KADIN INDONESIA

Indonesian Chamber of Commerce and Industry

KADIN INDONESIA

Indonesian Chamber of Commerce and Industry

KADIN INDONESIA

Indonesian Chamber of Commerce and Industry

New Criminal Code Comes into Force, Kadin Urges Businesses to Strengthen Compliance

Jakarta – The Indonesian Chamber of Commerce and Industry (Kadin Indonesia), in collaboration with the Kadin Indonesia Institute (KII), held an Executive Brief titled “Understanding Corporate Criminal Liability under the New Criminal Code (KUHP): Implications for Corporate Governance and Business Compliance” at Menara Kadin Indonesia, South Jakarta, on Wednesday (April 8, 2026).

Kadin Indonesia Vice Chairman Coordinator for Legal and Human Rights Affairs as well as Infrastructure, M. Azis Syamsuddin, stated that the event aims to align perspectives between the legal sector and the business community to support industrial advancement.

“It is part of our effort to align perspectives between the legal world and the business sector for the progress of industry,” Azis said.

The forum featured Expert Staff of Commission III of the Indonesian House of Representatives and Postgraduate Lecturer at Borobudur University, Afdhal Mahatta, as the main speaker. The discussion highlighted the importance of disseminating Law Number 1 of 2023 on the Criminal Code (KUHP), which came into force on January 2, 2026, and is considered closely related to the business sector, including construction.

Meanwhile, Afdhal Mahatta noted that the implementation of the new KUHP carries significant implications for the business sector, particularly in regulating corporations as subjects of criminal law.

“We are aware that the new KUHP has been in effect since January 2, 2026, and it has implications for both the business and corporate sectors,” Afdhal said.

He further explained that the new KUHP introduces a shift in the paradigm of the criminal justice system. While the previous Criminal Code did not recognize corporations as criminal subjects and focused more on a retributive approach, the new framework reflects a different orientation.

“Under the previous KUHP, justice was retributive, focusing on punishment and imprisonment. The new KUHP, however, adopts a more rehabilitative and restorative approach,” he explained.

Afdhal added that the discussion generated various inputs from participants and is expected to serve as the starting point for broader dissemination efforts.

“We hope this is not the end, but the beginning of further outreach and discussions so that the economy can run smoothly and corporations can perform their functions effectively,” he concluded.

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KADIN INDONESIA

Indonesian Chamber of Commerce and Industry

KADIN INDONESIA

Indonesian Chamber of Commerce and Industry