OJK ISSUEs New Rules Regarding Anti-Money Laundering Program

Illustration of OJK (Photo: Doc. Antara)

JAKARTA - The Financial Services Authority (OJK) issued OJK Regulation Number 8 of 2023 concerning the Implementation of Anti-Money Laundering Programs, Prevention of Terrorism Financing, and Prevention of Funding for Proliferation of Landfill Weapons in SJK.

This POJK is to strengthen the integrity of the financial services sector (SJK). With the issuance of this rule, the OJK at the same time revoked POJK Number 12 of 2017 concerning the Implementation of the Anti-Money Laundering Program and Prevention of Terrorism Financing in the Financial Services Sector as amended by POJK Number 23 of 2019.

"POJK Number 8 of 2023 is issued to mitigate the risk of money laundering (TPPU), criminal acts of terrorism financing (PPT), and/or prevent the proliferation of weapons of mass destruction (PPPSPM) that develop and threaten the state," said Chairman of the OJK Board of Commissioners Mahendra Siregar quoting Antara.

POJK Anti Money Laundering (APU) PPT and PPPSPM in SJK have been in line with international principles, including Financial Action Task Force on Money Laundering (FATF), legislation in Indonesia, as well as innovation and technology developments that must be followed by security and confidentiality aspects.

POJK APU PPT and PPSPM in SJK are proof of OJK's commitment to supporting Indonesia's goal of becoming a full member of the FATF, where the financial services sector is measured significantly.

POJK APU PPT and PPPSPM in SJK, among others, regulates Financial Services Providers (PJK) who are required to implement the PPT APU program, the PJK obligation to ensure that the supporting professions used by their services have implemented the APU, PPT, and PPSPM programs, and the obligation to prepare and deliver Individual Risk Assessment (IRA) for PJK.

In addition, the regulation also adds examples of countermeasures that PJK needs to do against high-risk countries according to FATF, affirms the obligations of the PJK Due Diligence (CDD) Customer, and refines the requirements and procedures for PJK cooperation with third parties related to face-to-face verification and non-face electronics.

This latest POJK also regulates the postponement or temporary suspension of transactions known or suspected to be related to TPPU, TPPT, and/or PPPSPM, as well as the obligation of customers and business actors to submit the data needed through the OJK reporting system.

"Furthermore, OJK provides transitional time for PJK for a maximum of six months since the issuance of POJK, which is intended to immediately make adjustments," he also said.