By MAKARIM & TAIRA S.
INTRODUCTION
It is not the intention of this article to discuss the
prevalence of corruption in Indonesia nor the reasons why
corruption exists here. It is also not this article's purpose
to pontificate on how corruption hinders the growth of the
nation's development or how it may be eradicated. Rather, this
article is intended solely to advise businessmen and investors,
foreign and local, on how corruption is defined and dealt with by
Indonesia's legal and regulatory framework and what penalties
and sanctions may be imposed when corrupt acts are dealt with by
the courts.
Over the past ten years, the focus on and criticism of the
ingrained nature of "KKN" or corruption, collusion and
nepotism, in Indonesia's economy has brought out into the open
many of the previous administration's misdeeds which went
unpunished. However, this is not to say that there were then no
penalties for corruption. On the contrary, it is true to say that
there has