|
Financial Crimes
Over the past five years, Indonesia has aggressively strived toward constructing a more effective regime to combat money laundering and terrorist financing. The adoption of key legislation making these activities illegal has been the foundation of this multi-faceted effort. In 2002, following Indonesia’s placement in 2001 on the list of Non-Cooperative Countries and Territories (NCCT), it began to build the legal framework and enforcement capabilities needed to reduce its vulnerability to becoming a haven for money laundering and terrorist financing.
Indonesia has made considerable progress in formulating and passing legislation that is generally consistent with international best practice, though weaknesses do remain. It has ratified many of the international conventions on money laundering and terrorist financing, is an active member in the Asia/Pacific Group (APG) on Money Laundering, and, through its Financial Intelligence Unit (FIU), is also a member of the Paris-based Egmont Group, an informal international organization of FIUs. In July 2006, the APG named Financial Transactions Reporting and Analysis Center (PPATK) Chairman Yunus Husein a co-chair of the regional Financial Action Task Force (FATF)-style organization for a two-year term. International donors, most notably the Australians and the Americans, continue to provide technical support and guidance as the country bolsters its anti-money laundering legal system and improves the capacity of the various implementing agencies.
The illustration on the next page depicts the Indonesian network of government agencies and private sector stakeholders that work in partnership to combat money laundering and terrorist financing. Indonesia’s efforts involve reporting parties (providers of financial services), PPATK, financial regulatory and supervisory agencies, law enforcement and the judicial sector, the National Coordination Committee (NCC), and other relevant.
|
