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On December 17, 2025, the President of Indonesia signed the criminal procedure bill into Law No. 20 of 2025 (the "New KUHAP"), following its parliamentary approval in November 2025.

Indonesia's new Criminal Code ("New Criminal Code") that was passed as law on 2 January 2023, will be effective starting 2 January 2026.

On the heel of a lengthy debate and despite the controversy surrounding it, Law No. 1 of 2023 on Indonesian Criminal Code ("Law 1/2023") has been promulgated on 2 January 2023.

Corporate criminal liability is not a new concept in Indonesia. More in theory than in practice, it has been a concept in the Indonesian legal system since the 1950s.

In the beginning of this year on 2 January 2026, the Government of Indonesia has officially enacted Law No. 1 of 2026 on Criminal Adjustment (“Law 1/2026”). Law 1/2026 introduces several amendments to Law No. 1 of 2023 on the Indonesian Criminal Code (the “New Criminal Code”), effective since its date of enactment. Among the changes to the previous criminal code stipulated in this New Criminal Code is specific stipulation on the applicable criminal penalties for corporations.

Based on Law No. 40 of 2007 on Limited Liability Companies as amended by Job Creation Law ("Company Law"), a limited liability company is defined as a legal entity limited by shares and established under an agreement.