FINANCIAL SERVICES AUTHORITY

REPUBLIC OF INDONESIA

COPY

FINANCIAL SERVICES AUTHORITY REGULATION

NUMBER 13 /POJK.03/2017

CONCERNING

THE USE OF PUBLIC ACCOUNTANT AND PUBLIC ACCOUNTING FIRM SERVICES

IN FINANCIAL SERVICE ACTIVITIES

WITH THE GRACE OF GOD THE ALMIGHTY

THE BOARD OF COMMISSIONERS OF THE FINANCIAL SERVICES AUTHORITY,

Considering:

a. that parties carrying out financial service activities regulated and supervised by the Financial Services Authority need to prepare and present high-quality financial information;

b. that the availability of high-quality financial information is a reflection of the implementation of good corporate governance, which requires the role of the audit committee in supervising the effectiveness of the external audit function by public accountants and public accounting firms;

c. that public accountants and public accounting firms, as supporters of financial service activities, have an important role in improving the quality of financial information prepared and presented by parties carrying out financial service activities regulated and supervised by the Financial Services Authority;

d. that in carrying out supervisory duties towards parties carrying out financial service activities, the Financial Services Authority has the authority to conduct supervision, examination, investigation, consumer protection, and other actions towards supporters of financial service activities;

e. that in maintaining public confidence in the quality of financial information, parties carrying out financial service activities must maintain an independent relationship with public accountants and public accounting firms;

f. that based on the considerations as referred to in letters a through e, it is necessary to establish a Financial Services Authority Regulation concerning the Use of Public Accountant and Public Accounting Firm Services in Financial Service Activities;

Recalling:

1. Law Number 7 of 1992 concerning Banking (State Gazette of the Republic of Indonesia Year 1992 Number 31, Additional State Gazette of the Republic of Indonesia Number 3472) as amended by Law Number 10 of 1998 concerning Amendments to Law Number 7 of 1992 concerning Banking (State Gazette of the Republic of Indonesia Year 1998 Number 182, Additional State Gazette of the Republic of Indonesia Number 3790);

2. Law Number 11 of 1992 concerning Pension Funds (State Gazette of the Republic of Indonesia Year 1992 Number 37, Additional State Gazette of the Republic of Indonesia Number 3477);

3. Law Number 8 of 1995 concerning the Capital Market (State Gazette of the Republic of Indonesia Year 1995 Number 64, Additional State Gazette of the Republic of Indonesia Number 3068);

4. Law Number 21 of 2008 concerning Sharia Banking (State Gazette of the Republic of Indonesia Year 2008 Number 94, Additional State Gazette of the Republic of Indonesia Number 4867);

5. Law Number 2 of 2009 concerning the Indonesian Export Financing Agency (State Gazette of the Republic of Indonesia Year 2009 Number 2, Additional State Gazette of the Republic of Indonesia Number 4957);

6. Law Number 5 of 2011 concerning Public Accountants (State Gazette of the Republic of Indonesia Year 2011 Number 51, Additional State Gazette of the Republic of Indonesia Number 5215);

7. Law Number 21 of 2011 concerning the Financial Services Authority (State Gazette of the Republic of Indonesia Year 2011 Number 111, Additional State Gazette of the Republic of Indonesia Number 5253);

8. Law Number 40 of 2014 concerning Insurance (State Gazette of the Republic of Indonesia Year 2014 Number 337, Additional State Gazette of the Republic of Indonesia Number 5618);

9. Law Number 1 of 2016 concerning Guarantees (State Gazette of the Republic of Indonesia Year 2016 Number 9, Additional State Gazette of the Republic of Indonesia Number 5835);

DECIDES:

To establish: A FINANCIAL SERVICES AUTHORITY REGULATION CONCERNING THE USE OF PUBLIC ACCOUNTANT AND PUBLIC ACCOUNTING FIRM SERVICES IN FINANCIAL SERVICE ACTIVITIES.

CHAPTER I

GENERAL PROVISIONS

Article 1

In this Financial Services Authority Regulation:

1. Party Carrying Out Financial Service Activities is the party carrying out financial service activities in the Banking, Capital Market, and/or Non-Bank Financial Industry sectors regulated and supervised by the Financial Services Authority as referred to in the Law concerning the Financial Services Authority.

2. Banking is everything concerning banks, including institutions, business activities, as well as methods and processes in carrying out business activities on a conventional basis or based on Sharia principles as referred to in the Law concerning Banking and the Law concerning Sharia Banking.

3. Capital Market is activities concerning Public Offerings and trading of Securities, Public Companies related to Securities issued, as well as institutions and professions related to Securities as referred to in the Law concerning the Capital Market.

4. Non-Bank Financial Industry hereinafter abbreviated as NBFI is an industry consisting of institutions carrying out activities in the insurance, pension fund, financing institution, and other financial service institution sectors, both those conducting business activities on a conventional basis and those conducting all or part of their business based on Sharia principles.

5. Public Accountant hereinafter abbreviated as PA is a person who has obtained a license to provide services as referred to in the Law concerning Public Accountants.

6. Public Accounting Firm hereinafter abbreviated as PAF is a business entity established based on statutory regulations and obtaining a business license as referred to in the Law concerning Public Accountants.

7. Audit Committee is a committee formed by and responsible to the Board of Commissioners to assist in carrying out the duties and functions of the Board of Commissioners.

8. Public Accountant Professional Association is a national professional organization of Public Accountants as referred to in the Law concerning Public Accountants.

9. Partner is a partner in a Public Accounting Firm structured as a partnership as referred to in the Law concerning Public Accountants.

10. Continuing Professional Education hereinafter referred to as CPE is continuing education and/or professional training for Public Accountants aimed at maintaining competence as referred to in statutory regulations concerning public accounting practice.

11. Audit Period is the period covering the financial statement period that is the object of audit, review, or other assurance.

12. Professional Assignment Period is the assignment period to perform assurance work, including preparing reports to the Financial Services Authority, starting from fieldwork or the signing of the assignment, whichever is earlier, and ending on the date of the Public Accountant's report or written notification by the Public Accountant, Public Accounting Firm, or client to the Financial Services Authority that the assignment has been completed, whichever is earlier.

13. Minister is the minister whose duties and responsibilities are in the field of finance.

Article 2

(1) Parties Carrying Out Financial Service Activities are required to use PAs and PAFs that:

a. are registered with the Financial Services Authority; and

b. possess competence commensurate with the complexity of the business of the Party Carrying Out Financial Service Activities.

(2) The obligation to use PAs and PAFs registered with the Financial Services Authority as referred to in paragraph (1) relates to reports that must be audited or examined by PAs based on statutory regulations in the financial service sector or written orders from the Financial Services Authority.

CHAPTER II

ADMINISTRATIVE MANAGEMENT OF PUBLIC ACCOUNTANTS AND PUBLIC ACCOUNTING FIRMS

Article 3

(1) Before providing services to Parties Carrying Out Financial Service Activities, PAs and PAFs must first be registered with the Financial Services Authority.

(2) Registration applications for PAs and/or PAFs are submitted to the Financial Services Authority by meeting at least the following requirements:

a. holding a valid license from the Minister;

b. never having been subjected to administrative sanctions in the form of cancellation of the Certificate of Registration (COR) from the Financial Services Authority or previous authorities; and

c. never having committed disgraceful acts and/or been sentenced for proven criminal offenses in the financial sector, and not being listed in the list of non-performing loans or financing.

(3) For PAs, in addition to meeting the requirements as referred to in paragraph (2), additional requirements are:

a. not holding multiple positions;

b. holding the position of PA Partner in a partnership PAF or leader of a sole proprietorship PAF registered with the Financial Services Authority; and

c. possessing competence and knowledge in the financial service sector and the industry using PA services.

(4) For PAs who will provide services to banks conducting business activities based on Sharia principles, in addition to meeting the requirements as referred to in paragraph (2) and paragraph (3), they must possess knowledge of Sharia accounting.

(5) For PAFs, in addition to meeting the requirements as referred to in paragraph (2), additional requirements are:

a. having at least 1 (one) PA Partner registered with the Financial Services Authority, namely the Lead Partner of the PAF; and

b. in the event that the PAF has only 1 (one) PA Partner registered with the Financial Services Authority, the PAF must create a cooperation agreement with another PAF regarding the transfer of responsibility if the relevant PA Partner is unable to perform duties, with the provision that the other PAF has PA Partners recorded in the list of active PAs and PAFs at the Financial Services Authority.

(6) In addition to the registration requirements as referred to in paragraphs (2) through (5), in cases where necessary, the Financial Services Authority may request additional registration requirements for PAs and/or PAFs.

Article 4

(1) PA registration applications submitted to the Financial Services Authority as referred to in Article 3 paragraph (2), Article 3 paragraph (3), and Article 3 paragraph (4) must be accompanied by at least the following documents:

a. photocopy of the valid license from the Minister;

b. latest resume signed on sufficient stamp duty;

c. photocopy of the valid Identity Card;

d. latest color photograph with size 4x6 cm;

e. photocopy of the Taxpayer Identification Number;

f. photocopy of the certification program certificate as referred to in Article 3 paragraph (3) letter c and/or Article 3 paragraph (4);

g. photocopy of the notarized cooperation agreement regarding the PA as a Partner in a partnership PAF or license as a sole proprietorship business PAF registered with the Financial Services Authority;

h. a statement letter signed on sufficient stamp duty stating that the PA:

1. has never been subjected to administrative sanctions in the form of cancellation of the COR from the Financial Services Authority or previous authorities;

2. has never committed disgraceful acts and/or been sentenced for proven criminal offenses in the financial sector and is not listed in the list of non-performing loans or financing; and

3. does not hold multiple positions as referred to in Article 3 paragraph (3) letter a.

(2) PAF registration applications submitted to the Financial Services Authority as referred to in Article 3 paragraph (2) and paragraph (5) must be accompanied by at least the following documents:

a. photocopy of the valid license from the Minister;

b. photocopy of the PAF establishment deed and its amendments;

c. photocopy of the Taxpayer Identification Number;

d. photocopy of the cooperation agreement with another PAF as referred to in Article 3 paragraph (5) letter b;

e. photocopy of the notarized cooperation agreement for PAFs structured as partnerships;

f. photocopy of the branch establishment license for the PAF from the Minister for PAFs having branches;

g. photocopy of the approval letter from the Minister regarding the inclusion of the name of the Foreign Public Accounting Firm (FPAF) or Foreign Audit Organization (FAO), if the PAF cooperates with an FPAF or FAO; and

h. a statement letter signed on sufficient stamp duty by the Lead Partner of the PAF, stating that the PAF:

1. has never been subjected to administrative sanctions in the form of cancellation of the COR from the Financial Services Authority or previous authorities; and

2. has never committed disgraceful acts and/or been sentenced for proven criminal offenses in the financial sector and is not listed in the list of non-performing loans or financing.

Article 5

(1) In the event that the PA and/or PAF registration application documents are declared not to meet the requirements as referred to in Article 4, the PA and/or PAF must submit the fulfillment of document requirements within a maximum of 45 (forty-five) days from the date of notification from the Financial Services Authority.

(2) In the event that the PA and/or PAF do not fulfill the document requirements as referred to in paragraph (1), the PA and/or PAF are deemed to have cancelled the PA and/or PAF registration application to the Financial Services Authority as referred to in Article 3 paragraph (2).

(3) In the event that the PA and/or PAF re-submit a registration application to the Financial Services Authority, the PA and/or PAF must re-submit the registration application as referred to in Article 3 accompanied by the requirement documents as referred to in Article 4.

Article 6

(1) In the event that the PA and/or PAF registration application is declared to meet the document requirements as referred to in Article 4, the Financial Services Authority notifies the PA and/or PAF within a maximum of 20 (twenty) working days that:

a. the registration application is accepted; or

b. the registration application is rejected accompanied by the reasons for rejection.

(2) PAs and PAFs whose registration applications are approved by the Financial Services Authority are issued a COR and are included in the list of PAs and PAFs at the Financial Services Authority.

Article 7

PAs and PAFs registered with the Financial Services Authority are required to:

a. maintain the confidentiality of data and information obtained in providing services to Parties Carrying Out Financial Service Activities;

b. undergo examinations conducted by the Financial Services Authority regarding compliance with examination work and the application of quality control over the service activities provided by PAs and/or PAFs to Parties Carrying Out Financial Service Activities;

c. apply financial accounting standards in the implementation of audit services on annual historical financial information, unless otherwise regulated in statutory regulations in the financial service sector;

d. consider the suitability of transactions conducted by Parties Carrying Out Financial Service Activities in accordance with statutory regulations, during the implementation of audit services on annual historical financial information; and

e. attend specific CPE for PAs, organized by institutions recognized by the Financial Services Authority, at least in accordance with the number of Continuing Professional Education Credit Units (CPCU) that must be fulfilled every year as determined by the Financial Services Authority.

Article 8

(1) When submitting a registration application for the first time to the Financial Services Authority, PAs may choose the scope of service provision in one or more financial service sectors regulated and supervised by the Financial Services Authority.

(2) The addition of the scope of service provision in financial service sectors other than those already registered with the Financial Services Authority is done by meeting special requirements.

(3) The special requirements as referred to in paragraph (2) are possessing competence and knowledge in the financial service sector according to the chosen financial service sector as referred to in Article 3 paragraph (3) letter c and/or Article 3 paragraph (4).

CHAPTER III

PUBLICATION OF THE LIST OF PAs AND PAFs AT THE FINANCIAL SERVICES AUTHORITY

Article 9

(1) The list of PAs and PAFs at the Financial Services Authority as referred to in Article 6 paragraph (2) is published on the Financial Services Authority website.

(2) The list of PAs and PAFs published on the Financial Services Authority website as referred to in paragraph (1) includes:

a. active PAs and PAFs;

b. PAs and PAFs temporarily inactive; and

c. permanently inactive PAs and PAFs.

(3) PAs and PAFs are stated to be on the list of active PAs and PAFs as referred to in paragraph (2) letter a in the event that the registration application has been approved by the Financial Services Authority with the issuance of a COR and the COR is still valid.

(4) PAs are stated to be on the list of temporarily inactive PAs and PAFs as referred to in paragraph (2) letter b in the event that registered PAs:

a. are undergoing temporary suspension of service provision based on approval from the Financial Services Authority;

b. are undergoing temporary suspension of service provision based on approval from the Minister;

c. are subjected to administrative sanctions in the form of registration suspension from the Financial Services Authority or PA license suspension from the Minister;

d. are subjected to administrative sanctions in the form of registration suspension from the Financial Services Authority or PAF business license suspension from the Minister; or

e. are no longer PA Partners or leaders in PAFs registered with the Financial Services Authority.

(5) PAFs are stated to be on the list of temporarily inactive PAs and PAFs as referred to in paragraph (2) letter b in the event that:

a. the PAF receives administrative sanctions in the form of registration suspension from the Financial Services Authority;

b. the PAF business license is suspended by the Minister; or

c. other reasons.

(6) For PAs and/or PAFs recorded on the list of temporarily inactive PAs and PAFs as referred to in paragraph (2) letter b:

a. the COR in the name of the PA and/or PAF is declared temporarily invalid;

b. PAs and/or PAFs cannot provide services; and

c. PAs may postpone the fulfillment of CPE every year as required in Article 7 letter e.

(7) PAs and/or PAFs are stated to be on the list of permanently inactive PAs and PAFs as referred to in paragraph (2) letter c in the event that:

a. PAs and/or PAFs are subjected to administrative sanctions by the Financial Services Authority resulting in the cancellation of the COR;

b. PAs and/or PAFs resign as PAs and PAFs registered with the Financial Services Authority; or

c. other reasons.

(8) PAFs are stated to be on the list of permanently inactive PAs and PAFs as referred to in paragraph (7) in the event that PAs in sole proprietorship PAFs or PA Partners in partnership PAFs who have only 1 (one) registered PA with the Financial Services Authority are included in the list of permanently inactive PAs and PAFs.

Article 10

(1) PAs recorded on the list of active PAs and PAFs at the Financial Services Authority may submit an application for temporary suspension of service provision as referred to in Article 9 paragraph (4) for a minimum of 1 (one) year and a maximum of 3 (three) years.

(2) The application for temporary suspension of service provision as referred to in paragraph (1) is submitted via letter to the Financial Services Authority at least 2 (two) months before the planned date of temporary suspension of service provision.

(3) The suspension application letter as referred to in paragraph (1) must be attached with at least the following documents and information:

a. recommendation letter from the PAF for PAs who are Partners in the PAF;

b. complete address during the temporary suspension of PA service provision;

c. statement letter that the PA is not currently providing services to Parties Carrying Out Financial Service Activities;

d. the requested duration for the temporary suspension of PA service provision; and

e. reasons for the application for temporary suspension of PA service provision.

(4) Approval of the application for temporary suspension of service provision is issued within a period of 20 (twenty) working days from the date the application accompanied by documents and information as referred to in paragraph (3) is received completely by the Financial Services Authority.

Article 11

(1) In the event that PAs and/or PAFs recorded on the list of temporarily inactive PAs and PAFs intend to become active again and be recorded on the list of active PAs and PAFs at the Financial Services Authority, the relevant PA and/or PAF submits an application for reactivation to the Financial Services Authority at least 2 (two) months before the planned date of reactivation.

(2) Reactivation applications for PAs as referred to in paragraph (1) must be accompanied by documents proving participation in CPE according to the number of CPCUs that must be fulfilled every year as referred to in Article 7 letter e by attending CPE:

a. every year during the inactive period; or

b. cumulatively during the last 2 (two) years, before reactivation and being recorded on the list of active PAs and PAFs at the Financial Services Authority.

(3) PAs and/or PAFs are deemed to have resigned as PAs and PAFs registered with the Financial Services Authority in the event that:

a. PAs and/or PAFs do not submit a reactivation application as referred to in paragraph (1); or

b. the reactivation application submission by PAs does not meet the requirements as referred to in paragraph (2),

within a maximum period of up to 6 (six) months after the temporary suspension of service provision period ends.

(4) In the event that PAs and/or PAFs are deemed to have resigned as referred to in paragraph (3), the COR in the name of the PA and/or PAF is cancelled and recorded on the list of permanently inactive PAs and PAFs at the Financial Services Authority.

(5) Approval of the PA and/or PAF reactivation application is issued within a period of 20 (twenty) working days from the date the application accompanied by documents as referred to in paragraphs (1) and (2) is received completely by the Financial Services Authority.

CHAPTER IV

RESIGNATION OF PUBLIC ACCOUNTANTS AND PUBLIC ACCOUNTING FIRMS

Article 12

(1) PAs and/or PAFs may submit an application for resignation as PAs and PAFs registered with the Financial Services Authority, accompanied by supporting documents at least:

a. certificate letter from the PAF for PAs who are Partners in the PAF;

b. statement letter that PAs and/or PAFs are not currently providing services to Parties Carrying Out Financial Service Activities; and

c. reasons for the resignation of PAs and/or PAFs, submitted at least 2 (two) months before the planned date of resignation.

(2) Applications for resignation as PAs and PAFs registered with the Financial Services Authority as referred to in paragraph (1):

a. in the event approved by the Financial Services Authority:

1. the COR in the name of the PA and/or PAF is cancelled; and

AP and/or KAP recorded on the list of inactive AP and KAP remain on the list of the Financial Services Authority; or
b. in the event of rejection, the Financial Services Authority provides specific considerations.
(3) Approval or rejection of the resignation request of AP and/or KAP is issued within 20 (twenty) working days from the date the resignation request as an AP and KAP registered with the Financial Services Authority, accompanied by supporting documents as referred to in paragraph (1), is received completely by the Financial Services Authority.

CHAPTER V
THE ROLE OF THE AUDIT COMMITTEE
Article 13
(1) The appointment of AP and/or KAP to provide audit services on annual historical financial information must be decided by the General Meeting of Shareholders of the Entity Carrying Out Financial Service Activities, considering the proposal of the Board of Commissioners. (2) In the event that the General Meeting of Shareholders cannot decide on the appointment of AP and/or KAP to provide audit services on annual historical financial information as referred to in paragraph (1), the General Meeting of Shareholders may delegate the authority to appoint AP and/or KAP to the Board of Commissioners, accompanied by an explanation regarding:
a. the reasons for the delegation of authority; and b. criteria or limitations for AP and/or KAP that can be appointed.
(3) In the event that the Entity Carrying Out Financial Service Activities does not have a General Meeting of Shareholders organ, the functions and authorities of the General Meeting of Shareholders as referred to in paragraph (1) are carried out by the highest organ equivalent to the General Meeting of Shareholders in accordance with the provisions of legislation. (4) The proposal for the appointment of AP and/or KAP submitted by the Board of Commissioners as referred to in paragraph (1) must consider the recommendation of the Audit Committee. (5) In the event that the AP and/or KAP decided by the General Meeting of Shareholders as referred to in paragraph (1) cannot complete the provision of audit services on annual historical financial information during the Professional Assignment Period, the appointment of a replacement AP and/or KAP can be carried out by the Board of Commissioners as long as it is mandated by the General Meeting of Shareholders, considering the recommendation of the Audit Committee. (6) In formulating the recommendation as referred to in paragraph (4), the Audit Committee may consider:
a. the independence of the AP, KAP, and persons within the KAP; b. the scope of the audit;
c. audit service fees;
d. the expertise and experience of the AP, KAP, and Audit Team of the KAP; e. the methodology, techniques, and audit tools used by the KAP; f. the benefits of fresh eye perspectives that will be obtained through the replacement of the AP, KAP, and Audit Team of the KAP; g. the potential risk of using the same KAP's audit services consecutively for a sufficiently long period; and/or h. the evaluation results of the provision of audit services on annual historical financial information by the AP and KAP in previous periods, if any.

(7) The KAP can be categorized as the same KAP as referred to in paragraph (6) letter g in the event that:
a. the name of the KAP has not changed and there is no change in the composition of AP by more than 50% (fifty percent) or more; or b. there is the establishment or name change of the KAP, but the composition of AP is 50% (fifty percent) or more from the previous KAP. (8) For bank Audit Committees, the considerations as referred to in paragraph (6) are minimum requirements that must be fulfilled.

Article 14
(1) The Audit Committee evaluates the implementation of audit services on annual historical financial information by the AP and/or KAP.
(2) The evaluation of the implementation of audit services on annual historical financial information by the AP and/or KAP as referred to in paragraph (1) is conducted at least through:
a. the conformity of the audit implementation by the AP and/or KAP with applicable audit standards; b. the adequacy of fieldwork time;
c. the assessment of the scope of services provided and the adequacy of sampling; and
d. improvement recommendations provided by the AP and/or KAP.

Article 15
In the event that the Entity Carrying Out Financial Service Activities is not required to have an Audit Committee, the duties and responsibilities of the Audit Committee as referred to in Article 13 and Article 14 are carried out by the Board of Commissioners, Board of Supervisors, or the party performing supervisory functions as performed by the Board of Commissioners.

CHAPTER VI
RESTRICTIONS ON THE USE OF AUDIT SERVICES
Article 16
(1) The Entity Carrying Out Financial Service Activities must restrict the use of audit services on annual historical financial information from the same AP for a maximum of 3 (three) consecutive reporting fiscal years. (2) The restriction on the use of audit services as referred to in paragraph (1) also applies to APs that are affiliated parties. (3) The Entity Carrying Out Financial Service Activities may only reuse audit services on annual historical financial information from the same AP as referred to in paragraph (1), after 2 (two) consecutive reporting fiscal years have passed without using audit services on annual historical financial information from the same AP (cooling-off period).

CHAPTER VII
SCOPE OF AUDIT
Article 17
(1) The implementation of audit of annual historical financial information by the AP and/or KAP is based on a work agreement between the Entity Carrying Out Financial Service Activities and the KAP. (2) The work agreement as referred to in paragraph (1) may specify the scope of the audit. (3) Banks must specify the scope of the audit as referred to in paragraph (2) in the work agreement between the bank and the KAP. (4) The scope of the audit in the work agreement as referred to in paragraph (3) is further regulated in a Circular Letter of the Financial Services Authority.

CHAPTER VIII
INDEPENDENCE OF PUBLIC ACCOUNTANTS AND PUBLIC ACCOUNTING FIRMS TOWARDS ENTITIES CARRYING OUT FINANCIAL SERVICE ACTIVITIES
Article 18
(1) AP, KAP, and persons within the KAP in providing services to the Entity Carrying Out Financial Service Activities must meet independent conditions during the Audit Period and Professional Assignment Period. (2) The independent conditions as referred to in paragraph (1) are stated in a Statement of Independence and submitted by the KAP to the Entity Carrying Out Financial Service Activities before the Professional Assignment Period begins. (3) In forming the audit team and parties directly involved in providing audit services on annual historical financial information, the KAP refers to the code of ethics for AP professionals.

CHAPTER IX
COMMUNICATION BETWEEN PUBLIC ACCOUNTANTS AND PUBLIC ACCOUNTING FIRMS WITH THE FINANCIAL SERVICES AUTHORITY
Article 19
(1) In the preparation and implementation of audits on annual historical financial information for Financial Service Institutions, AP and/or KAP must communicate with the Financial Services Authority. (2) In communication with the Financial Services Authority as referred to in paragraph (1):
a. AP and/or KAP may request information from the Financial Services Authority regarding the Entity Carrying Out Financial Service Activities to be audited; and/or b. the Financial Services Authority may inform matters that require the attention of AP and/or KAP in the preparation and implementation of the audit. (3) AP and KAP must submit information requested by the Financial Services Authority even if the work agreement as referred to in Article 17 paragraph (1) has ended.

CHAPTER X
SUBMISSION OF REPORTS FROM PUBLIC ACCOUNTANTS AND PUBLIC ACCOUNTING FIRMS TO THE FINANCIAL SERVICES AUTHORITY
Article 20
(1) AP and/or KAP recorded on the list of active AP and KAP at the Financial Services Authority must submit complete and accurate reports to the Financial Services Authority.
(2) The reports as referred to in paragraph (1) include:
a. annual periodic reports; and b. incident reports.
(3) The annual periodic reports as referred to in paragraph (2) letter a are reports on the provision of KAP services to the Entity Carrying Out Financial Service Activities.
(4) Incident reports as referred to in paragraph (2) letter b include:
a. KAP reports regarding changes in AP and/or KAP data; b. AP reports in the event of information regarding:

significant violations of legislation by the Entity Carrying Out Financial Service Activities;
significant weaknesses in the controls for the preparation and presentation of the financial statements of the Entity Carrying Out Financial Service Activities;
significant weaknesses in the internal controls of the Entity Carrying Out Financial Service Activities; and/or
conditions or estimated conditions that may endanger the continuity of the business of the Entity Carrying Out Financial Service Activities; and
c. other incident reports from AP and/or KAP if requested by the Financial Services Authority at any time.
(5) The KAP Service Provision Report to the Entity Carrying Out Financial Service Activities as referred to in paragraph (3) contains at least the following information:
a. the name of the KAP and the license number from the Minister; b. the name of the AP and the license number from the Minister;
c. the name of the Entity Carrying Out Financial Service Activities and the type of services provided by the AP and/or KAP to the Entity Carrying Out Financial Service Activities within a period of 1 (one) year from April 1 to March 31 of the following year, or since registration with the Financial Services Authority if registered for less than 1 (one) year;
d. audit opinions issued by the AP and/or KAP; e. the composition of the audit team and parties directly involved in providing audit services; f. the number of years of the AP and/or KAP audit period for the same Entity Carrying Out Financial Service Activities; and g. audit service fees.

Article 21
(1) KAP must submit the KAP service provision report as referred to in Article 20 paragraph (3) annually to the Financial Services Authority, accompanied by supporting documents, no later than April 15. (2) KAP is considered late in submitting the KAP service provision report if the report is submitted after the final submission deadline as referred to in paragraph (1) up to May 15 at the latest. (3) KAP is considered not to have submitted the KAP service provision report as referred to in paragraph (1) if the report has not been submitted after the final deadline for late submission of the report as referred to in paragraph (2).

Article 22
(1) KAP must submit the report on changes in AP and/or KAP data as referred to in Article 20 paragraph (4) letter a to the Financial Services Authority, accompanied by supporting documents, no later than 10 (ten) days after the approval or notification of data changes from the Ministry of Finance is received by the AP and/or KAP. (2) KAP is considered late in submitting the report on changes in AP and/or KAP data if the report is submitted after the final submission deadline as referred to in paragraph (1) up to 30 (thirty) days thereafter. (3) KAP is considered not to have submitted the report on changes in AP and/or KAP data as referred to in paragraph (1) if the report has not been submitted after the final deadline for late submission of the report as referred to in paragraph (2).

Article 23
Based on the report on changes in AP and/or KAP data received by the Financial Services Authority as referred to in Article 22 paragraph (1) or based on information from other parties, the Financial Services Authority updates data and information regarding AP and/or KAP recorded on the list of AP and KAP at the Financial Services Authority.

Article 24
(1) AP must submit reports regarding significant violations of legislation, significant weaknesses in the controls for the preparation and presentation of financial statements, significant weaknesses in internal controls, and/or conditions or estimated conditions that may endanger the continuity of the business of the Entity Carrying Out Financial Service Activities as referred to in Article 20 paragraph (4) letter b to the Financial Services Authority, accompanied by supporting documents, no later than 3 (three) working days from discovery. (2) AP is considered late in submitting the report if submitted after the final submission deadline as referred to in paragraph (1) up to 2 (two) working days thereafter. (3) AP is considered not to have submitted the report as referred to in paragraph (1) if the report has not been submitted after the final deadline for late submission of the report as referred to in paragraph (2).

CHAPTER XI
MEDIA FOR SUBMISSION OF REQUESTS AND REPORTS FROM PUBLIC ACCOUNTANTS AND PUBLIC ACCOUNTING FIRMS TO THE FINANCIAL SERVICES AUTHORITY
Article 25
(1) AP and/or KAP submit:
a. requests for registration of AP and/or KAP as referred to in Article 3, accompanied by requirement documents as referred to in Article 4; b. requests for approval to add the scope of service provision in financial service sectors other than those already registered with the Financial Services Authority as referred to in Article 8 paragraph (2);
c. requests for temporary cessation of services by AP as referred to in Article 10;
d. requests for reactivation as referred to in Article 11 paragraph (1); e. requests for resignation of AP and/or KAP as referred to in Article 12 paragraph (1); f. reports on KAP service provision as referred to in Article 21 paragraph (1); and g. reports on changes in AP and/or KAP data as referred to in Article 22 paragraph (1), to the Financial Services Authority c/o the Head of the Capital Market Supervisory Executive. (2) Requests and/or reports as referred to in paragraph (1) are submitted by KAP online through the Financial Services Authority's reporting system. (3) In the event that the Financial Services Authority's reporting system cannot yet be used for the online submission of requests and/or reports as referred to in paragraph (2), KAP submits the requested and/or reports offline to the Financial Services Authority.

Article 26
(1) In the event that the online KAP reporting system experiences technical disturbances or force majeure occurs on the final day for submitting requests and/or reports, KAP submits offline:
a. a notification letter signed by the head of the KAP containing the reasons for the technical disturbance or force majeure, accompanied by supporting documents; and b. requests and/or reports as referred to in Article 25 paragraph (1) letters c through g, on the final day for submitting requests and/or reports. (2) The notification letter and requests and/or reports as referred to in paragraph (1) are submitted to the Financial Services Authority c/o the Head of the Capital Market Supervisory Executive.

Article 27
Reports regarding significant violations of legislation, significant weaknesses in the controls for the preparation and presentation of financial statements, significant weaknesses in internal controls, and/or conditions or estimated conditions that may endanger the continuity of the business of the Entity Carrying Out Financial Service Activities as referred to in Article 24 paragraph (1) are submitted offline to the Financial Services Authority:
a. for banks, with the address:

the relevant Bank Supervision Department or Islamic Banking Department for banks headquartered or branch offices of banks located abroad located in the Special Capital Region of Jakarta; or
the Regional Office of the Financial Services Authority or the local Office of the Financial Services Authority according to the area where the bank's headquarters is located;
b. for Entities Carrying Out Financial Service Activities in the Capital Market sector, addressed to the relevant Capital Market Supervision Department; and
c. for Entities Carrying Out Financial Service Activities in the Non-Bank Financial Institution (IKNB) sector, addressed to the relevant Non-Bank Financial Institution Supervision Department.

CHAPTER XII
SUBMISSION OF REPORTS FROM ENTITIES CARRYING OUT FINANCIAL SERVICE ACTIVITIES TO THE FINANCIAL SERVICES AUTHORITY
Article 28
(1) The Entity Carrying Out Financial Service Activities must submit periodic reports annually to the Financial Services Authority regarding:
a. the appointment of AP and/or KAP for audits on annual historical financial information, attaching the appointment documents of AP and/or KAP accompanied by the recommendation of the Audit Committee and considerations used in providing recommendations as referred to in Article 13 paragraph (6), no later than 10 (ten) working days after the appointment of AP and/or KAP; and b. the results of the Audit Committee's evaluation of the implementation of audit services on annual historical financial information by AP and/or KAP as referred to in Article 14, no later than 6 (six) months after the end of the fiscal year. (2) The Entity Carrying Out Financial Service Activities is considered late in submitting periodic reports if the report is submitted after the final submission deadline as referred to in paragraph (1) up to 30 (thirty) days thereafter. (3) The Entity Carrying Out Financial Service Activities is considered not to have submitted periodic reports as referred to in paragraph (1) if the report has not been submitted after the final deadline for late submission of the report as referred to in paragraph (2).

Article 29
(1) Reports from the Entity Carrying Out Financial Service Activities as referred to in Article 28 paragraph (1) are submitted to the Financial Services Authority:
a. for banks, with the address:

the relevant Bank Supervision Department or Islamic Banking Department for banks headquartered or branch offices of banks located abroad located in the Special Capital Region of Jakarta; or
the Regional Office of the Financial Services Authority or the local Office of the Financial Services Authority according to the area where the bank's headquarters is located;
b. for Entities Carrying Out Financial Service Activities in the Capital Market sector, addressed to the relevant Capital Market Supervision Department; and
c. for Entities Carrying Out Financial Service Activities in the Non-Bank Financial Institution (IKNB) sector, addressed to the relevant Non-Bank Financial Institution Supervision Department.
(2) In the event that the Entity Carrying Out Financial Service Activities carries out activities in more than 1 (one) financial service sector, periodic reports as referred to in Article 28 paragraph (1) are submitted to the Supervisory Unit according to the type of financial service sector institution.

CHAPTER XIII
OTHER PROVISIONS
Article 30
(1) The Financial Services Authority has the authority to order in writing to the Entity Carrying Out Financial Service Activities to:
a. replace AP and/or KAP appointed by the Entity Carrying Out Financial Service Activities; and/or b. conduct audits or re-examinations of reports as referred to in Article 2 paragraph (2). (2) The Entity Carrying Out Financial Service Activities must comply with the orders of the Financial Services Authority as referred to in paragraph (1).

Article 31
In the event that the final deadline for submitting requests and/or reports to the Financial Services Authority offline as regulated in this Financial Services Authority Regulation falls on a holiday, requests and/or reports can be submitted on the next working day.

CHAPTER XIV
SANCTIONS
Article 32
(1) The Financial Services Authority has the authority to impose administrative sanctions on any party violating the provisions of this Financial Services Authority Regulation, including parties causing violations. (2) The Entity Carrying Out Financial Service Activities and/or parties causing violations as referred to in paragraph (1) may be subject to administrative sanctions including:
a. written reprimands or warnings; b. fines; and/or
c. listing shareholders, members of the Board of Directors, Board of Commissioners, or executive officials in the list of parties prohibited from becoming:

controlling shareholders or owners of the Entity Carrying Out Financial Service Activities; and/or
members of the Board of Directors, Board of Commissioners, or executive officials of the Entity Carrying Out Financial Service Activities.
(3) AP and KAP registered with the Financial Services Authority may be subject to administrative sanctions including:
a. written reprimands or warnings; b. fines;
c. suspension of registration; and/or
d. cancellation of registration.
(4) Administrative sanctions as referred to in paragraph (2) and paragraph (3) may be imposed individually or jointly, or with written orders as referred to in Article 30 paragraph (1).

(5) The Financial Services Authority may announce to the public the imposition of administrative sanctions on Entities Carrying Out Financial Service Activities as well as AP and KAP as referred to in paragraph (2) and paragraph (3).

Article 33
(1) Entities Carrying Out Financial Service Activities that commit violations including:
a. appointing AP and/or KAP without considering the proposal of the Board of Commissioners as referred to in Article 13 paragraph (1); or b. proposals by the Board of Commissioners in the appointment of AP and/or KAP without considering the recommendation of the Audit Committee as referred to in Article 13 paragraph (4), are subject to administrative sanctions in the form of written reprimands or warnings as referred to in Article 32 paragraph (2) letter a. (2) Banks that commit violations including:
a. bank Audit Committee recommendations not considering minimum requirements that must be fulfilled in the appointment of AP and/or KAP as referred to in Article 13 paragraph (8); and/or b. audit scope not specified in the work agreement between the bank and KAP as referred to in Article 17 paragraph (3), are subject to administrative sanctions in the form of written reprimands or warnings as referred to in Article 32 paragraph (2) letter a. (3) Entities Carrying Out Financial Service Activities declared late in submitting periodic reports as referred to in Article 28 paragraph (2) are subject to administrative sanctions in the form of fines as referred to in Article 32 paragraph (2) letter b, each amounting to IDR 100,000.00 (one hundred thousand rupiah) per day or a maximum of IDR 3,000,000.00 (three million rupiah) per report. (4) Entities Carrying Out Financial Service Activities declared not to have submitted periodic reports as referred to in Article 28 paragraph (3) are subject to administrative sanctions in the form of fines as referred to in Article 32 paragraph (2) letter b, each amounting to IDR 5,000,000.00 (five million rupiah) per report. (5) Entities Carrying Out Financial Service Activities that commit violations in failing to comply with the orders of the Financial Services Authority as referred to in Article 30 paragraph (2) are subject to administrative sanctions in the form of listing shareholders, members of the Board of Directors, Board of Commissioners, or executive officials in the list of parties prohibited from becoming:
a. controlling shareholders or owners of the Entity Carrying Out Financial Service Activities; and/or b. members of the Board of Directors, Board of Commissioners, or executive officials of the Entity Carrying Out Financial Service Activities, as referred to in Article 32 paragraph (2) letter c.

Article 34
AP and/or KAP that commit violations:
a. failing to communicate with the Financial Services Authority as regulated in Article 19 paragraph (1); b. failing to submit information requested by the Financial Services Authority as referred to in Article 19 paragraph (3); and/or

c. does not meet the requirements as a PA and/or KAP registered with the Financial Services Authority as referred to in Article 3 paragraph (3) letter a and/or letter b, and/or Article 3 paragraph (5), shall be subject to administrative sanctions in the form of a written reprimand or written warning as referred to in Article 32 paragraph (3) letter a.

Article 35
(1) A PA who does not meet at least the number of PPL SKPs as referred to in Article 7 letter e shall be subject to administrative sanctions in the form of a written reprimand or written warning as referred to in Article 32 paragraph (3) letter a. (2) In addition to being subject to administrative sanctions in the form of a written reprimand or written warning as referred to in paragraph (1), the PA remains obligated to meet the obligation of at least the number of PPL SKPs by adding the shortage of PPL SKPs to the fulfillment of PPL SKPs in the following year. (3) In the event that the PA cannot meet the obligation of the number of PPL SKPs in the following year as referred to in paragraph (2), the PA is deemed to not meet the obligation of the number of PPL SKPs as established by the Financial Services Authority for 2 (two) consecutive years.

Article 36
(1) A KAP declared to have submitted late:
a. reports on the provision of KAP services as referred to in Article 21 paragraph (2); and/or b. reports on changes to PA and/or KAP data as referred to in Article 22 paragraph (2), shall be subject to administrative sanctions in the form of fines as referred to in Article 32 paragraph (3) letter b, each amounting to IDR 100,000.00 (one hundred thousand rupiah) per day of delay and at most IDR 3,000,000.00 (three million rupiah) per report. (2) A KAP declared to have not submitted:
a. reports on the provision of KAP services as referred to in Article 21 paragraph (3); and/or b. reports on changes to PA and/or KAP data as referred to in Article 22 paragraph (3), shall be subject to administrative sanctions in the form of fines as referred to in Article 32 paragraph (3) letter b, each amounting to IDR 5,000,000.00 (five million rupiah) per report. (3) For KAPs that have not submitted reports, in addition to being subject to administrative sanctions in the form of fines as referred to in paragraph (2), they must still submit reports as referred to in Article 20 paragraph (3) and/or Article 20 paragraph (4) letter a.

Article 37
A PA who submits reports regarding significant violations of statutory regulations, significant weaknesses in the control of the preparation and presentation of financial reports, significant weaknesses in internal control, and/or conditions or estimated conditions that can endanger the continuity of the business of the Party Carrying Out Financial Service Activities as referred to in Article 24 paragraph (2) late, shall be subject to administrative sanctions in the form of fines as referred to in Article 32 paragraph (3) letter b amounting to IDR 5,000,000.00 (five million rupiah).

Article 38
(1) A PA and/or KAP that commits violations:
a. cannot meet the requirements as regulated in Article 3 paragraph (3) letter a and/or letter b, and/or Article 3 paragraph (5), after the deadline according to the written reprimand or written warning as referred to in Article 34 letter c; b. cannot meet the requirements as referred to in Article 7;
c. does not meet the obligation of the number of PPL SKPs for 2 (two) consecutive years as referred to in Article 35 paragraph (3);
d. does not meet the independence conditions during the Audit Period and Professional Assignment Period as referred to in Article 18 paragraph (1); e. does not submit reports regarding significant violations of statutory regulations, significant weaknesses in the control of the preparation and presentation of financial reports, significant weaknesses in internal control, and/or conditions or estimated conditions that can endanger the continuity of the business of the Party Carrying Out Financial Service Activities as referred to in Article 24 paragraph (3); or f. A PA and/or KAP is subject to administrative sanctions in the form of written reprimands or written warnings 3 (three) times within a period of 2 (two) years, shall be subject to administrative sanctions in the form of suspension of registration at the Financial Services Authority as referred to in Article 32 paragraph (3) letter c. (2) The duration of the suspension of registration at the Financial Services Authority as referred to in paragraph (1) shall be imposed for 1 (one) year.

Article 39
Violations of regulations:
a. A PA and/or KAP that no longer meets the requirements as referred to in Article 3 and Article 7 after the suspension period ends; b. A PA and/or KAP that is assessed by the Financial Services Authority to have committed a serious violation of this Financial Services Authority Regulation or other statutory regulations;
c. A PA and/or KAP that is subject to administrative sanctions in the form of suspension of registration 2 (two) times within a period of 3 (three) years;
d. A KAP in the form of an individual with a PA who is subject to sanctions in the form of cancellation of registration at the Financial Services Authority; and/or e. A KAP in the form of a partnership with at least 2 (two) PAs subject to sanctions in the form of cancellation of registration at the Financial Services Authority, shall be subject to administrative sanctions in the form of cancellation of registration at the Financial Services Authority as referred to in Article 32 paragraph (3) letter d.

Article 40
Without prejudice to the applicability of criminal provisions in statutory regulations in the field of financial services, the Financial Services Authority has the authority to impose sanctions on any party that violates the provisions of this Financial Services Authority Regulation, including parties that cause the violation to occur.

CHAPTER XV
TRANSITIONAL PROVISIONS

Article 41
(1) PAs and/or KAPs that have been registered with the Financial Services Authority before the implementation of this Financial Services Authority Regulation must re-register.
(2) Re-registration as referred to in paragraph (1) is carried out according to the financial service sector of the PA before this Financial Services Authority Regulation comes into force.
(3) Re-registration as referred to in paragraph (1) is carried out by meeting the requirements as referred to in Article 3 and submitting complete documents as referred to in Article 4, except:
a. registration requirements as referred to in Article 3 paragraph (3) letter c and/or Article 3 paragraph (4); and b. certification program certificates as referred to in Article 4 paragraph (1) letter f. (4) The duration for re-registration as referred to in paragraph (1) is at most 1 (one) year after this Financial Services Authority Regulation comes into force. (5) PAs and/or KAPs that do not carry out re-registration until the deadline as referred to in paragraph (4):
a. are deemed to have resigned from being a PA and/or KAP registered with the Financial Services Authority; and b. the STTD in the name of the PA and/or KAP is cancelled and recorded on the list of inactive PAs and KAPs at the Financial Services Authority. (6) The obligation to submit applications and reports online, as referred to in Article 25 paragraph (2), applies for the first time starting from April 1, 2017. (7) In preparation for the effective implementation of the submission of applications and reports online as referred to in paragraph (6), KAPs may conduct trials from the date this Financial Services Authority Regulation comes into force until March 31, 2017. (8) Parties Carrying Out Financial Service Activities that have appointed the same PA before this Financial Services Authority Regulation comes into force:
a. may still use the appointed PA for the fiscal year starting in 2017 by submitting documents appointing the PA and/or KAP; and b. the appointment of PAs for the following year is carried out with reference to this Financial Services Authority Regulation.

CHAPTER XVI
CLOSING PROVISIONS

Article 42
Further regulations regarding the procedures for the use of PA and KAP services in financial service activities shall be regulated by a Circular Letter of the Financial Services Authority.

Article 43
With the implementation of this Financial Services Authority Regulation, regulations in the field of:
a. Banking

Bank Indonesia Regulation Number 3/22/PBI/2001 concerning Transparency of Bank Financial Conditions (State Gazette of the Republic of Indonesia Year 2001 Number 150, Supplement to the State Gazette of the Republic of Indonesia Number 4159);
Bank Indonesia Regulation Number 7/50/PBI/2005 concerning Amendments to PBI Number 3/22/PBI/2001 concerning Transparency of Bank Financial Conditions (State Gazette of the Republic of Indonesia Year 2005 Number 135, Supplement to the State Gazette of the Republic of Indonesia Number 4573);
Article 16, 17, 18, 19, and 26 of Bank Indonesia Regulation Number 15/3/PBI/2013 concerning Transparency of Financial Conditions of Rural Credit Banks (State Gazette of the Republic of Indonesia Year 2013 Number 94, Supplement to the State Gazette of the Republic of Indonesia Number 5418); and
Article 12, 13, 14, 15, and 23 of Bank Indonesia Regulation Number 7/47/PBI/2005 concerning Transparency of Financial Conditions of Sharia Rural Credit Banks (State Gazette of the Republic of Indonesia Year 2005 Number 125, Supplement to the State Gazette of the Republic of Indonesia Number 4564);
b. Capital Market
Decision of the Chairman of the Capital Market Supervisory Agency and Financial Institutions Number KEP-41/BL/2008 concerning Registration of Accountants Carrying Out Activities in the Capital Market, along with Regulation Number VIII.A.1 which is an attachment;
Decision of the Chairman of the Capital Market Supervisory Agency and Financial Institutions Number KEP-86/BL/2011 concerning Independence of Accountants Providing Services in the Capital Market, along with Regulation Number VIII.A.2 which is an attachment;
Decision of the Chairman of the Capital Market Supervisory Agency and Financial Institutions Number KEP-395/BL/2008 concerning Periodic Reports of Accountant Activities, along with Regulation Number X.J.2 which is an attachment; and
Decision of the Chairman of the Capital Market Supervisory Agency and Financial Institutions Number KEP-79/PM/1996 concerning Reports to Bapepam by Accountants along with Regulation Number X.J.1 which is an attachment;

c. Non-Bank Financial Industry;
Regulations regarding Public Accountants regulated in Financial Services Authority Regulation Number 38/POJK.05/2015 concerning Registration and Supervision of Actuaries, Public Accountants, and Appraisers Carrying Out Activities in the Non-Bank Financial Industry (State Gazette of the Republic of Indonesia Year 2015 Number 361, Supplement to the State Gazette of the Republic of Indonesia Number 5807), are repealed and declared invalid, except for:

Article 18 paragraph (4) of Bank Indonesia Regulation Number 3/22/PBI/2001 concerning Transparency of Financial Conditions (State Gazette of the Republic of Indonesia Year 2001 Number 150, Supplement to the State Gazette of the Republic of Indonesia Number 4159);
Article 17 paragraph (3) of Bank Indonesia Regulation Number 15/3/PBI/2013 concerning Transparency of Financial Conditions of Rural Credit Banks (State Gazette of the Republic of Indonesia Year 2013 Number 94, Supplement to the State Gazette of the Republic of Indonesia Number 5418);
Regulations regulating the obligation to fulfill PPL for PAs as regulated in Regulation Number VIII.A.1, attachment of the Decision of the Chairman of the Capital Market Supervisory Agency and Financial Institutions Number KEP-41/BL/2008 concerning Registration of Accountants Carrying Out Activities in the Capital Market, are declared to remain valid insofar as they do not conflict with the provisions in this Financial Services Authority Regulation until the issuance of a Circular Letter of the Financial Services Authority; and
Article 19 letter c and Article 27 of Bank Indonesia Regulation Number 15/3/PBI/2013 concerning Transparency of Financial Conditions of Rural Credit Banks (State Gazette of the Republic of Indonesia Year 2013 Number 94, Supplement to the State Gazette of the Republic of Indonesia Number 5418), are declared to remain valid insofar as they do not conflict with the provisions in this Financial Services Authority Regulation.

Article 44
Regulations regulating Periodic Reports of Accountant Activities as regulated in Regulation Number X.J.2, attachment of the Decision of the Chairman of the Capital Market Supervisory Agency and Financial Institutions Number KEP-395/BL/2008 concerning Periodic Reports of Accountant Activities, are declared to remain valid for the submission of Periodic Reports of Accountant Activities for the period April 1, 2016 to March 31, 2017 to the Financial Services Authority.

Article 45
This Financial Services Authority Regulation comes into force on the date of its promulgation.

This copy is in accordance with the original
Director of Law 1
Law Department signed
Yuliana

In order that everyone may know it, it is ordered to promulgate this Financial Services Authority Regulation by placing it in the State Gazette of the Republic of Indonesia.

Established in Jakarta on March 27, 2017
CHAIRMAN OF THE COMMISSIONERS BOARD
FINANCIAL SERVICES AUTHORITY, signed
MULIAMAN D. HADAD

Promulgated in Jakarta on March 27, 2017
MINISTER OF LAW AND HUMAN RIGHTS
REPUBLIC OF INDONESIA, signed
YASONNA H. LAOLY

STATE GAZETTE OF THE REPUBLIC OF INDONESIA YEAR 2017 NUMBER 62

EXPLANATION
OF
FINANCIAL SERVICES AUTHORITY REGULATION
NUMBER 13 /POJK.03/2017
CONCERNING
THE USE OF PUBLIC ACCOUNTANT AND PUBLIC ACCOUNTANT FIRM SERVICES IN FINANCIAL SERVICE ACTIVITIES

I. GENERAL
The creation of market discipline needs to be supported by the existence of transparent financial information from Parties Carrying Out Financial Service Activities. This is because the transparency of financial information facilitates fair assessment for the public interest and market players. Therefore, Parties Carrying Out Financial Service Activities must prepare and present high-quality financial information. The availability of high-quality financial information is a reflection of the implementation of good corporate governance, which among others involves the role of the Audit Committee in supervising the effectiveness of the implementation of external audit functions by Public Accountants and Public Accountant Firms. In order to improve the quality of financial information, Parties Carrying Out Financial Service Activities use services provided by Public Accountants and Public Accountant Firms. Thus, Public Accountants and Public Accountant Firms have an important role as supporters of the financial service sector activities in enforcing market discipline. Therefore, in order to maintain public confidence in the quality of financial information, Parties Carrying Out Financial Service Activities must maintain an independent relationship with Public Accountants and Public Accountant Firms. In relation to these matters, regulations regarding the use of Public Accountant and Public Accountant Firm services in financial service activities are needed.

II. ARTICLE BY ARTICLE
Article 1
It is clear enough.

Article 2
Paragraph (1)
Parties Carrying Out Financial Service Activities include Financial Service Institutions and/or individuals or legal entities carrying out activities in the financial service sector.
Letter a
What is meant by "PA registered with the Financial Services Authority" is a PA registered in one or more financial service sectors at the Financial Services Authority.
Example:
PT Bank "ABC" Tbk. must use the services of:

A KAP registered with the Financial Services Authority; and
A PA registered in at least the Banking sector and the Capital Market sector.
Letter b
It is clear enough.
Paragraph (2)
It is clear enough.

Article 3
Paragraph (1)
It is clear enough.

Paragraph (2)
Letter a
It is clear enough.
Letter b
It is clear enough.
Letter c
What is meant by "committing disgraceful acts" includes, among others, negative records managed by the Financial Services Authority.
What is meant by "non-performing credit or financing" is non-performing credit or financing as recorded in the credit information system managed by the authority.
Paragraph (3)
Letter a
What is meant by "holding concurrent positions" is:

working at another KAP or other supporting professions in financial service activities registered with the Financial Services Authority; and/or
working at client companies or client business groups whose financial reports will be consolidated.
Letter b
It is clear enough.
Letter c
Competence and knowledge in the field of financial services and industries using PA services, among others, are fulfilled through certification programs organized by institutions recognized by the Financial Services Authority, at least according to the number of SKPs that must be fulfilled as established by the Financial Services Authority. Institutions recognized by the Financial Services Authority include, among others, the Public Accountant Professional Association established by the Minister. The aforementioned institution coordinates with the Financial Services Authority in determining certification material, the number of SKPs, and the submission of certification participant recapitulation data.

Paragraph (4)
Sharia accounting knowledge is among others fulfilled through certification programs organized by institutions recognized by the Financial Services Authority.
Institutions recognized by the Financial Services Authority include, among others, the Public Accountant Professional Association and accountant professional associations established by the Minister. The aforementioned institution coordinates with the Financial Services Authority, among others, in determining certification material. What is meant by "accountant professional association" is a national accountant professional organization as referred to in statutory regulations regarding state-registered accountants.

Paragraph (5)
It is clear enough.

Paragraph (6)
It is clear enough.

Article 4
Paragraph (1)
Letter a
It is clear enough.
Letter b
The curriculum vitae includes, among others, educational background and work experience as an auditor, accompanied by an explanation of assignments received in the last 3 (three) years at the KAP and information about the name of the audited company, assignment year, and type of assignment. Letter c It is clear enough. Letter d It is clear enough. Letter e It is clear enough. Letter f It is clear enough. Letter g It is clear enough. Letter h It is clear enough. Paragraph (2) It is clear enough.

Article 5
It is clear enough.

Article 6
It is clear enough.

Article 7
Letter a
It is clear enough.
Letter b
For examination purposes, the Financial Services Authority may coordinate with the Ministry of Finance.
Letter c
It is clear enough.
Letter d
It is clear enough.
Letter e
Institutions recognized by the Financial Services Authority include, among others, the Public Accountant Professional Association established by the Minister.
The aforementioned institution coordinates with the Financial Services Authority in determining PPL material and submitting data on the realization of PPL followed by PAs, no later than the end of January of the following year. Data on the realization of PPL followed by PAs, among others, is used for assessing compliance with PPL obligations.

Article 8
Paragraph (1)
What is meant by "financial service sector" is the Banking, Capital Market, and Non-Bank Financial Industry sectors.
Paragraph (2)
Example:
PA "X" has been registered with the Financial Services Authority in the Banking sector. If PA "X" also wants to provide services to Parties Carrying Out Financial Service Activities in the Capital Market and/or Non-Bank Financial Industry sectors, then PA "X" needs to add the scope of service provision in the Capital Market and/or Non-Bank Financial Industry sectors at the Financial Services Authority. Paragraph (3) It is clear enough.

Article 9
Paragraph (1)
It is clear enough.
Paragraph (2)
It is clear enough.
Paragraph (3)
It is clear enough.
Paragraph (4)
It is clear enough.
Paragraph (5)
Letter a
It is clear enough.
Letter b
It is clear enough.
Letter c
What is meant by "other reasons" includes, among others, a KAP having only 1 (one) Partner PA registered with the Financial Services Authority but not having a cooperation agreement with another KAP that has Partner PAs registered on the list of Active PAs and KAPs at the Financial Services Authority.

Paragraph (6)
Letter a
It is clear enough.
Letter b
It is clear enough.
Letter c
A PA may defer PPL every year but does not eliminate the obligation to fulfill the number of SKP PPL every year as established by the Financial Services Authority.

Paragraph (7)
Letter a
It is clear enough.
Letter b
It is clear enough.
Letter c
What is meant by "other reasons" includes, among others, the license being revoked or declared invalid by the Minister or death.

Paragraph (8)
It is clear enough.

Article 10
Paragraph (1)
In the event that the remaining validity period of the PA license issued by the Minister is less than 3 (three) years from the date of the planned temporary cessation of service provision, the application for temporary cessation of service provision is at most until the end of the validity period of the PA license from the Minister. Example 1:
The validity period of the PA license from the Minister is until March 1, 2020, and the planned date for temporary cessation of service provision is from January 1, 2017, then the period for temporary cessation of service provision is at most until December 31, 2019.

Example 2:
The validity period of the PA license from the Minister is until March 1, 2019, and the planned date for temporary cessation of service provision is from January 1, 2017, then the period for temporary cessation of service provision is at most until March 1, 2019.

Paragraph (2)
It is clear enough.
Paragraph (3)
It is clear enough.
Paragraph (4)
It is clear enough.

Article 11
Paragraph (1)
It is clear enough.
Paragraph (2)
Example:
A PA who has obtained approval for temporary cessation of service provision for 3 (three) years, namely from January 1, 2017 to December 31, 2019, can become active again by:
a. following PPL per year in 2017, 2018, and 2019; or b. following PPL cumulatively in the period January 1, 2018 to December 31, 2019.

Paragraph (3)
It is clear enough.
Paragraph (4)
It is clear enough.
Paragraph (5)
It is clear enough.

Article 12
Paragraph (1)
It is clear enough.
Paragraph (2)
Letter a
It is clear enough.
Letter b
What is meant by "certain considerations" is:

being examined by the Financial Services Authority and/or other authorities;
providing services to Parties Carrying Out Financial Service Activities; and/or
other considerations.

Paragraph (3)
It is clear enough.

Article 13
Paragraph (1)
It is clear enough.
Paragraph (2)
It is clear enough.
Paragraph (3)
It is clear enough.
Paragraph (4)
It is clear enough.
Paragraph (5)
What is meant by "PA and/or KAP that cannot complete the audit service on annual historical financial information" is a PA and/or KAP that is included on the list of temporarily inactive PAs and KAPs or the list of permanently inactive PAs and KAPs during the Professional Assignment Period.

Paragraph (6)
It is clear enough.
Paragraph (7)
It is clear enough.
Paragraph (8)
It is clear enough.

Article 14
It is clear enough.

Article 15
It is clear enough.

Article 16
Paragraph (1)
Example:
PT "ABC" uses audit services on historical financial information from PA "X" starting from the fiscal year 2015, then PT "ABC" can only use the services of PA "X" consecutively for the fiscal years 2015, 2016, and 2017.

Paragraph (2)
What is meant by "PA who is an affiliated party" is a PA who does not sign the independent auditor's report but is directly involved in providing audit services on annual historical financial information.

Paragraph (3)
Example:
Bank "ABC" has used audit services on historical financial information from PA "X" for the fiscal years 2015, 2016, and 2017, then Bank "ABC" can only use the services of PA "X" again starting from the fiscal year 2020.

Article 17
It is clear enough.

Article 18
Paragraph (1)
In providing services to Parties Carrying Out Financial Service Activities, PAs and KAPs maintain independence and are free from conflicts of interest as referred to in the Law on Public Accountants.

The term "independent condition for AP, KAP, and persons within KAP towards the Party Conducting Financial Service Activities during the Audit Period and Professional Engagement Period" means that in providing such services, there are no conditions:
a. material financial interests; b. employment relationships;
c. material business relationships, including with key employees or major shareholders;
d. provision of non-assurance services; e. provision of services or products based on contingent fees or commissions; f. legal disputes; and/or g. other matters that may give rise to conflicts of interest.

Paragraph (2)
Is clear enough.

Paragraph (3)
Is clear enough.

Article 19

Paragraph (1)
AP and/or KAP communicate with the Supervisory Work Unit according to the type of financial service sector institution concerned.

The term "Financial Service Institution" refers to financial service institutions as referred to in the Financial Services Authority Regulation regarding Assessment of Competence and Fit and Proper Test for Key Parties of Financial Service Institutions.

Paragraph (2)
Is clear enough.

Paragraph (3)
Information requested by the Financial Services Authority from AP and/or KAP includes audit examination working papers, if necessary.

Article 20

Paragraph (1)
Is clear enough.

Paragraph (2)
Is clear enough.

Paragraph (3)
Is clear enough.

Paragraph (4)
Letter a
Reports on changes in AP and/or KAP data include, among others, extension of AP license, change of KAP business license, transfer of AP to another KAP, change of partnership agreement among Partners for KAP in the form of a partnership, change of KAP name, change of KAP domicile address and/or KAP branch office, change of KAP Partner composition, change of KAP leader, change of KAP cooperation with other KAPs registered with the Financial Services Authority, change of KAP cooperation with foreign public accountants or foreign audit organizations, temporary cessation of service provision, opening of KAP branch, and/or request for AP resignation or revocation of KAP business license to the Minister.

Letter b
Is clear enough.

Letter c
Is clear enough.

Paragraph (5)
Letter a
Is clear enough.

Letter b
Is clear enough.

Letter c
Is clear enough.

Letter d
Is clear enough.

Letter e
Is clear enough.

Letter f
Example:

AP "X" who is a member of KAP "XYZ" conducts an audit of annual historical financial information for PT "ABC" at financial positions dated December 31, 2016, December 31, 2017, and December 31, 2018, so the number of years in the audit period:
a) AP "X" for PT "ABC" reported in the KAP Service Provision Activity Report for 2019 counts as 3 (three) years; b) KAP "XYZ" for PT "ABC" reported in the KAP Service Provision Activity Report for 2019 counts as 3 (three) years.
AP "Y" who is a member of KAP "XYZ" conducts an audit of annual historical financial information for PT "ABC" at financial positions dated December 31, 2019 and December 31, 2020, so the number of years in the audit period:
a) AP "Y" for PT "ABC" reported in the KAP Service Provision Activity Report for 2021 counts as 2 (two) years; b) KAP "XYZ" for PT "ABC" reported in the KAP Service Provision Activity Report for 2021 counts as 5 (five) years.

Letter g
Is clear enough.

Article 21

Paragraph (1)
Example:
The KAP Service Provision Activity Report for the period April 1, 2017 to March 31, 2018, accompanied by supporting evidence, is submitted by KAP "XYZ" to the Financial Services Authority no later than April 15, 2018. Supporting evidence, among others, consists of payment receipts for KAP services provided to the Party Conducting Financial Service Activities.

Paragraph (2)
Is clear enough.

Paragraph (3)
Is clear enough.

Article 22

Paragraph (1)
Approval or notification of data changes from the Ministry of Finance received by AP and/or KAP is proven by documents of receipt of approval or notification of data changes from the Ministry of Finance.

Paragraph (2)
Is clear enough.

Paragraph (3)
Is clear enough.

Article 23

The data and information can be obtained by the Financial Services Authority through coordination with other parties.
The term "other parties" includes, among others, the Ministry of Finance and the Public Accountant Professional Association designated by the Minister.
Data and information for updating AP and KAP data are data and information as explained in Article 20 paragraph (4) letter a. Additionally, data and information regarding AP and/or KAP subject to sanctions, including revocation or suspension of license by the Minister, expiration of AP license validity from the Minister, AP resignation, AP death, KAP dissolution, AP and/or KAP facing legal problems that may disrupt service provision.

Article 24

Paragraph (1)
The term "submitted to the Financial Services Authority" means when reports of significant violations, significant weaknesses, and/or conditions or estimated conditions that may endanger the continuity of the business of the Party Conducting Financial Service Activities are received by the Financial Services Authority.

Paragraph (2)
Is clear enough.

Paragraph (3)
Is clear enough.

Article 25
Is clear enough.

Article 26
Is clear enough.

Article 27
Is clear enough.

Article 28

Paragraph (1)
Letter a
Documents appointing AP and/or KAP include, among others, Summary of Minutes of the General Meeting of Shareholders or Minutes of the General Meeting of Shareholders, Employment Agreement between the Party Conducting Financial Service Activities and KAP.

Letter b
Is clear enough.

Paragraph (2)
Is clear enough.

Paragraph (3)
Is clear enough.

Article 29

Paragraph (1)
Is clear enough.

Paragraph (2)
Example:
PT Bank "ABC" Tbk. conducts activities in the Banking and Capital Market sectors, so PT Bank "ABC" Tbk. submits a report as referred to in Article 28 paragraph (1) to the Banking supervisor because PT Bank "ABC" Tbk. has an institutional structure in the form of a bank.

Article 30
Is clear enough.

Article 31
Example:

If the deadline for submitting applications and/or reports that must be submitted to the Financial Services Authority offline falls on a Saturday, the application and/or report can be submitted on the next working day, which is Monday.
In the event that an application and/or report is submitted on a Tuesday, the KAP is declared late in submitting the application and/or report counted as 1 (one) day.

Article 32

Paragraph (1)
Is clear enough.

Paragraph (2)
Is clear enough.

Paragraph (3)
The Financial Services Authority may coordinate with the Ministry of Finance in providing information and/or recommendations for the revocation of AP and/or KAP licenses, for violations committed by AP and/or KAP against this Financial Services Authority Regulation and/or applicable statutory regulations.

Paragraph (4)
Is clear enough.

Paragraph (5)
Is clear enough.

Article 33
Is clear enough.

Article 34
Is clear enough.

Article 35
Is clear enough.

Article 36
Is clear enough.

Article 37
Is clear enough.

Article 38

Paragraph (1)
Letter a
Is clear enough.

Letter b
Is clear enough.

Letter c
Is clear enough.

Letter d
Is clear enough.

Letter e
Is clear enough.

Letter f
Example:
AP is subject to sanctions in the form of written reprimands or written warnings as follows:

first time on April 15, 2017;
second time on November 30, 2018; and
third time on April 1, 2019.
Thus, AP has received 3 (three) sanctions in the form of written reprimands or written warnings within a period of 2 (two) years.

Paragraph (2)
Is clear enough.

Article 39

Letter a
Is clear enough.

Letter b
Example:
Serious violations include, among others:

AP and/or KAP manipulate, assist in manipulating, and/or forge data related to services provided; and/or
AP and/or KAP provide services to the Party Conducting Financial Service Activities during a temporary inactive period.

Letter c
Example:
AP and/or KAP are subject to administrative sanctions in the form of registration suspension, namely:

first time on January 15, 2017; and
second time on January 10, 2019.
Thus, AP and/or KAP have received 2 (two) administrative sanctions in the form of registration suspension within a period of 3 (three) years.

Letter d
Is clear enough.

Letter e
Is clear enough.

Article 40
Is clear enough.

Article 41

Paragraph (1)
Is clear enough.

Paragraph (2)
Is clear enough.

Paragraph (3)
Is clear enough.

Paragraph (4)
Is clear enough.

Paragraph (5)
Is clear enough.

Paragraph (6)
Is clear enough.

Paragraph (7)
Is clear enough.

Paragraph (8)
Example:
PT "ABC" in 2014 appointed AP "X" as auditor for 5 (five) years, namely for the fiscal year starting in 2014 through 2018. PT "ABC" can only use the services of AP "X" until the fiscal year 2017, so for the fiscal year 2018, PT "ABC" must appoint another AP other than AP "X", in accordance with this Financial Services Authority Regulation.

Article 42
Is clear enough.

Article 43
Is clear enough.

Article 44
Is clear enough.

Article 45
Is clear enough.

SUPPLEMENT TO THE STATE GAZETTE OF THE REPUBLIC OF INDONESIA NUMBER 6036 ---

Regulation of the Financial Services Authority Number 13/POJK.03/2017 Concerning the Use of Public Accountant and Public Accounting Firm Services in Financial Service Activities

FINANCIAL SERVICES AUTHORITY

REPUBLIC OF INDONESIA

COPY

FINANCIAL SERVICES AUTHORITY REGULATION

NUMBER 13 /POJK.03/2017

CONCERNING

THE USE OF PUBLIC ACCOUNTANT AND PUBLIC ACCOUNTING FIRM SERVICES

IN FINANCIAL SERVICE ACTIVITIES

WITH THE GRACE OF GOD THE ALMIGHTY

THE BOARD OF COMMISSIONERS OF THE FINANCIAL SERVICES AUTHORITY,

Considering:

a. that parties carrying out financial service activities regulated and supervised by the Financial Services Authority need to prepare and present high-quality financial information;

b. that the availability of high-quality financial information is a reflection of the implementation of good corporate governance, which requires the role of the audit committee in supervising the effectiveness of the external audit function by public accountants and public accounting firms;

d. that in carrying out supervisory duties towards parties carrying out financial service activities, the Financial Services Authority has the authority to conduct supervision, examination, investigation, consumer protection, and other actions towards supporters of financial service activities;

e. that in maintaining public confidence in the quality of financial information, parties carrying out financial service activities must maintain an independent relationship with public accountants and public accounting firms;

f. that based on the considerations as referred to in letters a through e, it is necessary to establish a Financial Services Authority Regulation concerning the Use of Public Accountant and Public Accounting Firm Services in Financial Service Activities;

Recalling:

2. Law Number 11 of 1992 concerning Pension Funds (State Gazette of the Republic of Indonesia Year 1992 Number 37, Additional State Gazette of the Republic of Indonesia Number 3477);

3. Law Number 8 of 1995 concerning the Capital Market (State Gazette of the Republic of Indonesia Year 1995 Number 64, Additional State Gazette of the Republic of Indonesia Number 3068);

4. Law Number 21 of 2008 concerning Sharia Banking (State Gazette of the Republic of Indonesia Year 2008 Number 94, Additional State Gazette of the Republic of Indonesia Number 4867);

5. Law Number 2 of 2009 concerning the Indonesian Export Financing Agency (State Gazette of the Republic of Indonesia Year 2009 Number 2, Additional State Gazette of the Republic of Indonesia Number 4957);

6. Law Number 5 of 2011 concerning Public Accountants (State Gazette of the Republic of Indonesia Year 2011 Number 51, Additional State Gazette of the Republic of Indonesia Number 5215);

7. Law Number 21 of 2011 concerning the Financial Services Authority (State Gazette of the Republic of Indonesia Year 2011 Number 111, Additional State Gazette of the Republic of Indonesia Number 5253);

8. Law Number 40 of 2014 concerning Insurance (State Gazette of the Republic of Indonesia Year 2014 Number 337, Additional State Gazette of the Republic of Indonesia Number 5618);

9. Law Number 1 of 2016 concerning Guarantees (State Gazette of the Republic of Indonesia Year 2016 Number 9, Additional State Gazette of the Republic of Indonesia Number 5835);

DECIDES:

To establish: A FINANCIAL SERVICES AUTHORITY REGULATION CONCERNING THE USE OF PUBLIC ACCOUNTANT AND PUBLIC ACCOUNTING FIRM SERVICES IN FINANCIAL SERVICE ACTIVITIES.

CHAPTER I

GENERAL PROVISIONS

Article 1

In this Financial Services Authority Regulation:

2. Banking is everything concerning banks, including institutions, business activities, as well as methods and processes in carrying out business activities on a conventional basis or based on Sharia principles as referred to in the Law concerning Banking and the Law concerning Sharia Banking.

3. Capital Market is activities concerning Public Offerings and trading of Securities, Public Companies related to Securities issued, as well as institutions and professions related to Securities as referred to in the Law concerning the Capital Market.

5. Public Accountant hereinafter abbreviated as PA is a person who has obtained a license to provide services as referred to in the Law concerning Public Accountants.

6. Public Accounting Firm hereinafter abbreviated as PAF is a business entity established based on statutory regulations and obtaining a business license as referred to in the Law concerning Public Accountants.

7. Audit Committee is a committee formed by and responsible to the Board of Commissioners to assist in carrying out the duties and functions of the Board of Commissioners.

8. Public Accountant Professional Association is a national professional organization of Public Accountants as referred to in the Law concerning Public Accountants.

9. Partner is a partner in a Public Accounting Firm structured as a partnership as referred to in the Law concerning Public Accountants.

10. Continuing Professional Education hereinafter referred to as CPE is continuing education and/or professional training for Public Accountants aimed at maintaining competence as referred to in statutory regulations concerning public accounting practice.

11. Audit Period is the period covering the financial statement period that is the object of audit, review, or other assurance.

13. Minister is the minister whose duties and responsibilities are in the field of finance.

Article 2

(1) Parties Carrying Out Financial Service Activities are required to use PAs and PAFs that:

a. are registered with the Financial Services Authority; and

b. possess competence commensurate with the complexity of the business of the Party Carrying Out Financial Service Activities.

(2) The obligation to use PAs and PAFs registered with the Financial Services Authority as referred to in paragraph (1) relates to reports that must be audited or examined by PAs based on statutory regulations in the financial service sector or written orders from the Financial Services Authority.

CHAPTER II

ADMINISTRATIVE MANAGEMENT OF PUBLIC ACCOUNTANTS AND PUBLIC ACCOUNTING FIRMS

Article 3

(1) Before providing services to Parties Carrying Out Financial Service Activities, PAs and PAFs must first be registered with the Financial Services Authority.

(2) Registration applications for PAs and/or PAFs are submitted to the Financial Services Authority by meeting at least the following requirements:

a. holding a valid license from the Minister;

b. never having been subjected to administrative sanctions in the form of cancellation of the Certificate of Registration (COR) from the Financial Services Authority or previous authorities; and

c. never having committed disgraceful acts and/or been sentenced for proven criminal offenses in the financial sector, and not being listed in the list of non-performing loans or financing.

(3) For PAs, in addition to meeting the requirements as referred to in paragraph (2), additional requirements are:

a. not holding multiple positions;

b. holding the position of PA Partner in a partnership PAF or leader of a sole proprietorship PAF registered with the Financial Services Authority; and

c. possessing competence and knowledge in the financial service sector and the industry using PA services.

(4) For PAs who will provide services to banks conducting business activities based on Sharia principles, in addition to meeting the requirements as referred to in paragraph (2) and paragraph (3), they must possess knowledge of Sharia accounting.

(5) For PAFs, in addition to meeting the requirements as referred to in paragraph (2), additional requirements are:

a. having at least 1 (one) PA Partner registered with the Financial Services Authority, namely the Lead Partner of the PAF; and

(6) In addition to the registration requirements as referred to in paragraphs (2) through (5), in cases where necessary, the Financial Services Authority may request additional registration requirements for PAs and/or PAFs.

Article 4

(1) PA registration applications submitted to the Financial Services Authority as referred to in Article 3 paragraph (2), Article 3 paragraph (3), and Article 3 paragraph (4) must be accompanied by at least the following documents:

a. photocopy of the valid license from the Minister;

b. latest resume signed on sufficient stamp duty;

c. photocopy of the valid Identity Card;

d. latest color photograph with size 4x6 cm;

e. photocopy of the Taxpayer Identification Number;

f. photocopy of the certification program certificate as referred to in Article 3 paragraph (3) letter c and/or Article 3 paragraph (4);

g. photocopy of the notarized cooperation agreement regarding the PA as a Partner in a partnership PAF or license as a sole proprietorship business PAF registered with the Financial Services Authority;

h. a statement letter signed on sufficient stamp duty stating that the PA:

1. has never been subjected to administrative sanctions in the form of cancellation of the COR from the Financial Services Authority or previous authorities;

2. has never committed disgraceful acts and/or been sentenced for proven criminal offenses in the financial sector and is not listed in the list of non-performing loans or financing; and

3. does not hold multiple positions as referred to in Article 3 paragraph (3) letter a.

(2) PAF registration applications submitted to the Financial Services Authority as referred to in Article 3 paragraph (2) and paragraph (5) must be accompanied by at least the following documents:

a. photocopy of the valid license from the Minister;

b. photocopy of the PAF establishment deed and its amendments;

c. photocopy of the Taxpayer Identification Number;