Requirements and Procedures for Bank Examination

COPY
FINANCIAL SERVICES AUTHORITY REGULATION
NUMBER 41 /POJK.03/2017
CONCERNING
REQUIREMENTS AND PROCEDURES FOR BANK EXAMINATION BY THE GRACE OF THE ALMIGHTY GOD, THE COMMISSIONERS OF THE FINANCIAL SERVICES AUTHORITY, Considering:
a. that banks as business entities that collect and distribute public funds must be able to protect the interests of bank service users, as well as maintain healthy banking principles and systems; b. that in order to know and ensure that banks have protected public interests and maintained healthy banking principles and systems, a picture is needed regarding the strategic policies and business activities of banks that contain risks;
c. that in order to obtain a clear, complete, and accurate picture, examinations must be conducted on the strategic policies and business activities of banks that contain risks;
d. that in connection with the transfer of the functions, duties, and authority for the regulation and supervision of financial services in the banking sector from Bank Indonesia to the Financial Services Authority, it is necessary to re-regulate the requirements and procedures for bank examinations; e. that based on the considerations as referred to in letters a through d, it is necessary to establish a Financial Services Authority Regulation concerning the Requirements and Procedures for Bank Examinations; Recalling:

1. Law Number 7 of 1992 concerning Banking (State Gazette of the Republic of Indonesia Year 1992 Number 31, Supplement to the 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, Supplement to the State Gazette of the Republic of Indonesia Number 3790);
2. Law Number 21 of 2008 concerning Sharia Banking (State Gazette of the Republic of Indonesia Year 2008 Number 94, Supplement to the State Gazette of the Republic of Indonesia Number 4867);
3. 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);
   DECIDING:
   Establishing: FINANCIAL SERVICES AUTHABILITY REGULATION CONCERNING THE REQUIREMENTS AND PROCEDURES FOR BANK EXAMINATION.

CHAPTER I
GENERAL PROVISIONS
Article 1
In this Financial Services Authority Regulation, the following terms are meant:

1. Bank means Commercial Banks and People's Business Banks as referred to in Law Number 7 of 1992 concerning Banking as amended by Law Number 10 of 1998 concerning Amendments to Law Number 7 of 1992 concerning Banking, including branch offices of banks located outside the country as well as Sharia Banks and Sharia Business Units as referred to in Law Number 21 of 2008 concerning Sharia Banking.
2. Branch Office of a Bank Located Outside the Country means an office that directly or indirectly reports to the head office of the respective bank, and has an address and domicile in Indonesia.
3. Representative Office of a Bank Located Outside the Country means an office of a bank located outside the country that acts solely as a liaison between the bank located outside the country and its customers.
4. Related Party means a party that has a connection with the Bank as referred to in regulations regarding maximum credit limits for commercial banks, regulations regarding maximum credit limits for people's business banks, and regulations regarding maximum fund distribution limits for Sharia people's business banks.
5. Affiliated Party means an affiliated party as referred to in Law Number 7 of 1992 concerning Banking as amended by Law Number 10 of 1998 concerning Amendments to Law Number 7 of 1992 concerning Banking and Law Number 21 of 2008 concerning Sharia Banking;
6. Other Party means a party appointed by and on behalf of the Financial Services Authority and assessed to have the capability to conduct examinations.

CHAPTER II
PARTIES SUBJECT TO EXAMINATION
Article 2
The Financial Services Authority may conduct examinations against:
a. Banks; and/or b. Representative Offices of Banks Located Outside the Country.
Article 3
(1) In conducting examinations against Banks as referred to in Article 2 letter a, the Financial Services Authority may conduct examinations against:
a. parent companies of Banks; b. subsidiary companies of Banks;
c. Related Parties with Banks;
d. Affiliated Parties with Banks; and e. debtors of Banks.
(2) Examinations against parties as referred to in paragraph (1) are conducted in cases where there are indications that such parties:
a. receive funding from Banks; b. have a role in the operational activities of Banks;
c. take actions that cause losses to Banks;
d. receive unfair benefits from Banks; e. experience financial difficulties that can affect the performance of Banks; and/or f. other indications.
Article 4
(1) Examinations against Banks as referred to in Article 2 letter a consist of periodic examinations and ad hoc examinations.
(2) Examinations as referred to in paragraph (1) include examinations of the business activities of Banks, including supporting facilities and other matters related to the finances of Banks.
Article 5
(1) Examinations against Banks as referred to in Article 2 letter a may be conducted to:
a. obtain a comprehensive picture of the development of business and the financial condition of Banks, including detecting matters that can affect the health level or continuity of the Bank's business; b. obtain assurance regarding the truthfulness of reports submitted by Banks to the Financial Services Authority, reports published to the public, and other information;
c. ensure Bank compliance with Financial Services Authority Regulations, other laws and regulations, and Bank-established guidelines, regulations, and work procedures; and/or
d. investigate the truthfulness of allegations of criminal acts in the banking sector.
(2) Examinations against Representative Offices of Banks Located Outside the Country as referred to in Article 2 letter b are aimed at ensuring the compliance of Representative Offices of Banks Located Outside the Country with laws and regulations.
Article 6
(1) Banks, Representative Offices of Banks Located Outside the Country, and parties as referred to in Article 3 paragraph (1) are required to immediately show and/or provide to the examiners:
a. books, files, documents, notes, dispositions, memoranda, documents, electronic data, including copies; b. all information and explanations related to business activities, whether oral or written;
c. opportunities to research the existence and use of physical facilities related to business activities; and
d. other matters necessary for the examination.
(2) Banks, Representative Offices of Banks Located Outside the Country, and parties as referred to in Article 3 paragraph (1) are required to provide assistance to obtain the truthfulness of all information, documents, and explanations obtained by the examiners. (3) Banks, Representative Offices of Banks Located Outside the Country, and parties as referred to in Article 3 paragraph (1) and/or other parties are prohibited from hindering the examination process and influencing the opinions, assessments, or results of the examination team.

CHAPTER III
REQUIREMENTS FOR PARTIES CONDUCTING EXAMINATIONS
Article 7
(1) Other Parties that can conduct examinations must be in the form of a legal entity.
(2) Examinations are conducted by an examination team consisting of at least 2 (two) persons.
(3) The examination team as referred to in paragraph (2) may consist of:
a. Financial Services Authority employees appointed to conduct examinations; b. Other Parties appointed by the Financial Services Authority; or
c. a combination of Financial Services Authority employees and Other Parties.
Article 8
(1) Examination teams from Other Parties must meet the following requirements:
a. are not included in the Disqualified List as referred to in regulations regarding competence and propriety tests (fit and proper test); b. are not Affiliated Parties with the object being examined;
c. have good mental attitude, ethics, and high professional responsibility;
d. are independent, honest, and objective; e. are competent in their field and understand banking laws and regulations and other laws and regulations; and f. continuously participate in professional education programs in their respective fields. (2) The person in charge from Other Parties must meet the requirements as referred to in paragraph (1).
Article 9
(1) In the event that Other Parties are public accounting firms, public accounting firms must be registered with the Financial Services Authority, as referred to in Financial Services Authority regulations regarding the use of public accounting services and public accounting firms in financial services activities. (2) In addition to public accounting firms required to be registered with the Financial Services Authority as referred to in paragraph (1), public accountants conducting examinations must be registered with the Financial Services Authority, as referred to in Financial Services Authority regulations regarding the use of public accounting services and public accounting firms in financial services activities. (3) The head and majority of the examination team members from public accounting firms as referred to in paragraph (1) in addition to meeting the requirements as referred to in Article 8 paragraph (1) must:
a. have adequate knowledge of the banking industry; and b. have the ability to conduct examinations.
(4) The person in charge of the public accounting firm must meet the requirements as referred to in paragraph (1), paragraph (2), paragraph (3), and Article 8 paragraph (1).
Article 10
(1) In assigning Other Parties to conduct examinations, the Financial Services Authority issues a work order letter.
(2) The implementation of examinations by Other Parties as referred to in paragraph (1) must be carried out in accordance with the work order letter and terms of reference established by the Financial Services Authority, which is an integral part of the work order letter.
Article 11
(1) Examination teams submit an examination introduction letter from the Financial Services Authority to the party being examined.
(2) Banks, Representative Offices of Banks Located Outside the Country, or parties as referred to in Article 3 paragraph (1) must reject examination teams that will conduct examinations without submitting an examination introduction letter from the Financial Services Authority.
Article 12
(1) Before the end of the examination, the examination team confirms with the management of Banks, the head of Representative Offices of Banks Located Outside the Country, or the management of parties as referred to in Article 3 paragraph (1) the results of the examination. (2) If after the confirmation process as referred to in paragraph (1) there are still differences of opinion, the management of Banks, the head of Representative Offices of Banks Located Outside the Country, or the management of parties as referred to in Article 3 paragraph (1) may provide written explanations to the Financial Services Authority within 3 (three) working days after the end of the examination process.
Article 13
(1) After the examination process ends, the examination team prepares an examination results report.
(2) The Financial Services Authority submits the examination results report as referred to in paragraph (1) to Banks or Representative Offices of Banks Located Outside the Country.
(3) The examination results report as referred to in paragraph (1) is confidential.
(4) The use of the examination results report as referred to in paragraph (1) by parties outside Banks must be consulted and obtain prior approval from the Financial Services Authority.
Article 14
(1) Banks and Representative Offices of Banks Located Outside the Country are required to take improvement and/or refinement steps for matters found in the examination and report the improvements made to the Financial Services Authority. (2) If necessary, the Financial Services Authority may conduct examinations to ensure the truthfulness of the improvement reports as referred to in paragraph (1).

CHAPTER IV
EXAMINATIONS BY FOREIGN PARTIES
Article 15
(1) Examinations against Branch Offices of Banks Located Outside the Country by banking supervisory authorities in the home country or representing the banking supervisory authority in the home country of the head office of the respective Bank, may only be conducted after obtaining permission from the Financial Services Authority. (2) Requests for permission to the Financial Services Authority as referred to in paragraph (1) must be submitted in writing at least 14 (fourteen) days before the examination. (3) Approval or rejection of the permission request as referred to in paragraph (2) is given within 7 (seven) days from the date the complete request letter is received. (4) The Financial Services Authority may request that banking supervisory authorities in the home country or representing the banking supervisory authority in the home country of the head office of the respective Bank as referred to in paragraph (1), conduct examinations that also examine matters necessary for the Financial Services Authority. (5) The granting of examination permission for Branch Offices of Banks Located Outside the Country as referred to in paragraph (1) is conducted based on the principle of reciprocity.
Article 16
(1) Examinations against Branch Offices of Banks Located Outside the Country in Indonesia conducted by internal examiners or public accounting firms appointed by the head office of the respective Bank must be notified to the Financial Services Authority in advance. (2) Examinations against Banks whose shares are partially owned by banks located outside the countries, conducted by examiners appointed by the banks located outside the countries that are shareholders, must be notified to the Financial Services Authority in advance.
Article 17
(1) Examinations against Banks whose shares are partially owned by banks located outside the countries, conducted by banking supervisory authorities or representing the banking supervisory authority in the home country of the banks located outside the countries, may only be conducted after obtaining permission from the Financial Services Authority. (2) Requests for permission to the Financial Services Authority must be submitted in writing by the parties conducting examinations against Banks whose shares are partially owned by banks located outside the countries as referred to in paragraph (1), at least 14 (fourteen) days before the examination. (3) Approval or rejection of the permission request as referred to in paragraph (2) is given within 7 (seven) days from the date the complete request letter is received. (4) The granting of examination permission as referred to in paragraph (1) is conducted based on the principle of reciprocity.
Article 18
(1) Examination teams conducting examinations as referred to in Article 15, Article 16, and Article 17 must report and submit the results of the examinations to the Financial Services Authority immediately after the examination ends. (2) Branch Offices of Banks Located Outside the Country and/or Banks whose shares are partially owned by banks located outside the countries, examined by examination teams as referred to in paragraph (1), are required to submit the results of examinations by foreign parties to the Financial Services Authority immediately after the examination results are obtained.

CHAPTER V
BANK SECRECY
Article 19
(1) Other Parties, parties conducting examinations as referred to in Article 15, Article 16, and Article 17, and parties who know the results of examinations as referred to in Article 13, are required to keep confidential the information and data obtained during the examinations. (2) The obligation to keep confidential as referred to in paragraph (1) also applies to personnel assigned by Other Parties or parties as referred to in Article 15, Article 16, and Article 17.

CHAPTER VI
ADDRESSES FOR SUBMITTING REPORTS, NOTIFICATIONS, AND EXAMINATION PERMISSIONS
Article 20
Reports, notifications, and requests for examination permissions as regulated in this Financial Services Authority Regulation are submitted to the Financial Services Authority at the following addresses:
a. The relevant Bank Supervision Department or Sharia Banking Department, for Banks with headquarters or Branch Offices of Banks Located Outside the Country located in the Special Capital Region of Jakarta Province; or b. Regional Offices of the Financial Services Authority or local Financial Services Authority offices according to the area where the head office of the Bank is located.

CHAPTER VII
SANCTIONS
Article 21
(1) Parent companies as referred to in Article 3 paragraph (1) letter a that do not meet the requirements as referred to in Article 6 are subject to administrative sanctions in the form of written warnings, at most 2 (two) times, each with a grace period of 7 (seven) days, by the Financial Services Authority. (2) In the event that after being subject to administrative sanctions in the form of written warnings as referred to in paragraph (1), the parent company does not meet the requirements as referred to in Article 6, the Financial Services Authority orders the transfer of ownership of the parent company to other parties.
Article 22
(1) Subsidiary companies as referred to in Article 3 paragraph (1) letter b that do not meet the requirements as referred to in Article 6 are subject to administrative sanctions in the form of written warnings, at most 2 (two) times, each with a grace period of 7 (seven) days, by the Financial Services Authority. (2) In the event that after being subject to administrative sanctions in the form of written warnings as referred to in paragraph (1), the subsidiary company does not meet the requirements as referred to in Article 6, the Financial Services Authority orders the Bank to release ownership of the subsidiary company within 180 (one hundred eighty) days from the date of the last warning.
Article 23
(1) Debtors as referred to in Article 3 paragraph (1) letter e that do not meet the requirements as referred to in Article 6 are subject to administrative sanctions in the form of written warnings, at most 2 (two) times, each with a grace period of 7 (seven) days, by the Financial Services Authority. (2) In the event that after being subject to administrative sanctions in the form of written warnings as referred to in paragraph (1), the debtor does not meet the requirements as referred to in Article 6, the Financial Services Authority orders the Bank to:
a. not continue to provide facilities in any form to the debtor in question; b. not provide facilities in any form to the debtor in question; and/or
c. re-evaluate the quality classification of the debtor's facilities.
Article 24
(1) Members of the Board of Directors, members of the Board of Commissioners, heads of Branch Offices of Banks Located Outside the Country, heads of Representative Offices of Banks Located Outside the Country, and/or parties as referred to in Article 3 paragraph (1) that do not meet the requirements as referred to in Article 6 are subject to administrative sanctions in the form of written warnings, at most 2 (two) times, each with a grace period of 7 (seven) days, by the Financial Services Authority. (2) In the event that after being subject to administrative sanctions in the form of written warnings as referred to in paragraph (1), the members of the Board of Directors, members of the Board of Commissioners, heads of Branch Offices of Banks Located Outside the Country, heads of Representative Offices of Banks Located Outside the Country, and/or parties as referred to in Article 3 paragraph (1) do not meet the requirements as referred to in Article 6, the Financial Services Authority may impose administrative sanctions in the form of:
a. dismissal of members of the Board of Directors and/or members of the Board of Commissioners, and subsequently appointing and appointing temporary replacements until the General Meeting of Shareholders or General Meeting of Cooperative members appoint permanent replacements with the approval of the Financial Services Authority; b. re-evaluation of Financial Services Authority approval for appointments as heads of Branch Offices of Banks Located Outside the Country and/or heads of Representative Offices of Banks Located Outside the Country;
c. inclusion in the Disqualified List as referred to in regulations regarding competence and propriety tests (fit and proper test); and/or
d. recommending the revocation or cancellation of business licenses to the competent authorities.
Article 25
(1) Other Parties assessed by the Financial Services Authority as not carrying out their duties in accordance with the work order letter and terms of reference as referred to in Article 10, are subject to administrative sanctions in the form of written warnings by the Financial Services Authority. (2) In the event that after being subject to administrative sanctions in the form of written warnings, at most 2 (two) times, within a grace period of 3 (three) days, Other Parties as referred to in paragraph (1) do not meet the requirements as referred to in Article 10, the Financial Services Authority may impose administrative sanctions in the form of:
a. unilateral termination of employment without compensation; b. fines equal to the costs incurred for the completion of tasks by Other Parties;
c. recommending the revocation or cancellation of business licenses to the competent authorities; and/or
d. for public accountants and/or public accounting firms, removal from the list of public accountants and public accounting firms registered with the Financial Services Authority.
Article 26
Banks that do not submit reports on improvements and/or refinements for matters found in the examination as referred to in Article 14 paragraph (1) may be subject to administrative sanctions in the form of:
a. written warnings; b. reduction of the Bank's health level;
c. dismissal of members of the Board of Directors, and/or members of the Board of Commissioners, and subsequently appointing and appointing temporary replacements until the General Meeting of Shareholders or General Meeting of Cooperative members appoint permanent replacements with the approval of the Financial Services Authority; and/or
d. other administrative sanctions in accordance with laws and regulations.
Article 27
Branch Offices of Banks Located Outside the Country and/or Banks whose shares are partially owned by banks located outside the countries that do not submit reports on the results of examinations by foreign parties as referred to in Article 18 paragraph (2) after being subject to administrative sanctions in the form of written warnings, at most 2 (two) times, within a grace period of 7 (seven) days, may be subject to administrative sanctions in the form of:
a. dismissal of members of the Board of Directors and/or members of the Board of Commissioners, and subsequently appointing and appointing temporary replacements until the General Meeting of Shareholders or General Meeting of Cooperative members appoint permanent replacements with the approval of the Financial Services Authority; b. re-evaluation of Financial Services Authority approval for appointments as heads of Branch Offices of Banks Located Outside the Country;
c. inclusion in the Disqualified List as referred to in regulations regarding competence and propriety tests (fit and proper test); and/or

d. other administrative sanctions in accordance with applicable laws and regulations.

Article 28

Parties that fail to comply with the provisions as referred to in Article 19 are subject to administrative sanctions in the form of:
a. a recommendation for the revocation or cancellation of business licenses to the competent authority; b. for public accountants and public accounting firms, removal from the list of registered public accountants and public accounting firms with the Financial Services Authority; and/or
c. other administrative sanctions in accordance with applicable laws and regulations.

CHAPTER VIII
FINAL PROVISIONS

Article 29

Upon the effective date of this Financial Services Authority Regulation, Bank Indonesia Regulation No. 2/6/PBI/2000 concerning Requirements and Procedures for Bank Examination (State Gazette of the Republic of Indonesia Year 2000 Number 19, Supplement to the State Gazette of the Republic of Indonesia Number 3933) is revoked and declared invalid.

Article 30

This Financial Services Authority Regulation takes effect on the date of its enactment.

This copy is consistent with the original
Legal Director 1
Legal Department signed
Yuliana

For the sake of everyone knowing it, ordering the enactment of this Financial Services Authority Regulation by placing it in the State Gazette of the Republic of Indonesia.

Established in Jakarta on July 12, 2017

CHAIRMAN OF THE COMMISSIONERS BOARD
FINANCIAL SERVICES AUTHORITY, signed
MULIAMAN D. HADAD

Enacted in Jakarta on July 12, 2017

MINISTER OF LAW AND HUMAN RIGHTS
REPUBLIC OF INDONESIA, signed
YASONNA H. LAOLY

STATE GAZETTE OF THE REPUBLIC OF INDONESIA YEAR 2017 NUMBER 147

EXPLANATION
OF
FINANCIAL SERVICES AUTHORITY REGULATION
NUMBER 41 /POJK.03/2017
CONCERNING
REQUIREMENTS AND PROCEDURES FOR BANK EXAMINATION

I. GENERAL

In protecting public interests and maintaining the principles and system of healthy banking, it is necessary to have an overview of the strategic policies and business activities of Banks that involve risk. To obtain this overview, examinations of Banks must be conducted, both general and special. To obtain a comprehensive and thorough overview, examinations may be conducted on specific parties that have a role, directly or indirectly, in the risks faced by the Bank in conducting business activities. These other parties include parent companies, subsidiary companies, Related Parties, Affiliated Parties, and/or Bank debtors.

To increase the effectiveness and efficiency of examinations, the Financial Services Authority may conduct examinations using its own personnel or by utilizing the services of Other Parties such as public accountants. To achieve this, provisions are needed regulating the requirements and procedures for Bank examinations.

II. ARTICLE BY ARTICLE

Article 1

Sufficiently clear.

Article 2

Sufficiently clear.

Article 3

Paragraph (1)
Examinations by the Financial Services Authority may be conducted outside of working hours.
Letter a
What is meant by "parent company" is a company that directly or indirectly holds shares in a Bank.
Letter b
What is meant by "subsidiary company" is a company whose entire or partial shares are owned by a Bank.
Letter c
Sufficiently clear.
Letter d
Sufficiently clear.
Letter e
What is meant by "Bank debtor" is a party that obtains credit or financing facilities based on Sharia principles or other forms equated therewith based on a Bank agreement with customers.
Paragraph (2)
Examinations of parent companies of Banks, subsidiary companies of Banks, Related Parties with Banks, Affiliated Parties with Banks, and Bank debtors are intended to obtain a comprehensive overview of the Bank's condition, including risks that may affect the Bank. Such examinations are part of the examination of the Bank.

Article 4

Paragraph (1)
In principle, examinations conducted by the Financial Services Authority are carried out periodically at least once (1) a year for each Bank. In addition, examinations may be conducted at any time to verify the results of indirect supervision and when there are indications of deviations from healthy banking practices. Paragraph (2) What is meant by "supporting facilities" includes, among others, communication and computer networks along with software.

Article 5

Paragraph (1)
In addition to covering financial aspects, examinations may also cover assessments of competence and propriety regarding controlling shareholders, members of the Board of Directors, members of the Board of Commissioners, and executive officials of the Bank. Letter a Sufficiently clear. Letter b What is meant by "other information" is information obtained from other sources. Letter c Sufficiently clear. Letter d In this case, Banks can be used as targets and/or instruments of criminal acts. Banks as targets of criminal acts, for example, Banks as victims of bank robbery, fictitious transfers, and others, which ultimately can harm the Bank. Banks as instruments of criminal acts, for example, the collection of public funds not recorded in the Bank's books. Paragraph (2) What is meant by "provisions of laws and regulations" includes, among others, provisions regulating the requirements and procedures for opening branch offices, sub-branch offices, and representative offices of banks located abroad, as well as provisions regulating reporting and requests for debtor information through the financial information service system.

Article 6

Paragraph (1)
Sufficiently clear.
Paragraph (2)
What is meant by "Banks, Representative Offices of Banks Located Abroad, and other parties" includes the Board of Directors, Board of Commissioners, leaders of Branch Offices of Banks Located Abroad, leaders of Representative Offices of Banks Located Abroad, and employees who are directly responsible. Paragraph (3) Sufficiently clear.

Article 7

Paragraph (1)
Sufficiently clear.
Paragraph (2)
Sufficiently clear.
Paragraph (3)
Letter a
Sufficiently clear.
Letter b
Sufficiently clear.
Letter c
In the event that the joint team consists of Financial Services Authority employees and Other Parties assigned by the Financial Services Authority, the head of the examination team is a Financial Services Authority employee.

Article 8

Sufficiently clear.

Article 9

Sufficiently clear.

Article 10

Paragraph (1)
Sufficiently clear.
Paragraph (2)
Terms of reference include among others:
a. objectives and scope of the examination; b. implementation time frame;
c. preparation of the examination results report;
d. examination techniques and ethics; e. number and qualifications of examination personnel used; f. confidentiality of the examination; and g. examination working papers.

Article 11

Sufficiently clear.

Article 12

Paragraph (1)
Confirmation is conducted in a meeting between the examination team and the leadership of the examined party, and the results are recorded in a meeting minutes signed by both parties.
Paragraph (2)
Explanations are submitted in writing by the examined parties to the Financial Services Authority c.q. the relevant Bank Supervision Department, Islamic Banking Department, Regional Financial Services Authority Office, or local Financial Services Authority Office, accompanied by supporting evidence and documents.

Article 13

Paragraph (1)
The examination results report will be used by the Financial Services Authority as material for supervising the examined Bank, including through intensive discussions with the Bank's Board of Directors and Board of Commissioners in interview meetings. Paragraph (2) Sufficiently clear. Paragraph (3) The examination results report is intended as a development tool to improve Bank performance. Therefore, the Bank's Board of Directors, Board of Commissioners, and employees are not permitted to disseminate data and/or information contained in the examination results report. Paragraph (4) Sufficiently clear.

Article 14

Sufficiently clear.

Article 15

Paragraph (1)
Sufficiently clear.
Paragraph (2)
Sufficiently clear.
Paragraph (3)
Sufficiently clear.
Paragraph (4)
Sufficiently clear.
Paragraph (5)
What is meant by "adhering to the principle of reciprocity" is that in the event that the Financial Services Authority is permitted to conduct examinations in a country, the same treatment will be applied to that country, and vice versa.

Article 16

Sufficiently clear.

Article 17

Paragraph (1)
Sufficiently clear.
Paragraph (2)
Sufficiently clear.
Paragraph (3)
Sufficiently clear.
Paragraph (4)
What is meant by "adhering to the principle of reciprocity" is that in the event that the Financial Services Authority is permitted to conduct examinations in a country, the same treatment will be applied to that country, and vice versa.

Article 18

Paragraph (1)
Examination results are submitted in Indonesian and/or English. Examination results reports are submitted and discussed in meetings with the relevant Bank Supervision Department.
Paragraph (2)
Examination results are submitted in Indonesian and/or English.

Article 19

Sufficiently clear.

Article 20

Sufficiently clear.

Article 21

Sufficiently clear.

Article 22

Sufficiently clear.

Article 23

Sufficiently clear.

Article 24

Sufficiently clear.

Article 25

Paragraph (1)
Sufficiently clear.
Paragraph (2)
Letter a
Sufficiently clear.
Letter b
The amount of the fine is stated in the work agreement between the Financial Services Authority and such Other Parties.
Letter c
Sufficiently clear.
Letter d
The Financial Services Authority publishes registered accountants on the Financial Services Authority website.

Article 26

Sufficiently clear.

Article 27

Sufficiently clear.

Article 28

Sufficiently clear.

Article 29

Sufficiently clear.

Article 30

Sufficiently clear.

SUPPLEMENT TO THE STATE GAZETTE OF THE REPUBLIC OF INDONESIA NUMBER 6090