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ARTICLE · 29 JANUARY 2019

Facilitating Payments In Indonesia

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In contrast, facilitating payments are not recognised under Indonesian law.

IndonesiaCriminal Law

We understand that the Foreign Corrupt Practices Act (FCPA) permits facilitating payments to be made to foreign officials for routine governmental actions to expedite the performance of their duties. Such payments are generally considered as not being intended to influence the outcome of the official's action or decision, but rather to expedite an action or decision that is already a given. A facilitating payment, therefore, is an exception to the anti-bribery prohibitions in the FCPA.

In contrast, facilitating payments are not recognised under Indonesian law. Generally, there is no provision under the Anti-Corruption Law (Law No. 31 of 1999 regarding Eradication of Criminal Acts of Corruption, as amended by Law No. 20 of 2011) or in Indonesian law that permits facilitating payments or exempts such payments from the general prohibitions of the Anti-Corruption Law. In fact, unauthorised payment to any government official, regardless of the purpose, is very suspect and

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