Financial Services Authority Regulation Number 66/POJK.04/2017 Concerning Legal Consultants Conducting Activities in the Capital Market — OJK — ID

COPY
FINANCIAL SERVICES AUTHORITY REGULATION
NUMBER 66 /POJK.04/2017
CONCERNING
LEGAL CONSULTANTS CONDUCTING ACTIVITIES IN THE CAPITAL MARKET BY THE GRACE OF GOD THE ALMIGHTY THE COMMISSIONERS OF THE FINANCIAL SERVICES AUTHORITY,

Considering:
a. that legal consultants play a major role as supporters of activities in the capital market field, so the independence, objectivity, and professionalism of legal consultants in carrying out their duties are required; b. that to maintain the independence, objectivity, and professionalism of legal consultants, the role of the Financial Services Authority to regulate, guide, and supervise legal consultants needs to be enhanced;
c. that based on considerations as referred to in letters a and b, it is necessary to establish a Financial Services Authority Regulation concerning Legal Consultants Conducting Activities in the Capital Market;

Recalling:

Law Number 8 of 1995 concerning the Capital Market (State Gazette of the Republic of Indonesia Year 1995 Number 64, Supplement to the State Gazette of the Republic of Indonesia Number 3608);
Law Number 21 of 2011 concerning the Financial Services Authority (State Gazette of the Republic of Indonesia Year 2011 Number 111, Supplement to the State Gazette of the Republic of Indonesia Number 5253);

DECIDES:
Establish: FINANCIAL SERVICES AUTHORITY REGULATION CONCERNING LEGAL CONSULTANTS CONDUCTING ACTIVITIES IN THE CAPITAL MARKET.

CHAPTER I
GENERAL PROVISIONS

Article 1
In this Financial Services Authority Regulation, the following terms are defined as:

Legal Consultant is a legal expert who provides legal opinions to other parties conducting activities in the capital market field and is registered with the Financial Services Authority.
Capital Market Legal Consultants Association, hereinafter abbreviated as HKHPM, is a professional organization of Legal Consultants conducting activities in the capital market field.
Legal Consultant Office, hereinafter abbreviated as KKH, is a civil partnership or firm that serves as a venue for Legal Consultants in conducting their activities.
Professional Education is a basic education for Legal Consultants with material content of legislation in the capital market and other financial services fields, organized by HKHPM, other parties cooperating with HKHPM, or parties approved or recognized by the Financial Services Authority.
Continuing Professional Education is advanced education for Legal Consultants with material content of legislation in the capital market and other financial services fields, organized by HKHPM, other parties cooperating with HKHPM, or parties approved or recognized by the Financial Services Authority.
Periodic Report of Legal Consultant Activities is a report containing information about the activities of Legal Consultants in the capital market for 1 (one) year calculated from January 1 to December 31 or since registration with the Financial Services Authority if registered for less than 1 (one) year.
State Official is a state official as referred to in the Law concerning state civil apparatus.

CHAPTER II
REGISTRATION OF LEGAL CONSULTANTS

First Section
Registration Requirements for Legal Consultants

Article 2
Legal Consultants conducting activities in the capital market field must first be registered with the Financial Services Authority and meet the requirements as regulated in this Financial Services Authority Regulation.

Article 3
The registration requirements for Legal Consultants as referred to in Article 2 include:
a. Indonesian Citizens; b. holding a bachelor's degree in higher education law (Strata 1);
c. having good ethics and morals;
d. never having committed disgraceful acts and/or being sentenced for proven criminal offenses in the financial services field; e. holding the position of partner in a KKH that meets the following requirements:

led by a partner responsible for legal due diligence and legal opinions;
in conducting legal due diligence, applying at least 2 (two) levels of control, namely Legal Consultants responsible for signing reports and intermediate supervisors who supervise implementing staff;
having and applying quality control systems in conducting legal due diligence and providing legal opinions; and
for KKHs that only have 1 (one) Legal Consultant partner, to be able to conduct activities in the capital market, it is required to make a cooperation agreement with another KKH that has Legal Consultant partners regarding the transfer of responsibility if the respective Legal Consultant is unable to carry out their duties;
f. members of HKHPM; g. never having been subjected to administrative sanctions in the form of cancellation of the registration certificate by the Financial Services Authority; h. having expertise in the capital market field fulfilled through the Professional Education program with a minimum of 30 (thirty) professional credit units; and
i. not being a member and/or working concurrently in any position in another KKH and/or other capital market supporting professions registered with the Financial Services Authority.

Second Section
Registration Documents for Legal Consultants

Article 4
The application for registration of Legal Consultants as a capital market supporting profession is submitted to the Financial Services Authority using the Application Form for Registration of Legal Consultants as Capital Market Supporting Professions as contained in the Appendix which is an integral part of this Financial Services Authority Regulation.

Article 5
The registration application as referred to in Article 4 is accompanied by the following documents:
a. documents concerning Legal Consultants:
1. photocopy of a still valid identity card;
2. photocopy of the taxpayer identification number in the name of the respective Legal Consultant;
3. latest 4x6 cm color photograph with a red background, 1 (one) sheet;
4. photocopy of membership card in HKHPM;
5. photocopy of bachelor's degree certificate with higher education law background (Strata 1) that has been legalized; and
6. photocopy of Professional Education certificate; and
7. a statement letter with sufficient stamp duty, drafted using the format of the Legal Consultant Statement Letter as contained in the Appendix which is an integral part of this Financial Services Authority Regulation, stating that the Legal Consultant:
a) has never committed disgraceful acts and/or been sentenced for proven criminal offenses in the financial services field; b) is willing to act independently, objectively, and professionally in conducting activities in the capital market; c) is not a member and/or working concurrently in any position in another KKH and/or other capital market supporting professions registered with the Financial Services Authority; and d) has never been subjected to administrative sanctions in the form of cancellation of the registration certificate by the Financial Services Authority; and b. documents concerning KKH:
1. photocopy of the KKH establishment deed along with its latest amendments;
2. photocopy of the taxpayer identification number in the name of the KKH;
3. cooperation agreement letter between the Legal Consultant and the Legal Consultant who is a partner in another KKH regarding the transfer of responsibility if the respective Legal Consultant is unable to carry out their duties, for KKHs that only have 1 (one) Legal Consultant partner;
4. KKH organizational chart showing the leadership, partner composition, intermediate supervisors, and implementing staff;
5. KKH domicile certificate from the competent authority and still valid; and
6. a statement letter with sufficient stamp duty signed by the KKH partner leader stating that the KKH will conduct activities in accordance with the provisions of legislation in the capital market sector and other applicable regulations.

Third Section
Review of Registration Applications for Legal Consultants Conducting Activities in the Capital Market

Article 6
In the context of reviewing registration applications for Legal Consultants conducting activities in the capital market, if necessary, the Financial Services Authority may request additional documents to support the fulfillment of requirements as referred to in Article 5.

Article 7
In the event that the registration application as referred to in Article 4 meets the requirements, within a maximum of 45 (forty-five) days since the receipt of the complete application, the Financial Services Authority establishes a certificate of registration as a capital market supporting profession in the name of the applicant.

Article 8
(1) In the event that the registration application as referred to in Article 4 does not meet the requirements, within a maximum of 45 (forty-five) days since the receipt of the application, the Financial Services Authority provides a notification letter to the applicant stating that:
a. the registration application is incomplete; or b. the registration application is rejected because it does not meet the requirements.
(2) In the event that the Financial Services Authority does not provide a notification letter to the applicant within the time period as referred to in paragraph (1), the registration application as referred to in Article 4 is deemed to have met the requirements.

Article 9
Applicants who do not complete the required document deficiencies and/or document deficiencies are not accepted by the Financial Services Authority within 45 (forty-five) days after the date of the notification letter, as referred to in Article 8 paragraph (1) letter a, are deemed to have cancelled the submitted Legal Consultant registration application, and the applicant may submit a new application.

Article 10
Documents submitted to the Financial Services Authority become the property of the Financial Services Authority.

CHAPTER III
VALIDITY PERIOD AND RE-REGISTRATION OF LEGAL CONSULTANT REGISTRATION CERTIFICATES

Article 11
(1) The certificate of registration as a capital market supporting profession for Legal Consultants has a validity period of 5 (five) years and a re-registration application may be submitted.
(2) In the event that Legal Consultants will submit a re-registration application for the certificate of registration as a capital market supporting profession, the respective Legal Consultants must first fulfill all obligations based on legislation in the financial services sector and/or decisions of the Financial Services Authority that have not been fulfilled. (3) Legal Consultants who submit a re-registration application and have fulfilled all obligations as referred to in paragraph (2) will receive a new certificate of registration as a capital market supporting profession with a validity period of 5 (five) years.

Article 12
(1) The re-registration application for the certificate of registration as a capital market supporting profession as referred to in Article 11 paragraph (2) is submitted to the Financial Services Authority with the condition that the re-registration application for the certificate of registration as a capital market supporting profession is accepted by the Financial Services Authority:
a. at the earliest 90 (ninety) days before the validity period of the certificate of registration as a capital market supporting profession expires; and b. at the latest 90 (ninety) days after the validity period of the certificate of registration as a capital market supporting profession expires. (2) The re-registration application for the certificate of registration as a capital market supporting profession as referred to in paragraph (1) is submitted using the Application Form for Re-registration of Certificate of Registration as a Capital Market Supporting Profession as contained in the Appendix which is an integral part of this Financial Services Authority Regulation.

Article 13
In the event that the validity period of the certificate of registration as a capital market supporting profession for Legal Consultants has expired, Legal Consultants cannot conduct activities in the capital market field until the Financial Services Authority issues a certificate of registration as a capital market supporting profession.

Article 14
In addition to the conditions as referred to in Article 13, Legal Consultants cannot conduct activities in the capital market if the following conditions occur:
a. the certificate of registration as a capital market supporting profession is cancelled by the Financial Services Authority; and/or b. currently under a sanction of suspension of the certificate of registration as a capital market supporting profession.

Article 15
(1) In the event that the Financial Services Authority approves the re-registration application for the certificate of registration as a capital market supporting profession as referred to in Article 11 paragraph (3), the Financial Services Authority issues a new certificate of registration as a capital market supporting profession within a maximum of 25 (twenty-five) working days. (2) In the event that the re-registration application for the certificate of registration as a capital market supporting profession as referred to in Article 11 does not meet the requirements, within a maximum of 25 (twenty-five) working days since the receipt of the application, the Financial Services Authority provides a notification letter to the applicant stating that:
a. the re-registration application is incomplete; or b. the re-registration application is rejected because it does not meet the requirements for re-registration.
(3) Applicants who do not complete the required document deficiencies and/or documents are not accepted by the Financial Services Authority within 45 (forty-five) days after the date of the notification letter as referred to in paragraph (2) letter a, are deemed to have cancelled the submitted re-registration application for the certificate of registration as a capital market supporting profession.

Article 16
(1) Legal Consultants are deemed to have resigned as Legal Consultants registered with the Financial Services Authority if:
a. Legal Consultants do not submit a re-registration application as referred to in Article 11 paragraph (1); or b. the submission of the re-registration application does not meet the requirements as referred to in Article 11 paragraph (2), within a maximum period of 90 (ninety) days after the expiration of the validity period of the certificate of registration as a capital market supporting profession. (2) In the event that Legal Consultants are deemed to have resigned, the Financial Services Authority cancels the certificate of registration as a capital market supporting profession. (3) The provisions as referred to in paragraph (1) letter a do not apply to Legal Consultants whose certificate of registration as a capital market supporting profession has been declared temporarily inactive by the Financial Services Authority because they are appointed as State Officials.

CHAPTER IV
OBLIGATIONS AND PROHIBITIONS FOR LEGAL CONSULTANTS CONDUCTING ACTIVITIES IN THE CAPITAL MARKET

First Section
Obligations of Legal Consultants Conducting Activities in the Capital Market

Article 17
(1) Legal Consultants who have been registered with the Financial Services Authority are obligated to:
a. abide by the code of ethics and professional standards for Legal Consultants drafted by HKHPM; b. act independently, objectively, and professionally in carrying out their duties;
c. attend Continuing Professional Education with a minimum of 5 (five) professional credit units each year in 1 (one) session;
d. submit to the Financial Services Authority the Periodic Report of Legal Consultant Activities no later than January 15 of the following year; e. report to the Financial Services Authority any changes in data and information of Legal Consultants and/or KKH accompanied by supporting documents no later than 10 (ten) working days after the change occurs, covering the following matters:

transfer to another KKH;
leaving the KKH where the Legal Consultant works;
status as a State Official;
change of KKH name; and/or
change of KKH address; and/or
change of KKH leader name;
f. conduct legal due diligence and provide legal opinions in accordance with HKHPM professional standards or other customary legal due diligence standards and legal opinion standards, as long as they are not regulated in the professional standards drafted by HKHPM; and g. respond to summons and/or undergo examination by the Financial Services Authority regarding compliance with legislation in the capital market sector. (2) In the event that January 15 as referred to in paragraph (1) letter d falls on a holiday, the report is submitted no later than 1 (one) working day following it. (3) Legal Consultants are declared to have late submission of the Periodic Report of Legal Consultant Activities if the report is submitted after the deadline for report submission as referred to in paragraph (1) letter d or paragraph (2) up to 30 (thirty) days following. (4) Legal Consultants are declared to have late submission of the change of data and information report from Legal Consultants and/or KKH if the report is submitted after the deadline for report submission as referred to in paragraph (1) letter e up to 30 (thirty) days following. (5) In the event that Legal Consultants submit the Periodic Report of Legal Consultant Activities past the deadline as referred to in paragraph (2), the calculation of the number of days of delay in submitting the Periodic Report of Legal Consultant Activities is calculated from the first day after the deadline for submission as referred to in paragraph (2). (6) Legal Consultants are declared to have not submitted the Periodic Report of Legal Consultant Activities as referred to in paragraph (1) letter d if the report has not been submitted after the deadline for report submission delay as referred to in paragraph (3). (7) Legal Consultants are declared to have not submitted the change of data and information report from Legal Consultants and/or KKH as referred to in paragraph (1) letter e if the report has not been submitted after the deadline for report submission delay as referred to in paragraph (4).

Article 18
The obligations as referred to in Article 17 paragraph (1) letter c begin to apply for the following year since Legal Consultants obtain the certificate of registration as a capital market supporting profession from the Financial Services Authority.

Article 19
If Continuing Professional Education is not held within a 1 (one) year period, the Financial Services Authority may establish other provisions.

Article 20
(1) Reports as referred to in Article 17 paragraph (1) letter d and letter e must be submitted in printed document form.
(2) Reports as referred to in Article 17 paragraph (1) letter d must be submitted using the format of the Periodic Report of Legal Consultant Activities in the Capital Market as contained in the Appendix which is an integral part of this Financial Services Authority Regulation.

Second Section
Prohibitions for Legal Consultants Conducting Activities in the Capital Market

Article 21
Legal Consultants who have been registered with the Financial Services Authority are prohibited from:
a. transferring responsibility for capital market assignments to other parties not registered with the Financial Services Authority; and/or b. being a member and/or working concurrently in any position in another KKH and/or other capital market supporting professions registered with the Financial Services Authority.

CHAPTER V
APPLICATIONS FOR TEMPORARY NON-ACTIVITY IN CAPITAL MARKET ACTIVITIES (TEMPORARY INACTIVITY)

Article 22
(1) In the event that Legal Consultants intend to be temporarily inactive for a minimum period of 1 (one) year, Legal Consultants must first submit a request letter to the Financial Services Authority stating the period of temporary inactivity. (2) Legal Consultants who have been subjected to administrative sanctions from the Financial Services Authority in the form of suspension of the certificate of registration as a capital market supporting profession cannot submit a temporary inactivity application as referred to in paragraph (1). (3) The period of temporary inactivity submitted to the Financial Services Authority is a maximum of 5 (five) years including extensions or until the validity period of the certificate of registration as a capital market supporting profession expires. (4) Legal Consultants who will extend the period of temporary inactivity must submit a request letter to the Financial Services Authority no later than 10 (ten) working days before the temporary inactivity period ends, accompanied by reasons. (5) Legal Consultants who will shorten the period of temporary inactivity must submit a request letter to the Financial Services Authority no later than 10 (ten) working days before the date of the new temporary inactivity period ends, accompanied by reasons. (6) In the event that the application as referred to in paragraph (1) is approved by the Financial Services Authority, the certificate of registration as a capital market supporting profession in the name of the respective Legal Consultant will be declared temporarily inactive by providing a notification letter. (7) In the event that the application as referred to in paragraph (1), paragraph (4), or paragraph (5) is not approved, the Financial Services Authority will provide a notification letter.

Article 23
Legal Consultants who are currently temporarily inactive as referred to in Article 22 paragraph (6):
a. are prohibited from conducting activities in the capital market; and b. are exempted from the obligations as referred to in Article 17 paragraph (1) letter c, letter d, and letter e until the end of the temporary inactivity period.

Article 24
In the event that Legal Consultants shorten the period of temporary inactivity as referred to in Article 22 paragraph (5), so that the period of temporary inactivity becomes less than 1 (one) year, the exemption as referred to in Article 23 letter b becomes invalid.

Article 25
In the event that Legal Consultants who are currently temporarily inactive as referred to in Article 22 paragraph (6) will resume activities in the capital market, Legal Consultants:
a. submit a request letter to the Financial Services Authority using the Active Again Application Form as contained in the Appendix which is an integral part of this Financial Services Authority Regulation; and b. report the list of changes in data and information from Legal Consultants and/or KKH accompanied by supporting evidence, if any.

Article 26
The certificate of registration as a capital market supporting profession for Legal Consultants who are currently temporarily inactive will be declared active again by the Financial Services Authority by providing a notification letter, if the requirements as referred to in Article 25 have been met.

CHAPTER VI
RESIGNATION OF LEGAL CONSULTANTS AS CAPITAL MARKET SUPPORTING PROFESSIONS

Article 27
In the event that Legal Consultants will resign, Legal Consultants are obligated to submit a request letter for cancellation of the certificate of registration as a capital market supporting profession using the Application Form for Cancellation of Certificate of Registration as contained in the Appendix which is an integral part of this Financial Services Authority Regulation.

Article 28
In the event that the Financial Services Authority has approved the request for cancellation of the certificate of registration as a capital market supporting profession:
a. the certificate of registration as a capital market supporting profession in the name of the respective Legal Consultant is cancelled and declared invalid; and b. the respective Legal Consultant is prohibited from conducting activities in the capital market since the date of the decision letter for cancellation of the certificate of registration as a capital market supporting profession.

CHAPTER VII
OTHER PROVISIONS

Article 29
(1) Legal Consultants who are appointed and/or established as State Officials:
a. submit notification regarding appointment or establishment as State Officials as referred to in Article 17 paragraph (1) letter e number 3;

b. the certificate of registration for capital market supporting professions in the name of the relevant Legal Consultant is declared temporarily inactive by the Financial Services Authority by means of a notification letter, and the Legal Consultant is prohibited from conducting activities in the capital market; and
c. is exempted from the obligations referred to in Article 17 paragraph (1) letter c, letter d, and letter e.
(2) Legal Consultants who no longer hold office as State Officials and will resume activities in the capital market are required to comply with the provisions referred to in Article 25.
(3) The obligations referred to in Article 17 paragraph (1) letter c and letter d must be fulfilled in the following year.
(4) In the event that the validity period of the certificate of registration for capital market supporting professions for Legal Consultants who no longer hold office as State Officials as referred to in paragraph (2) has expired, the submission of the application for reactivation as referred to in Article 25 must be submitted no later than 90 (ninety) days since the Legal Consultant ceased to hold office as a State Official. (5) The Financial Services Authority issues a new certificate of registration for capital market supporting professions for Legal Consultants who have fulfilled the provisions as referred to in paragraph (4). (6) The certificate of registration for capital market supporting professions as referred to in paragraph (5) has the same validity period as the remaining validity period of the certificate of registration for capital market supporting professions at the time the Legal Consultant was declared temporarily inactive by the Financial Services Authority due to being appointed as a State Official.

(7) To be able to conduct activities in the Capital Market again, Legal Consultants who do not meet the provisions as referred to in paragraph (4) must first obtain a new certificate of registration for capital market supporting professions by submitting a registration application as referred to in Article 4 and documents as referred to in Article 5 to the Financial Services Authority.
Article 30
(1) In the event that the Financial Services Authority has provided an electronic system, the submission of registration as referred to in Article 4, the application for re-registration as referred to in Article 11, and/or the reporting obligations as referred to in Article 17 paragraph (1) letter d and letter e must be submitted through such electronic system. (2) In the event that the electronic system, as referred to in paragraph (1), experiences technical disturbances or a force majeure situation occurs, the submission of registration as referred to in Article 4, the application for re-registration as referred to in Article 11, and/or the reporting obligations as referred to in Article 17 paragraph (1) letter d and letter e may be conducted in the form of printed documents.
CHAPTER VIII
SANCTION PROVISIONS
Article 31
(1) Without prejudice to criminal provisions in the field of capital markets, the Financial Services Authority is authorized to impose administrative sanctions on any party that violates the provisions of this Financial Services Authority Regulation, including parties causing the violation, in the form of:

a. written warning; b. fine, namely the obligation to pay a certain amount of money;
c. restriction of business activities;
d. suspension of business activities; e. revocation of business license; f. cancellation of approval; and/or g. cancellation of registration.
(2) Administrative sanctions as referred to in paragraph (1) letter b, letter c, letter d, letter e, letter f, or letter g may be imposed with or without prior imposition of administrative sanctions in the form of a written warning as referred to in paragraph (1) letter a. (3) Administrative sanctions in the form of a fine as referred to in paragraph (1) letter b may be imposed separately or together with the imposition of administrative sanctions as referred to in paragraph (1) letter c, letter d, letter e, letter f, or letter g.
Article 32
In addition to administrative sanctions as referred to in Article 31 paragraph (1), the Financial Services Authority may take certain actions against any party that violates the provisions of this Financial Services Authority Regulation.
Article 33
The Financial Services Authority may announce the imposition of administrative sanctions as referred to in Article 31 paragraph (1) and certain actions as referred to in Article 32 to the public.
Article 34
Legal Consultants who do not follow Continuing Professional Education as referred to in Article 17 paragraph (1) letter c for 2 (two) consecutive years are subject to administrative sanctions in the form of suspension of the certificate of registration for capital market supporting professions for 1 (one) year from the date of determination, or until the validity period of the certificate of registration for capital market supporting professions expires, in the event that the validity period of the certificate of registration for capital market supporting professions is less than 1 (one) year.
Article 35
Legal Consultants subject to administrative sanctions in the form of suspension of the certificate of registration for capital market supporting professions as referred to in Article 34, during the suspension period, are exempted from the obligations as referred to in Article 17 paragraph (1) letter c, letter d, and letter e.
Article 36
(1) Legal Consultants declared late in submitting:
a. Periodic Report on Legal Consultant Activities as referred to in Article 17 paragraph (3); and/or b. report on changes in data and information related to Legal Consultants and/or Law Firms as referred to in Article 17 paragraph (4), are subject to administrative sanctions in the form of a fine as referred to in Article 31 paragraph (1) 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) Legal Consultants declared not to have submitted:
a. Periodic Report on Legal Consultant Activities as referred to in Article 17 paragraph (6); and/or b. report on changes in data and information related to Legal Consultants and/or Law Firms as referred to in Article 17 paragraph (7), are subject to administrative sanctions in the form of a fine as referred to in Article 31 paragraph (1) letter b, each amounting to IDR 5,000,000.00 (five million rupiah) per report. (3) For Legal Consultants who have not submitted reports, in addition to being subject to administrative sanctions in the form of a fine as referred to in paragraph (2), they remain obligated to submit reports as referred to in Article 17 paragraph (1) letter d and/or letter e.
Article 37
Legal Consultants who no longer hold the position of partner or no longer have the authority to bind themselves to third parties on behalf of a Law Firm cannot conduct activities in the capital market.
CHAPTER IX
TRANSITIONAL PROVISIONS
Article 38
Applications for registration to become Legal Consultants that have been submitted to the Financial Services Authority before this Financial Services Authority Regulation comes into force and are still in the process of resolution, shall continue to be processed based on the provisions of Regulation Number VIII.B.1, appendix of the Decision of the Chairman of the Capital Market Supervisory Board Number Kep-16/BL/2017 concerning Registration of Legal Consultants Engaged in Capital Market Activities.
Article 39
(1) Legal Consultants who have been registered before this Financial Services Authority Regulation comes into force but have not yet met the requirements as referred to in Article 3, are required to:

a. meet the requirements and submit supporting document evidence to the Financial Services Authority no later than 1 (one) year since this Financial Services Authority Regulation was promulgated; and b. first fulfill all obligations based on financial services sector legislation and/or Financial Services Authority decisions that have not yet been fulfilled. (2) Legal Consultants who have been registered before this Financial Services Authority Regulation comes into force and have met the requirements as referred to in Article 3, before this Financial Services Authority Regulation comes into force, are required to:
a. submit an application for re-registration to the Financial Services Authority using the Re-registration Form as a Legal Consultant Engaged in Capital Market Activities as contained in the Appendix which is an integral part of this Financial Services Authority Regulation no later than 1 (one) year since this Financial Services Authority Regulation was promulgated; and b. first fulfill all obligations based on financial services sector legislation and/or Financial Services Authority decisions that have not yet been fulfilled.
Article 40
In the event that Legal Consultants do not submit an application for re-registration and fulfill obligations as referred to in Article 39 paragraph (2) or have not met the requirements, submit supporting documents and fulfill obligations as referred to in Article 39 paragraph (1) to the Financial Services Authority within the time limit as referred to in Article 39, the Legal Consultants in question are deemed to have resigned and the certificate of registration for capital market supporting professions in the name of such Legal Consultants will be cancelled.
Article 41
In the event that Legal Consultants have submitted an application for re-registration to the Financial Services Authority and fulfilled obligations as referred to in Article 39 paragraph (2) or have met the requirements, submitted supporting documents and fulfilled obligations as referred to in Article 39 paragraph (2), the Financial Services Authority will issue a replacement certificate of registration for capital market supporting professions.
Article 42
The obligation to submit the Periodic Report on Legal Consultant Activities as referred to in Article 17 paragraph (1) letter d comes into force 1 (one) year since this Financial Services Authority Regulation was promulgated.
CHAPTER X
CLOSING PROVISIONS
Article 43
At the time this Financial Services Authority Regulation comes into force, the Decision of the Chairman of the Capital Market Supervisory Board Number Kep-16/BL/2011 concerning Registration of Legal Consultants Engaged in Capital Market Activities together with Regulation Number VIII.B.1 which is its appendix, is revoked and declared invalid.
Article 44
This Financial Services Authority Regulation comes into force on the date of promulgation.

This copy is in accordance with the original
Legal Director 1
Legal Department signed
Yuliana
To ensure that everyone knows it, it is ordered to promulgate this Financial Services Authority Regulation by placing it in the State Journal of the Republic of Indonesia.
Determined in Jakarta on 21 December 2017
CHAIRMAN OF THE BOARD OF COMMISSIONERS
FINANCIAL SERVICES AUTHORITY, signed
WIMBOH SANTOSO
Promulgated in Jakarta on 22 December 2017
MINISTER OF LAW AND HUMAN RIGHTS
REPUBLIC OF INDONESIA, signed
YASONNA H. LAOLY
STATE JOURNAL OF THE REPUBLIC OF INDONESIA YEAR 2017 NUMBER 287

EXPLANATION
OF
FINANCIAL SERVICES AUTHORITY REGULATION
NUMBER 66 /POJK.04/2017
CONCERNING
LEGAL CONSULTANTS ENGAGED IN CAPITAL MARKET ACTIVITIES
I. GENERAL
Legal Consultants engaged in capital market activities are legal experts who provide legal opinions to other parties and are registered with the Financial Services Authority. Legal Consultants engaged in capital market activities are required to meet requirements as regulated in legislation governing Legal Consultants applicable at the Financial Services Authority. Legal Consultants play an important role in capital market activities, among others when a company will conduct a public offering or corporate action (corporate action) conducted by an issuer or public company. The role of Legal Consultants involves conducting legal audits and providing legal opinions. Considering the significant role of Legal Consultants, Legal Consultants are required to always be independent, objective, and professional so that Legal Consultants can meet the needs of service users and uphold public trust, especially in the capital market sector and in other financial services sectors in general. To meet these demands and enhance the independence, objectivity, and professionalism of Legal Consultants in performing their duties, Legal Consultants are required to follow Continuing Professional Education, submit changes to data and information related to Legal Consultants and/or Law Firms, and report activities conducted in the capital market sector to the Financial Services Authority. This is in line with the mandate of Law Number 8 of 1995 concerning Capital Markets and Law Number 21 of 2011 concerning the Financial Services Authority. In relation to the above, it is necessary to replace the legislation governing Legal Consultants engaged in capital market activities issued before the establishment of the Financial Services Authority with a Financial Services Authority Regulation, with the aim of supporting the development, regulation, and supervision of the Financial Services Authority over Legal Consultants and the equality of regulation for other capital market supporting professions to realize orderly, fair, and efficient capital market activities and protect the interests of investors and the public.
II. ARTICLE BY ARTICLE
Article 1
Sufficiently clear.
Article 2
Sufficiently clear.
Article 3
Letter a
Sufficiently clear.
Letter b
Sufficiently clear.
Letter c
Sufficiently clear.
Letter d
Sufficiently clear.

Letter e
Sufficiently clear.
Letter f
Sufficiently clear.
Letter g
The term "Financial Services Authority" also includes the Capital Market Supervisory Board and Financial Institutions before the transfer of functions, duties, and authorities for regulation and supervision of financial services activities in the Capital Market sector from the Capital Market Supervisory Board and Financial Institutions to the Financial Services Authority based on Law Number 21 of 2011 concerning the Financial Services Authority. Letter h The determination of the material and number of professional credit units from the implementation of Professional Education and the submission of participant recapitulation data for Professional Education is done based on coordination between HKHPM and the Financial Services Authority. Letter i Sufficiently clear.
Article 4
Sufficiently clear.
Article 5
Letter a
Number 1
Sufficiently clear.
Number 2
Sufficiently clear.
Number 3
Sufficiently clear.
Number 4
Sufficiently clear.
Number 5
Sufficiently clear.

Number 6
Sufficiently clear.
Number 7
Letter a
Sufficiently clear.
Letter b
Sufficiently clear.
Letter c
Sufficiently clear.
Letter d
The term "Financial Services Authority" also includes the Capital Market Supervisory Board and Financial Institutions before the transfer of functions, duties, and authorities for regulation and supervision of financial services activities in the Capital Market sector from the Capital Market Supervisory Board and Financial Institutions to the Financial Services Authority based on Law Number 21 of 2011 concerning the Financial Services Authority. Letter b Number 1 Sufficiently clear. Number 2 Sufficiently clear. Number 3 Sufficiently clear. Number 4 The term "Financial Services Authority" also includes the Capital Market Supervisory Board and Financial Institutions before the transfer of functions, duties, and authorities for regulation and supervision of financial services activities in the Capital Market sector from the Capital Market Supervisory Board to the Financial Services Authority based on Law Number 21 of 2011 concerning the Financial Services Authority.

Article 6
Sufficiently clear
Article 7
Sufficiently clear.
Article 8
Sufficiently clear.
Article 9
Sufficiently clear.
Article 10
Sufficiently clear.
Article 11
Paragraph (1)
The calculation of the validity period of the certificate of registration for capital market supporting professions for 5 (five) years mentioned includes the period during which Legal Consultants do not conduct activities in the capital market temporarily (inactive) as referred to in Article 22. Paragraph (2) The term "all obligations based on financial services sector legislation and/or Financial Services Authority decisions that have not yet been fulfilled" includes, among others:

obligation to pay fines for administrative sanctions not yet fulfilled;
obligation to fulfill Continuing Professional Education; and/or
obligation to pay levies.
Paragraph (3)
Sufficiently clear.

Article 12
Sufficiently clear.
Article 13
Sufficiently clear.
Article 14
Sufficiently clear.
Article 15
Sufficiently clear.
Article 16
Sufficiently clear.
Article 17
Paragraph (1)
Letter a
Sufficiently clear.
Letter b
Sufficiently clear.
Letter c
The determination of the material and number of professional credit units from the implementation of Continuing Professional Education and the submission of participant recapitulation data for Continuing Professional Education is done based on coordination between HKHPM and the Financial Services Authority. Letter d Activities reported in the Periodic Report on Legal Consultant Activities are only activities conducted in the field of capital markets. In the event that there are no activities in the field of capital markets in the reporting year, the Periodic Report on Legal Consultant Activities explains that the Legal Consultant has no activities in the field of capital markets in that year.

Letter e
Sufficiently clear.
Letter f
Sufficiently clear.
Letter g
Sufficiently clear.
Paragraph (2)
Sufficiently clear.
Paragraph (3)
Sufficiently clear.
Paragraph (4)
Sufficiently clear.
Paragraph (5)
In the event that January 15, which is the deadline for submitting the Periodic Report on Legal Consultant Activities, falls on a Saturday, Legal Consultants are required to submit the report no later than 1 (one) working day thereafter, namely Monday. In the event that Legal Consultants submit the Periodic Report on Legal Consultant Activities after the deadline of the next working day, namely Monday, for example submitted on Wednesday, then the calculation of the delay in submitting the report is calculated from Tuesday. Thus, Legal Consultants have delayed the submission of the Periodic Report on Legal Consultant Activities for 2 (two) days. Paragraph (6) Sufficiently clear. Paragraph (7) Sufficiently clear.
Article 18
Sufficiently clear.
Article 19
Sufficiently clear.

Article 20
Sufficiently clear.
Article 21
Sufficiently clear.
Article 22
Paragraph (1)
Sufficiently clear.
Paragraph (2)
Sufficiently clear.
Paragraph (3)
Sufficiently clear.
Paragraph (4)
For example:
Legal Consultant A has submitted an application for temporary inactivity to the Financial Services Authority for 3 (three) years from June 1, 2016 to June 1, 2019.
If Legal Consultant A wants to extend the period of temporary inactivity by one year to June 1, 2020, then Legal Consultant A must submit a notification letter to the Financial Services Authority no later than May 18, 2019 (10 working days before June 1, 2019). Paragraph (5) For example:
Legal Consultant A has submitted an application for temporary inactivity to the Financial Services Authority for 3 (three) years from June 1, 2016 to June 1, 2019.
If Legal Consultant A wants to shorten the period of temporary inactivity before June 1, 2019 to June 1, 2018, then Legal Consultant A must submit a notification letter to the Financial Services Authority no later than May 18, 2018 (10 working days before June 1, 2018).

Paragraph (6)
Sufficiently clear.
Paragraph (7)
Sufficiently clear.
Article 23
Sufficiently clear.
Article 24
Sufficiently clear.
Article 25
Sufficiently clear.
Article 26
Sufficiently clear.
Article 27
Sufficiently clear.
Article 28
Sufficiently clear.
Article 29
Paragraph (1)
Sufficiently clear.
Paragraph (2)
Sufficiently clear.
Paragraph (3)
Sufficiently clear.
Paragraph (4)
Sufficiently clear.
Paragraph (5)
Sufficiently clear.

Paragraph (6)
Legal Consultant A received the certificate of registration for capital market supporting professions in January 2015.
The certificate of registration for capital market supporting professions is valid until January 2020.
In August 2018, Legal Consultant A was appointed as a State Official and submitted a notification regarding the appointment or determination as a State Official to the Financial Services Authority, which was subsequently declared temporarily inactive by the Financial Services Authority when the remaining validity period of the certificate of registration for capital market supporting professions was still 1 year and 5 months. Legal Consultant A ceased to be a State Official in August 2023 and submitted an application for reactivation in September 2023 (less than 90 (ninety) days since Legal Consultant A ceased to hold office as a State Official). The Financial Services Authority will issue a new certificate of registration for capital market supporting professions to Legal Consultant A with a validity period until February 2025. Paragraph (7) Sufficiently clear.
Article 30
Sufficiently clear.
Article 31
Sufficiently clear.
Article 32
Sufficiently clear.
Article 33
Sufficiently clear.

Article 34
Sufficiently clear.
Article 35
Sufficiently clear.
Article 36
Sufficiently clear.
Article 37
Sufficiently clear.
Article 38
Sufficiently clear.
Article 39
Paragraph (1)
Letter a
Sufficiently clear.
Letter b
The term "all obligations based on financial services sector legislation and/or Financial Services Authority decisions that have not yet been fulfilled" includes, among others:

Obligation to pay fines for administrative sanctions not yet fulfilled;
Obligation to fulfill Continuing Professional Education; and/or
Obligation to pay levies.
Paragraph (2)
The term "supporting documents" refers to photocopies of HKHPM membership cards, letters of confirmation from the partner's leadership stating that the Legal Consultant in question holds the position of partner, and photocopies of cooperation agreements with other Law Firms that have partner Legal Consultants regarding the transfer of responsibility if the Legal Consultant in question is unable to perform their duties (for Law Firms that only have 1 (one) partner Legal Consultant).
Article 40
Sufficiently clear.
Article 41
Sufficiently clear.
Article 42
Sufficiently clear.
Article 43
Sufficiently clear.
Article 44
Sufficiently clear.
SUPPLEMENT TO THE STATE JOURNAL OF THE REPUBLIC OF INDONESIA NUMBER 6155

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