Integritas : Jurnal Antikorupsi

Shadows of political corruption amidst the trend of declining democracy in Indonesia: Learning from the dynamics of 2024 Presidential Election

Ahmad Khoirul Umam — Wed, 26 Jun 2024 00:00:00 +0700

This conceptual article is based on primary and secondary data from various sources discussing the dynamics of Indonesian politics and democracy through the 2024 General Election. This article aims to identify various alleged political corruption practices as well as to evaluate the development of the quality of Indonesian democracy implied by the 2024 political process. Although allegations of political corruption are believed to be common among many groups, proving them legally and politically is not easy to do. This leaves a number of notes, especially regarding the nature of power and the trend of weakening the quality of democracy in the country. The 2024 General Election provided some valuable lessons that the aspects of neutrality and independence of state power should be of common concern to reorganize and increase the quality of the future Indonesian democracy.

Remedies for victims: Discourse on the roles and norms of corruption claims in transnational investment arbitration proceedings

Lakso Anindito — Wed, 19 Jun 2024 00:00:00 +0700

Although various international forums, including in The Conference of the States Parties (COSP) United Nations Convention Against Corruption (UNCAC) in 2016, have advocated for initiatives to address transnational corruption, remedies for its victims remain an unaddressed gap in the enforcement of foreign bribery offenses. In this scenario, World Duty-Free Company Limited v. Republic of Kenya demonstrates an alternative strategy to nullify the investment protection agreement. This is due to instances where the investment process is tainted by bribery, thereby protecting the victim country from unfair business practices and encouraging private actors to comply with ethical standards when conducting business activities. However, the norms used to justify the decision pose a significant obstacle, as corruption regulation varies across different investment treaties. These norms directly influence how corruption issues are addressed in arbitration proceedings. This paper will elaborate on the roles of arbitration as an alternative remedy for transnational corruption in victim countries and examine the potential norms that available to arbitrators from the perspective of societal constitutionalism theory.

Justice based corruption eradication policy: A comparison between Indonesia and Denmark

Fahrizal S. Siagian, Andi Hakim Lubis, Nabila Afifah Salwa, Saied Firouzfar — Wed, 19 Jun 2024 00:00:00 +0700

: This research was conducted to obtain an explanation of corruption eradication policies in Denmark and Indonesia. In addition, to find out the justice-based corruption eradication policy in a comparative study of Indonesia and Denmark. This research uses a normative juridical method with a literature study. Based on this, the required results are that corruption eradication policies in Indonesia and Denmark have significant differences. Denmark inserts corruption eradication provisions into each of its laws and regulations and uses a strict element of transparency in state financial management. Denmark utilizes social sanctions supported by the legal culture of its highly law-abiding society. Second, the policy reconstruction that can be used in Indonesia to eradicate corruption adopts the Danish policy. Namely, the anti-corruption agency with independent status integrates corruption eradication regulations into national legislation emphasizing strict sanctions and transparency of state financial management correlated with the wealth of state officials. The independence of the Corruption Eradication Commission is crucial. Applying Denmark’s mechanisms could lead to a breakthrough in corruption eradication in Indonesia.

Assessing the reversal burden of proof in the crime of money laundering as a proxy crime in crypto assets

Patricia Edina Sembiring — Wed, 19 Jun 2024 00:00:00 +0700

Perpetrators of money laundering have found a new medium by using crypto assets to launch their actions. Money laundering is a proxy crime as a manifestation of actions aimed to covering up crimes secretly, especially using third parties as intermediaries. Therefore, by using this new complexity mechanism, it will be increasingly difficult for law enforcers to prove money laundering crime. This difficulty occurs due to the anonymity of crypto assets so that the perpetrators can easily carry out their actions. In using normative juridical research methods and a conceptual approach, this research aims to look again at the use of evidentiary mechanisms in dealing with money laundering, mainly when carried out through crypto assets. Based on the research results, the implementation of stand-alone money laundering in Article 69 and reversal burden of proof in Article 77 on the Law of Money Laundering is considered ineffective in ensnaring perpetrators on crypto assets because: (1) they will have difficulties in finding the subjective and objective elements of the perpetrator, (2) the practice of reversal burden of proof evidence is still unclear in Indonesia. Meanwhile, re-enforcing negative evidence based on law can be implemented as a form to handle money laundering perpetrators in crypto-asset transactions.

Conflicts of interest and handling mechanisms in public finances management

Pascal Wilmar Yehezkiel Toloh — Wed, 19 Jun 2024 00:00:00 +0700

The practice of mitigating conflicts of interest remains vulnerable in the management of public finances. This vulnerability is attributed to issues related to the integrity of state officials, the lack of comprehensive regulations, and the unstructured and systematic aspects of enforcing ethical standards and conflict of interest practices. The objective of this research is to conceptualize effective anti-conflict of interest regulation within Indonesia's legal system and to formulate strategies for addressing conflicts of interest practices in the management of public finances through institutional approaches and financial accountability systems. This research uses normative legal methods. The results indicate the following: first, regulations in Indonesia have not yet been able to accommodate efforts to prevent and enforce action against conflict of interest practices in the conduct of state affairs, especially in the management of public finances, due to overlapping rules and unclear sanction regulations; second, the enforcement of ethical standards concerning conflict of interest practices can be achieved through the establishment of a national ethics commission; third, there is a need to strengthen the audit system and implement internal improvements within the State Audit Agency (BPK). Externally, institutional consolidation in the sectors of financial examination and public financial accountability is required. This can be achieved through the creation of an integrated national financial examination center, serving as the coordinating hub for financial examinations and prevention of financial losses to the state. This would contribute to the development of strategic policies for the management of public finances, with the goal of being free from corrupt practices.

Does government effectiveness and corruption control support political stability?

Nafis Dwi Kartiko — Wed, 19 Jun 2024 00:00:00 +0700

This study aims to investigate the relationship between government effectiveness, corruption control, and political stability. The data used is sourced from the World Competitiveness Yearbook provided by the Institute for Management Development. The analysis involves annual data collected regularly since 1987, covering a global sample of 66 countries for six years, from 2017 to 2022, with a total of 381 observations. Ordinary Least Squares (OLS) regression was used to investigate the research. The results confirm the importance of corruption control and government effectiveness in maintaining political stability. The analysis differentiates the effect of government effectiveness based on the quality of a country's political product, finding that improvements in government effectiveness are particularly important in improving political stability in countries with Low Political Product Quality. This signals that in countries with greater political and economic challenges, improvements in government effectiveness can have a significant impact on political stability.

Local democracy and corruption: Economic-political relations in the corruption case of Batu City’s Mayor

Ali Fikri Hamdhani, Ahmad Adi Susilo — Wed, 19 Jun 2024 00:00:00 +0700

The rise of local democracy through decentralization does not guarantee a decrease of corruption crimes in Indonesia. The good governance perspective has become common in regional governments, ignoring structural aspects and causing base-level contradictions in the localization of power. In the reformation era, reviving localized politics was an effort to reorganize the old elite forces that were influential since the New Order. This study uses the concept of localization as a new arena for the ruling elite and local entrepreneurs, who play a major role in the competition for power and wealth. This study uses a qualitative approach, analyzing Eddy Rumpoko's corruption during his two terms as Mayor of Batu City, from 2007 to 2017. Primary data is gathered through the court decision for Rumpoko's corruption crimes, while secondary data is obtained through library research in the form of books, journals, media and other related documents. The research results show that corruption in Batu City is a form of local economic-political alliance interests, especially for entrepreneurs engaged in the tourism, hotel, villa or housing and building construction industries. They have found it easier to do business since Rumpoko's time with the mobilization of bureaucrats, while he was able to maintain political power through the help of businessmen.

Examining the efforts of government Internal Supervisory Apparatus (APIP) in enhancing bureaucratic reform, organizational integrity, and risk management: An efficiency analysis

Kurniawan Permana, Chindy Chresna Agung Bujana — Tue, 25 Jun 2024 00:00:00 +0700

The efficiency level of APIPs should be a concern for the government to ensure that the allocated resources are optimally used to fulfill their role in preventing and detecting corruption. This study investigates the efficiency level of APIP using Data Envelopment Analysis (DEA). The number of employees and spending budget ratios of APIP are used as input, and ministries and regional government’s bureaucratic reform, risk management, and integrity perception score as output. Those outputs are selected since they represent the indicators of an effective anti-corruption effort. Applying a purposive sampling of 50 APIPs at the ministerial and regional levels, this study shows that only seven APIPs (14%) achieve maximum efficiency level. Furthermore, this study develops an algorithm to set those APIPs as a reference group by other similar APIPs based on the characteristics of inputs and output. Lastly, this study employs quadrant analysis to map the APIP’s efficiency level and its capabilities. It finds that 14 APIPs are relatively efficient and capable, while 35 APIPs are capable but not relatively efficient, and one APIP is not capable or efficient. This study could be used to design a more detailed and tailor-made agenda for strengthening APIP as an essential element in combating corruption in Indonesia.

Potential corruption in the stunting alleviation program: A cost-benefit analysis of local food-based feeding program

Adryan Kusumawardhana, Syahdu Winda, Kunto Ariawan — Thu, 20 Jun 2024 00:00:00 +0700

In poor rural areas, stunting threatens the health and nutrition of children aged five and under. Despite persistent efforts, Indonesia's stunting rate remains high. The primary objective of this study is to assess the effectiveness of programs designed to mitigate stunting. The e-PPGBM data analysis investigates whether there is a connection between potential corruption and the allocation of funds for a nutritional program in 2023. This study uses cost-benefit analysis to compare government program budgets with the potential benefits of taxable income as an indicator of potential state financial losses. The study's findings indicate that implementing local food-based feeding programs will have a favorable impact on state revenue. However, budget limitations on the program preclude interaction with the entire target group and the collection of substantially higher income tax, which might cost the state in the future. Furthermore, the study found the potential for financial losses for the state due to inaccurate aid recipient selection, which could cause the program to fall short of its intended results. From an academic perspective, this study advises health sector government officials to rely on data and evidence to meet program objectives without harming state budgets.

Strengthening asset recovery efforts: A path to mitigating corruption in the public sector

Rita Komalasari, Cecep Mustafa — Wed, 19 Jun 2024 00:00:00 +0700

This paper comprehensively analyses the impediments hindering Indonesia's anti-corruption and asset recovery efforts. It advocates for a holistic approach, emphasizing collective action, trust in public office, and the integration of civil forfeiture as essential components of an effective anti-corruption strategy. The ultimate goal is to contribute to a transparent and corruption-free future in Indonesia. We employ a literature-based inquiry method to investigate Indonesia's multifaceted challenges in combating corruption and recovering illicitly acquired assets. Our analysis reveals widespread corruption, weakened institutions, and a lack of trust in public officials hamper Indonesia's anti-corruption and asset recovery efforts. We argue that a holistic approach that combines infrastructural development, social rehabilitation, people em-powerment, and regulatory reforms is essential. Additionally, civil forfeiture, when integrated effectively, can aid asset recovery. To succeed, these efforts must prioritize the restoration of trust in public office. This paper contributes valuable guidance for policymakers and practitioners striving to create a more transparent and corruption-free future in Indonesia, offering a fresh perspective on addressing corruption in an emerging economy.

Reconstruction of special sentencing guidelines on state loss crime in the Indonesian Criminal Code

Andi Muhammad Alief — Wed, 19 Jun 2024 00:00:00 +0700

State loss crimes are regulated by two laws: Act 31/1999 and Act 1/2023 (KUHP). The regulation of state loss crimes in the KUHP replaces the regulation of state loss crimes in Act 31/1999. Three years after January 2, 2023, Perma 1/2020 will not apply, so there are no special sentencing guidelines to apply the state loss crime article of KUHP. Such sentencing guidelines are required to minimize unwarranted disparities. This study aims to prevent a legal vacuum and unwarranted disparity from occurring when the KUHP comes into effect. The methods of this research include the normative legal type, statutory approaches, conceptual approaches, primary and secondary data sources and qualitative analysis. Sentencing guidelines for state-loss crimes present several problems. First, Perma 1/2020 does not follow the regulations for the formation of legislation, the material on the criminal sanctions range is contrary to the principle of legality and is weak from a juridical aspect. Second, the sentencing guidelines in the KUHP do not provide comprehensive parameters. Therefore, the KUHP must adopt several materials from Perma 1/2020, with several modifications.