Fighting Corruption By Preventing Money Laundering

IL News 013/2013

Jakarta, August 28, 2013

Money laundering is a way to disguise the proceeds of criminal conduct such as corruption. Therefore, preventing money laundering requires participation of all parties.

Institut Leimena held a discussion on “Fighting Corruption By Preventing Money Laundering” at PGI Teuku Umar Guest House on August 28, 2013, with Rev. A.A. Yewangoe (Chairman, Fellowship of Churches in Indonesia) and Febri Diansyah (Researcher, Indonesia Corruption Watch) as speakers. Leaders of national churches fellowships,  church synods representatives, legal practitioners, and Institut Leimena board members participated in the discussion.

In his remarks, Rev. Yewangoe emphasized that it’s important for churches to be vigilant against all forms of corruption, including money laundering, and to maintain integrity in carrying out their mission. Theologically, “money laundering” in the disguise of “washing of sins” practice is wrong. The Fellowship of Churches in Indonesia’s 2012 General Assembly in Melonguane, North Sulawesi, even released a joint decree on the Churches’s Resolution Against Corruption.

Febri Diansyah gave a special attention on Chapter 5 of the “Prevention and Combating of Money Laundering Act” (Law No. 8/2010) which confirms that passive recipients of grant or donation proceeds of crime (corruption, etc.) can also be charged under the criminal sanctions of the Act. Therefore, religious organizations or churches need to apply the principle of “know your custumer”, or identify the contributors and not to accept all donations arbitrarily.

In his concluding note, Maruarar Siahaan (Constitutional Court Judge, 2003-2009) who chaired the discussion reaffirmed the importance of churches to be actively involved continuously in combating corruption by preventing money laundering.

There was a high expectation among the participants that this discussion in August could become the beginning of a more in-depth and comprehensive discussion on preventing money laundering practices which could potentially undermine the integrity of the Church in carrying out her mission.