Witnessed By The Minister Of Law And Human Rights, Mie Gacoan-LMK SELMI Agrees To Make Peace

The peace agreement was made before the Minister of Law Supratman Andi Agtas at the Head of the Bali Ministry of Law and Human Rights/PHOTO: Dafi-VOI

JAKARTA - Minister of Law (Menkum) Supratman Andi Agtas witnessed the signing of a peace agreement on copyright disputes between the Collective Management Institute (LMK) of the Indonesian Music License Center (SELMI) and PT Mitra Bali Sukses (MBS) which holds Mie Gacoan's license.

Supratman explained that both parties had agreed to make peace and PT MBS had paid its obligations to LMK SELMI. For Supratman, this momentum must be seen as a good example from both parties to respect intellectual property, especially appreciation to music creators.

"This momentum of the peace agreement is not only a matter of the amount of royalties paid, but more importantly the greatness of the lives of both parties. Hopefully it can be an example for all Indonesian citizens to respect intellectual property rights," Supratman said, Friday, August 8.

The Minister of Law and Human Rights said the Ministry of Law (Kemenkum) supports transparency of royalty levies carried out by LMK and National LMK (LMKN).

Therefore, the Ministry of Law and Human Rights will later issue a new Regulation of the Minister of Law to regulate the issue of royalty collection.

"I agree that corrections to transparency, royalty levies, including the amount of tariffs. Later we will discuss and we will issue a new Permenkum that regulates it," he said.

He also emphasized that royalties are not taxes. The reason is, not a penny of royalties go to the government, but all of them are given to those who are entitled to receive them.

Riyalti is not a tax, the state does not get anything directly from royalties. All royalty levies are distributed to those who are entitled. And those who distribute it are not the government, but by LMK Ajapu LMKN who collect royalties, one of which is LMK Selmi. Therefore, we will ask for accountability, for transparency we will announce it to the public," said Supratman.

When compared to Malaysia, said Supratman, the number of royalties that have been collected in Indonesia is still relatively low even though Indonesia's population is higher than Malaysia.

He revealed that LMK and LMKN in Indonesia collected royalties of Rp. 270 billion, while Malaysia could collect Rp. 600-700 billion annually.

"Imagine, Malaysia, a small country, the population is insignificant, the total royalties they can collect today are approximately 600-700 billion per year. We are Indonesia, starting from international platforms, to retail, according to the reports I received we have only collected 270 billion, even though our population is 280 million. So it's very small," he said.

For information, previously the Director of PT MBS was named a suspect for alleged copyright infringement after being reported by LMK Selmi. This dispute was then mediated by the Bali Ministry of Law and Human Rights Regional Office until a peace agreement was reached.