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Cooperatives Ministry, PPATK to hunt for ‘naughty’ cooperatives
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President Joko "Jokowi" Widodo gives the opening speech at the 69th National Cooperatives Day celebration in Jambi on July 21. (Antara Foto/Wahdi Septiawan)
T
he Cooperatives and Small and Medium Enterprises Ministry plans to sign a memorandum of understanding (MoU) with the Financial Transaction Reports and Analysis Centre (PPATK) next month in a bid to conduct surveillance on all cooperatives in Indonesia, the ministry’s official said on Friday.
“We will sign a MoU with PPATK next month to supervise savings and loans practices in cooperatives to prevent money laundering and other illegal activities,” Agus Muharram, the ministry’s secretary, said.
Meliadi Sembiring, the ministry’s deputy head of institution, said other illicit activities might include the possibility of using cooperative services for terrorism financing.
The ministry denied such illegal practices had been found in cooperatives, saying that the collaboration should be perceived as a preventive action.
Cooperatives are currently supervised under the Cooperatives Ministry, not by the Financial Services Authority (OJK). Although the ministry has a supervising body, it claimed that it has a lack of human resources to oversee possible cases of fraud in cooperatives.
“PPATK wants all financial institutions to be supervised. That’s why we plan to collaborate with them to supervise saving and loans cooperatives,” he said. (win/rin)
