BI, PPATK Restricts Cash Transaction

TEMPO.CO, Jakarta - Bank Indonesia (BI) and the Financial Transaction Reports and Analysis Centre (PPATK) have signed a memorandum of understanding on cooperation to prevent money laundering and terrorism funding in Indonesia by restricting cash transaction.

BI Governor Agus Martowardojo said the cooperation complements a previous cooperation that was conducted in 2003 and 2010. "[The new MoU] has a broader scope. We exchange information in our efforts to prevent and eradicate money laundering and terrorism," he said on Thursday, March 5, 2015.

BI said the cooperation was imperative as both criminal offenses use a payment instrument and threaten the state's financial syste. Other cooperation includes information system development, assignment of BI employees in PPATK, research, education and training as well as formulation of legal provisions or guidelines for the implementation of compliance audit.

Agus said the restriction of cash transaction by the PPATK is in accordance with BI’s plan for less cash society. "Non-cash is faster, more economical, safer and can prevent money laundering and terrorism," he said.

PPATK chief Muhammad Yusuf said the that MoU would help PPATK because PPATK also gets extra duty from Tax Directorate General to help increasing state revenue from tax sector. “This cooperation is in line with us because in the end, there will be banking data and information exchange."

In order to help Tax Directorate General, the PPATK has submitted 34 reports of suspicious transaction analysis. The reports have been followed up by the directorate and are worth Rp2.4 trillion.

The PPATK has also been asked to track 3,100 tax avoiders across Indonesia. From that number 120 taxpayers have total transaction of Rp15 trillion. "That's what we have found so far in the past two weeks," said Yusuf.

ADITYA BUDIMAN