OJK is encouraged to strengthen screening to prevent illegal investments

JAKARTA - Financial consultant and planner Elvi Diana encourages the Financial Services Authority (OJK) to strengthen the screening process (screening) and public education as a preventive or prevention of illegal investment practices.

Elvi in a written statement in Jakarta, Thursday, explained that active and systematic supervision is important to ensure that investment activities circulating in the community are not owned, promoted, or supported by parties that can give the impression of legitimacy, including officials and public figures.

He assessed that this step could strengthen community protection from illegal investments that often use the popularity of certain figures to convince prospective investors.

The reason is that public figures have a great influence on public perception. He argues that there is a tendency for some people to easily believe without further checking the legality when a product is promoted by a widely known figure.

"OJK is not enough to just issue a call to the public. OJK must actively carry out screening of suspicious investment activities," said Elvi.

He said preventive supervision was an important key to suppressing the potential for public losses at an early stage.

Early detection of investment activities that are not in accordance with the provisions is considered necessary to be carried out periodically so that the public is increasingly protected.

"The function of supervision must be carried out actively and systematically," he added.

Elvi encourages the strengthening of coordination between OJK, law enforcement agencies, financial intelligence agencies, and digital platforms to detect early patterns of illegal investment promotion using the names of certain big names.

In addition to supervision, Elvi also emphasized the importance of financial education for the public. He assessed that the public needed to continue to be encouraged to independently check the legality of investments, understand the risks of financial products, and not be easily tempted by promises of large profits in a short time.

He said financial literacy remains the main fortress to prevent the community from being trapped in illegal investments.