Regulation of the Head of the Commodity Futures Trading Regulatory Agency Number 11/BAPPEBTI/PER-SRG/5/2009 on Financial Requirements for Warehouse Operators

REGULATION OF THE HEAD OF THE COMMODITY FUTURES TRADING REGULATORY AGENCY NUMBER: 11/BAPPEBTI/PER-SRG/5/2009 ON FINANCIAL REQUIREMENTS FOR WAREHOUSE OPERATORS

HEAD OF THE COMMODITY FUTURES TRADING REGULATORY AGENCY,

Considering: a. that in order to enhance the financial integrity of Warehouse Operators, it is necessary to perfect the regulations regarding financial requirements for Warehouse Operators; b. that based on the considerations referred to in letter a, it is necessary to establish a Regulation of the Head of the Commodity Futures Trading Regulatory Agency;

Recalling:

1. Law Number 32 of 1997 on Commodity Futures Trading (State Gazette of the Republic of Indonesia Year 1997 Number 93, Supplement to the State Gazette of the Republic of Indonesia Number 3720);
2. Law Number 9 of 2006 on the Warehouse Receipt System (State Gazette of the Republic of Indonesia Year 2006 Number 59, Supplement to the State Gazette of the Republic of Indonesia Number 4630);
3. Government Regulation Number 36 of 2007 on the Implementation of Law Number 9 of 2006 on the Warehouse Receipt System (State Gazette of the Republic of Indonesia Year 2007 Number 79, Supplement to the State Gazette of the Republic of Indonesia Number 4735);
4. Presidential Decree Number 187/M of 2004 on the Formation of the United Indonesia Cabinet as amended several times, lastly with Presidential Decree Number 171/M of 2005;
5. Presidential Regulation Number 9 of 2005 on the Position, Duties, Functions, Organizational Structure, and Working Procedures of State Ministries of the Republic of Indonesia as amended several times, lastly with Presidential Regulation Number 20 of 2008;
6. Presidential Regulation Number 10 of 2005 on Organizational Units and Duties of Ministry State Echelon I as amended several times, lastly with Presidential Regulation Number 50 of 2008;
7. Presidential Decree Number 60/M of 2008 on the Appointment of Echelon I Officials in the environment of the Ministry of Trade;
8. Minister of Trade Regulation Number 01/M-DAG/PER/3/2005 on the Organization and Working Procedures of the Ministry of Trade as amended several times, lastly with Minister of Trade Regulation Number 34/M-DAG/PER/8/2007;
9. Minister of Trade Regulation Number 16/M-DAG/PER/3/2006 on the Development and Supervision of Warehousing;
10. Minister of Trade Regulation Number 26/M-DAG/PER/6/2007 on Goods That Can Be Stored in Warehouses in the Implementation of the Warehouse Receipt System;
11. Regulation of the Head of the Commodity Futures Trading Regulatory Agency Number 01/BAPPEBTI/PER-SRG/7/2007 on Requirements and Procedures for Obtaining Approval as a Warehouse Operator;

DECIDES:

Establishing: A REGULATION OF THE HEAD OF THE COMMODITY FUTURES TRADING REGULATORY AGENCY ON FINANCIAL REQUIREMENTS FOR WAREHOUSE OPERATORS.

Article 1 In this Regulation of the Head of the Commodity Futures Trading Regulatory Agency, the following terms are defined:

1. The Commodity Futures Trading Regulatory Agency, hereinafter referred to as Bappebti, is an Echelon I work unit within the Ministry of Trade that has duties and responsibilities in the field of Commodity Futures Trading and the Warehouse Receipt System.
2. Warehouse Operator is a party that conducts warehousing business, whether using its own warehouse or another party's warehouse, which conducts storage, maintenance, and supervision of stored goods by the goods owner and is entitled to issue Warehouse Receipts.
3. Warehouse Receipt Registration Center, hereinafter referred to as the Registration Center, is a legal entity business that has obtained approval from the Regulatory Agency to conduct the accounting of Warehouse Receipts and Derivative Warehouse Receipts, including recording, storage, transfer of ownership, encumbrance of security rights, reporting, and provision of information systems and networks.

Article 2 (1) Warehouse Operators in the form of a Limited Liability Company (PT) must maintain a net worth of at least the greater value of: a. IDR 500,000,000.00 (five hundred million rupiah); or b. 15% (fifteen percent) of the value of commodities managed. (2) Warehouse Operators in the form of a Cooperative must maintain a net worth of at least the greater value of: a. IDR 200,000,000.00 (two hundred million rupiah); or b. 15% (fifteen percent) of the value of commodities managed. (3) In the event that a Warehouse Operator has fidelity insurance with an insurance value of at least IDR 10,000,000,000.00 (ten billion rupiah) per year and professional indemnity insurance with an insurance value of at least IDR 1,000,000,000.00 (one billion rupiah), the relevant Warehouse Operator is exempted from the commodity value limit requirements as referred to in paragraphs (1) and (2).

Article 3 Assets that can be counted as the net worth of the Warehouse Operator are cash, bank deposits, receivables with a maximum term of 30 (thirty) days, prime securities including blue-chip stocks, government bonds, Republic of Indonesia bonds, and vehicles with a maximum age of 4 (four) years, as well as other assets approved by Bappebti.

Article 4 The net worth value at the end of the month that must be maintained as referred to in Article 2 must be submitted by the Warehouse Operator to the Registration Center with a copy to Bappebti no later than the 10th (tenth) of each month.

Article 5 (1) With the enactment of this Regulation of the Head of the Commodity Futures Trading Regulatory Agency, Article 3 paragraph (1) letter b and Article 3 paragraph (2) letter b of the Regulation of the Head of the Commodity Futures Trading Regulatory Agency Number 01/BAPPEBTI/PER-SRG/7/2007 on Requirements and Procedures for Obtaining Approval as a Warehouse Operator are declared invalid. (2) With the enactment of this Regulation of the Head of the Commodity Futures Trading Regulatory Agency, Warehouse Operators must adjust to the provisions in this regulation no later than July 1, 2009.

Article 6 This Regulation of the Head of the Commodity Futures Trading Regulatory Agency shall come into force on the date of establishment.

Established in Jakarta on May 19, 2009

HEAD OF THE COMMODITY FUTURES TRADING REGULATORY AGENCY,

DEDDY SALEH

COPY This Regulation of the Head of the Commodity Futures Trading Regulatory Agency is transmitted to:

1. The Minister of Trade of the Republic of Indonesia;
2. The Secretary General, Ministry of Trade;
3. The Inspector General, Ministry of Trade;
4. The Secretary and Heads of Bureaus within the environment of Bappebti;
5. For information.