INDONESIA Law and Practice Contributed by: Emir Nurmansyah, Monic N. Devina, D. Meitiara P. Bakrie and Nesya Ashari, ABNR Counsellors at Law
2.7 No-Action Letters Pursuant to OJK Regulation No 31 of 2024 on Written Orders (“OJK Reg 31/2024”), the OJK is authorised to issue a written order to financial services institu - tions and/or certain parties to implement, or not, certain activities. The purpose of this issuance is to ensure compliance with the laws and regulations in the financial services sector and/or to minimise or pre - vent losses to consumers, the public and the financial services system. The written orders can be issued to both financial ser - vices institutions and/or certain other parties, such as: • the shareholders, board of directors, and board of commissioners of the financial services institution; • parties that have affiliation with the institution; • other financial services actors; and • issuers or public companies. OJK Reg 31/2024 does not explicitly define the scope of the written order, therefore it is possible to include “no-action” letters within the scope, since the OJK is also authorised to issue any legal product on a dis - cretionary basis. 2.8 Outsourcing of Regulated Functions OJK Reg 40/2024 allows P2P lending companies to outsource certain work to third parties by virtue of an outsourcing agreement, provided that the work is not related to a funding feasibility assessment; also, infor - mation technology operating, specifically regarding the user-management activities and database man - agement, cannot be outsourced. Nevertheless, outsourcing of information technolo - gy-related tasks is permissible when it involves the development of information technology and meets the following requirements: • the P2P lending company owns the digital applica - tion’s source code and access to the production server; • information technology development is carried out on behalf of the P2P lending company; and • information technology development is not con - ducted during the deployment and production maintenance stages.
The eligible vendor for outsourcing must fulfil the fol - lowing requirements: • the vendor is in the form of a legal entity in Indone - sia; • the vendor is a registered member in associations of similar companies recognised in Indonesia or internationally; • it does not affect the reputation of the P2P lending company who outsources the work; and • the outsourcing is implemented in accordance with the provisions of laws and regulations in the field of employment. OJK Reg 40 emphasises that P2P lending companies are responsible for work outsourced to third parties. P2P lending companies that sign co-operation agree - ments on outsourcing with vendors shall report the co-operation to the OJK within five days of the execu - tion of the co-operation agreement. 2.9 Gatekeeper Liability Fintech providers are fully responsible for their plat - forms and other services provided to their customers and cannot abdicate their responsibility to any party (with reference to Law No 8 of 1999 on Consumer Protection, or the “Consumer Protection Law”, and OJK Reg 22, and also adopted by OJK Reg, 40 OJK Reg 17/2025). 2.10 Significant Enforcement Actions The OJK has deregistered many fintech players, espe - cially P2P lending companies. The most significant reasons for deregistration are the late filing of licence applications (or passing of the deadline) and illicit con - duct. Through its EIFA Task Force, the OJK regularly receives reports from the public on a variety of unlicensed investments, including cross-border investments. The OJK updates a list of entities that allegedly offer “ille - gal” investments and that are potentially fraudulent. In performing its duties, the EIFA Task Force co-operates with the MCD to block access to websites or apps of the operators concerned.
386 CHAMBERS.COM
Powered by FlippingBook