lists for administrative audit Supporting Evidence CONCLUSION: 5 6

NOTE: 5 7

A CIVIL SERVANT DESTROYING EVIDENCE IS CORRUPTION The definition of corruption in Article 10 letter a of Law Number 20 of 2001 is derived from Article 417 of the Criminal Code referenced in Article 1 paragraph (1) letter c of Law Number 3 of 1971, and Article 9 of Law Number 31 of 1999 as a corruption crime, later redefined in Law Number 20 of 2001. Article 10 letter a of Law Number 31 of 1999 juncto Law Number 20 of 2001: Penalty by imprisonment for a minimum of two (2) years and a maximum of seven (7) years and a fine of a minimum of one hundred million rupiah (Rp 100,000,000.00) and a maximum of three hundred and fifty million rupiah (Rp 350,000,000.00) shall be imposed on any civil servant or any person other than civil servant who is assigned to a public title on a permanent or temporary basis, who intentionally: a. embezzles, destroys, damages, or otherwise renders unusable any object, deed, document, or list used to convince or prove before a competent official, which he controls by virtue of his title; or b.... No. Criminal Element Fact of Deed Committed and occurrence 1 Civil servant or any person other than civil servant assigned to a public title on a permanent or temporary basis 2 Intentionally 3 Embezzles, destroys, damages, or otherwise renders unusable 4 Any object, deed, document, or list used to convince or prove before a competent official 5 Controls by virtue of his title Supporting Evidence CONCLUSION: 5 8

NOTE: 5 9

A CIVIL SERVANT LETTING ANOTHER PERSON DESTROY EVIDENCE IS CORRUPTION The definition of corruption in Article 10 letter b of Law Number 20 of 2001 is derived from Article 417 of the Criminal Code referenced in Article 1 paragraph (1) letter c of Law Number 3 of 1971, and Article 10 of Law Number 31 of 1999 as a corruption crime, later redefined in Law Number 20 of 2001. Article 10 letter b of Law Number 31 of 1999 juncto Law Number 20 of 2001: Penalty by imprisonment for a minimum of two (2) years and a maximum of seven (7) years and a fine of a minimum of one hundred million rupiah (Rp 100,000,000.00) and a maximum of three hundred and fifty million rupiah (Rp 350,000,000.00) shall be imposed on any civil servant or any person other than civil servant who is assigned to a public title on a permanent or temporary basis, who intentionally: a.... b. allows another person to eliminate, destroy, damage, or otherwise render unusable any such object, deed, document, or list; or c.... No. Criminal Element Fact of Deed Committed and occurrence 1 Civil servant or any person other than civil servant assigned to a public title on a permanent or temporary basis 2 Intentionally 3 Allows another person to eliminate, destroy, damage, or otherwise render unusable 4 Object, deed, document, or list as mentioned to in Article 10 letter a Supporting Evidence CONCLUSION: 6 0

NOTE: 6 1

A CIVIL SERVANT ASSISTING ANOTHER PERSON TO DESTROY EVIDENCE IS CORRUPTION The definition of corruption in Article 10 letter c of Law Number 20 of 2001 is derived from Article 417 of the Criminal Code referenced in Article 1 paragraph (1) letter c of Law Number 3 of 1971, and Article 10 of Law Number 31 of 1999 as a corruption crime, later redefined in Law Number 20 of 2001. Article 10 letter c of Law Number 31 of 1999 juncto Law Number 20 of 2001: Penalty by imprisonment for a minimum of two (2) years and a maximum of seven (7) years and a fine of a minimum of one hundred million rupiah (Rp 100,000,000.00) and a maximum of three hundred and fifty million rupiah (Rp 350,000,000.00) shall be imposed on any civil servant or any person other than civil servant who is assigned to a public title on a permanent or temporary basis, who intentionally: b.... c. assists another person to eliminate, destroy, damage, or otherwise render unusable any such object, deed, document, or list. No. Criminal Element Fact of Deed Committed and occurrence 1 Civil servant or any person other than civil servant assigned to a public title on a permanent or temporary basis 2 Intentionally 3 Assists another person to eliminate, destroy, damage, or otherwise render unusable 4 Object, deed, document, or list as mentioned to in Article 10 letter a Supporting Evidence CONCLUSION: 6 2

NOTE: 6 3

CORRUPTION RELATED TO EXTORTION Article 12 letter e Article 12 letter g Article 12 letter f 6 4

A CIVIL SERVANT COMMITTING EXTORTION IS CORRUPTION The definition of corruption in Article 12 letter e of Law Number 20 of 2001 is derived from Article 423 of the Criminal Code referenced in Article 1 paragraph (1) letter c of Law Number 3 of 1971, and Article 12 of Law Number 31 of 1999 as a corruption crime, later redefined in Law Number 20 of 2001. Article 12 letter e of Law Number 31 of 1999 juncto Law Number 20 of 2001: Penalty by life imprisonment or imprisonment for a minimum of four (4) years and a maximum of twenty (20) years and a fine of a minimum of two hundred million rupiah (Rp 200,000,000.00) and a maximum of one billion rupiah (Rp 1,000,000,000.00) shall be imposed on: d.... e. any civil servant or state administrator who in order to benefit himself or any other person by unlawful means, or by abusing his power coerces a person into giving a thing, paying or accepting payment with deduction, or to do something for himself; f.... No. Criminal Element Fact of Deed Committed and occurrence 1 Civil servant or state administrator 2 To benefit himself or any other person 3 By unlawful means 4 Coerces a person into giving a thing, paying or accepting payment with deduction, or to do something for himself 5 Abusing power Supporting Evidence CONCLUSION: 6 5

NOTE: 6 6

A CIVIL SERVANT COMMITTING EXTORTION IS CORRUPTION The definition of corruption in Article 12 letter g of Law Number 20 of 2001 is derived from Article 425 number 2 of the Criminal Code referenced in Article 12 of Law Number 31 of 1999 as a corruption crime, later redefined in Law Number 20 of 2001. Article 12 letter g of Law Number 31 of 1999 juncto Law Number 20 of 2001: Penalty by life imprisonment or imprisonment for a minimum of four (4) years and a maximum of twenty (20) years and a fine of a minimum of two hundred million rupiah (Rp 200,000,000.00) and a maximum of one billion rupiah (Rp 1,000,000,000.00) shall be imposed on: f.... g. any civil servant or state administrator who during the performance of his duties requests or accepts work, or delivery of goods, as if it were a debt to himself, despite the knowledge that it is not a debt; h.... No. Criminal Element Fact of Deed Committed and occurrence 1 Civil servant or state administrator 2 During the performance of his duties 3 Requests or accepts a work, or delivery of goods 4 As if it were a debt to himself 5 Knowledge that it is not a debt Supporting Evidence CONCLUSION: 6 7