KPPU

Summary

This video discusses the role of the Indonesian Competition Commission (KPPU) in enforcing competition law, particularly under Law No. 5 of 1999. It outlines KPPU's duties, powers, and procedures for handling cases related to monopolistic practices and unfair competition. The presentation also compares KPPU to similar organizations in other countries, such as the Australian Competition and Consumer Commission and the U.S. Federal Trade Commission. Additionally, it explains the legal process within KPPU, including the steps for adjudication, appeals, and the role of the courts in enforcing decisions.

Takeaways

• 😀 KPPU (Komisi Pengawas Persaingan Usaha) is the primary body responsible for overseeing competition laws in Indonesia, ensuring a fair and competitive market.
• 😀 KPPU operates under the authority of Law No. 5 of 1999, which prohibits monopolistic practices and other anti-competitive behaviors in business.
• 😀 KPPU is classified as a state auxiliary body, which means it is an institution created by law to support public policy implementation, specifically in the realm of competition law enforcement.
• 😀 The KPPU has the authority to investigate business practices, assess agreements, and determine whether they violate competition laws, leading to potential sanctions.
• 😀 The KPPU can issue sanctions, including fines, revocation of business licenses, and annulment of agreements that harm competition.
• 😀 Businesses or the public can file complaints, or KPPU can act on its own based on evidence or investigations to address potential competition law violations.
• 😀 The legal process within KPPU involves an investigation, examination of evidence, and decision-making by a panel of commissioners. Recent reforms allow quicker implementation of business changes during investigations.
• 😀 If a business disagrees with a KPPU decision, it can file a complaint to the District Court, which has the authority to enforce criminal sanctions if needed.
• 😀 If a party is still dissatisfied with the District Court's decision, the next legal recourse is to file for cassation with the Supreme Court, bypassing the traditional appeal process.
• 😀 The KPPU and the Indonesian court system have a well-defined relationship for addressing competition law violations, with clear legal pathways for businesses to challenge decisions and enforce compliance.

Q & A

What is the main role of KPPU in Indonesia?

KPPU (Komisi Pengawas Persaingan Usaha) is an Indonesian regulatory body responsible for monitoring and enforcing competition laws in the country. It aims to ensure fair business competition and prevent monopolistic practices and unfair trade behaviors.

What legal framework governs the operations of KPPU?

KPPU operates under Law No. 5/1999, which addresses the prohibition of monopolistic practices and unfair competition. This law empowers KPPU to oversee and enforce competition regulations in Indonesia.

How does KPPU enforce competition law?

KPPU enforces competition law by investigating complaints and business practices that may harm competition. It has the authority to apply sanctions, such as canceling illegal agreements, imposing fines, or recommending policy changes.

What happens when a business agrees to change its practices during an investigation?

If a business acknowledges its violation and agrees to change its practices during an investigation, KPPU can allow it to settle through a behavioral change. This fast-track procedure avoids lengthy legal processes and helps the business rectify its actions.

What is the role of the Central Jakarta District Court in KPPU cases?

The Central Jakarta District Court plays a crucial role in reviewing complaints filed by businesses that disagree with KPPU’s decisions. If a business is dissatisfied with the District Court's decision, it can escalate the matter to the Supreme Court.

What is the process if a business does not comply with an inkrah (final and binding) decision by KPPU?

If a business fails to comply with an inkrah decision from KPPU, the Central Jakarta District Court has the authority to impose criminal sanctions, ensuring that the ruling is enforced.

How does the Supreme Court get involved in KPPU decisions?

If a business appeals a District Court ruling, they can file a cassation request with the Supreme Court. The Supreme Court has the final say in the case, ensuring legal certainty and resolution.

Does KPPU have the authority to impose fines on businesses?

Yes, KPPU can impose fines as a sanction for businesses found violating competition laws. These fines are part of the measures KPPU uses to enforce compliance with the law.

What are the key differences between 'appeal' and 'cassation' in the context of KPPU rulings?

In the context of KPPU rulings, 'appeal' is not an option. Businesses can only file a 'keberatan' (objection) to the Central Jakarta District Court. If they are still unsatisfied with the ruling, they can proceed to a 'cassation' in the Supreme Court. Thus, there is no banding (appeal), only a direct path to the District Court and, if necessary, the Supreme Court.

How does KPPU’s role compare to other international competition authorities?

KPPU’s role is similar to competition authorities in other countries, such as the Australian Competition and Consumer Commission (ACCC), the U.S. Federal Trade Commission (FTC), and the Japan Fair Trade Commission (JFTC). All of these bodies monitor and regulate business practices to prevent anti-competitive behavior and promote fair competition in their respective markets.