ln the first paragraph, it is stated that: "Corruption and good services seem unlikely to go hand-in-hand but it does with the Sisminbakum."

In the fifth paragraph, it is stated that: "*Every ministry could create a* system like Sisminbakum and assign a company belonging to the minister's friend or family members to run a similar system and then collect money from the public for the services."

In the sixth paragraph, it is stated that: "According to Attorney General's Office, Sisminbakum was simply blatant corruption. Rp 379 billion *of the funds generated by the service* went to the system's developer PT Sarana Rekatama Dinamika."

In the thirteenth paragraph, it is stated that: "*We* have to establish clear-cut rules and regulations to prevent similar corruption as found in Sisminbakun."

The statements in the editorial are incorrect, unfounded and misleading.

Sisminbakum was established to answer the frustration of businesses in dealing with administration and bureaucracy of limited liability companies with the Department of Justice and Human Rights (now the Ministry of Law and Human Rights, or MOLHR).

Sisminbakum was not born out of any state budget, but from of a willingness of a private company to assist the administration system within the MOLHR as an answer to the long-existing frustration, which eventually businesses will greatly appreciate.

As such, our client, with its own budget, technology, and manpower established Sisminbakum. As the party who had to (provide the initial budget) at the beginning both to establish and to maintain (the endeavor), a 90-10 sharing arrangement was normal because all the overhead and maintenance costs were solely paid by our client.

The numbers that have been lately and widely (circulated) in the media, Rp 420 billion and/or Rp 379 billion, have been erroneously exaggerated. In fact, after all the costs and taxes have been deducted, the amount received will become much more modest. As any BOT system contemplates, after 10 years, the system will eventually be transferred back to the MOLHR, including the entire income stream.

Furthermore, former government officials and also former law and human rights minister Yusril Ihza Mahendra stated that Sisminbakum is the policy of the government. Sisminbakum was established at a Cabinet meeting in 2000.

A Sisminbakum cooperation agreement was signed by former law and human rights minister Yusril and inaugurated by Megawati Soekarnoputri, then vice president. The government has also collected VAT and income tax from Sisminbakum with the total amount exceeding Rp 100 billion. As such, there can be no inference that the existence of Sisminbakum in any way caused a loss to the state. Rather, it is a source of income.

It will be a tremendous setback if the cooperation between government and private like this considered as corruption, since this will affect the investment atmosphere in Indonesia.

There is no corruption within Sisminbakum. There were no state losses during Sisminbakum and the process of the appointment of our client was not contrary to the law. Therefore, Sisminbakum is not corrupt.

Andi Simangunsong
Attorney of PT Sarana Rekatama Dinamika
Jakarta

Popular

Indonesian workers in Japan face growing stigma after viral incidents

Political motivations behind rising cyberattacks in mid-2025, report says

High rice prices, education costs push up inflation to 2.37 percent in July