A. DEFINITION AND LEGAL BASIS
Definition of Gratuity as stipulated in Article 12B of Law No. 20/2001
Referred to as "gratuity” is reward in broad sense, including money, goods, discount, recompense, interest-tree loan, travel ticket, lodging, tour, free medicine, and other facilities. The gratuity includes those received at home or from abroad and the gratuity done using electronic device or not using electronic device.
Law No. 20 of 2001 Article 12C paragraph (1):
The definition as referred to in Article 12B paragraph (1) does not apply if the recipient reports the gratuity to the Corruption Eradication Commission.
Laws Regulating Gratuity
Article 12B paragraph (1) of Law No. 31/1999 in conjunction with Law No. 20/2001 stipulates:
Any gratuity for a civil servant or state apparatus shall be considered as a bribe when it has something to do with his/her position and is against his/her obligation or task.
Article 12C paragraph (1) of Law No. 31/1999 in conjunction with Law No. 20/2001, stipulates:
The provisions as referred to in Article 12B paragraph (1) shall not be valid if the recipients report the gratuity to the Corruption Eradication Commission.
Elucidation of Regulation
Article 12 of Law No. 20 of 2001:
• Shall be sentenced to life imprisonment or a minimum of 4 (four) years’ imprisonment and a maximum of 20 (twenty) years’ imprisonment and be fined minimum of Rp 200,000,000 (two hundred million rupiah) and a maximum of Rp 1,000,000,000 (one billion rupiah).
• A civil servant or state apparatus who receives gift or promise believed to have been given to encourage him/her to do something or not to do anything because of his/her position in violation of his/her obligation.
• A civil servant or state apparatus who intentionally benefits himself/herself or other people in violation of law, or by abusing his/her power, forces a person to give something, pay, or receive discounted payment, or to do something for himself/herself.
Article 12B paragraph (2) of Law No. 31 of 1999 in conjunction with Law No. 20 of 2001
Sentenced to life imprisonment or a minimum of 4 (four) years’ imprisonment and a maximum of 20 (twenty) years’ imprisonment and be fined minimum of Rp 200,000,000 (two hundred million rupiah) and a maximum of Rp 1,000,000,000 (one billion rupiah).
B. REPORT OBLIGATION
State Officials Required to Report Gratuity are:
According to Law No. 28 of 1999 Chapter II Article 2:
• State Officials of the Highest State Institutions.
• State Officials of High State Institutions.
• Government Ministers
Other State Officials:
• Vice Governors
• District Heads/Mayors and Deputy Mayors
• Other officials with strategic functions:
- Commissioners and Directors at SOE and ROE
- Heads of the Central Bank
- Heads of Public Universities
- Echelon I Officials and other Officials with equivalent rank in Civil and Military service
- Court Clerks
- Project Leaders and Treasurers
- Government Employees
According to Law No. 31/1999, as has been amended by Law No. 20/2001:
• Employees of the Supreme Court and the Constitutional Court
• Employees of Government Ministries and Other Government Agencies
• Employees of Attorney General’s Office
• Employees of Bank Indonesia
• Heads and Employees of the Secretariats of People’s Consultative Assembly/House of Representatives/Regional Representative Council/Regional Representative Assembly, Province/District II.
• Employees of Public Universities
• Employees of a Commission or Organization formed based on a Law, a Presidential Decree, or a Government Regulation
• Heads and Employees of the President’s Secretary, Vice President’s Secretary, Cabinet Secretary, and Military Secretary
• Employees of State-Owned Enterprises and Regional Government-Owned Enterprises
• Employees of the Judicial Authorities
• Members of the Indonesian National Army (TNI) and The National Police as well as Civil Employees at both institutions
• Heads and Employees of Provincial and District Governments
GRATUITY REPORTING SERVICE CONTACT
Corruption Eradication Commission
Jl. HR. Rasuna Said Kav. C-1
South Jakarta 12920
Phone: (021) 2557 8440