The Role of the OJK and PPATK in Law Enforcement against Banking Crimes in Indonesia

Abstract

Banking is a strategic pillar in supporting the national economy, but this sector is vulnerable to criminal acts that threaten financial stability. This study aims to examine the types of banking crimes and analyze the crucial role of two main institutions, namely the Financial Services Authority (OJK) and the Financial Transaction Reports and Analysis Center (PPATK), in preventing and eradicating them. Banking crimes are defined as unlawful acts related to banking business activities and are subject to criminal penalties, including violations of licenses, bank secrecy, and unauthorized business activities, many of which are integrated with money laundering. The OJK functions as a regulator and supervisor that ensures bank compliance with prudential banking principles and Good Corporate Governance (GCG). Meanwhile, PPATK, as a Financial Intelligence Unit (FIU), focuses on analyzing Suspicious Financial Transaction Reports (LTKM), tracing the flow of funds (financial tracing), and monitoring compliance with Anti-Money Laundering and Prevention of Terrorism Financing (APU-PPT). The synergy between the OJK's supervisory function and the PPATK's financial intelligence is the main key in maintaining the integrity and public trust in the Indonesian financial system.