Capital Market Act

Law No.8 of 1995 on Capital Market

The Law of the Republic of Indonesia Number 8 of 1995 concerning the Capital Market is a general provision concerning Capital Market law. Contains definitions, understandings, and rules and regulations on activity in the capital market. It contains about:

Chapter 1 General Provisions
Provide an explanation of the definition, understanding, and rules and regulations set forth in the Capital Market Law.

Chapter 2 The Capital Market Supervisory Agency
Rules concerning functions, roles, authority, and responsibilities of the Capital Market Supervisory Agency.

Chapter 3 Securities Exchanges, Clearing Guarantee Institutions and the Central Securities Depository
Provide exposure of functions, terms and conditions concerning activities on the Stock Exchange, Clearing Guarantee Institution, and Depository and Settlement Institution.

Chapter 4 Investment Funds
Rules concerning the shape and nature of the Investment Fund, as well as the provisions on the management of the Fund.

Chapter 5 Securities Companies, Securities Company Representatives, and Investment Advisors
Rules regarding requirements, conditions, activity authorities, and guidelines for Securities Companies, Securities Companies Representatives, and Investment Advisors.

Chapter 6 Capital Market Supporting Institutions
Rules regarding terms and conditions concerning Capital Market Supporting Institutions, including Custodian, Securities Administration Bureau, and Trust Agent.

Chapter 7 Collective Custody and the Settlement of Exchange Transactions
Explanation on the procedure of stock exchange settlement activity, as well as terms and conditions concerning collective custody.

Chapter 8 Capital Market Supporting Professionals
Rules governing the profession to support Capital Market activity, as well as requirements, procedures and obligations when conducting activities in the Capital Market.

Chapter 9 Issuers and Public Companies
A description of the registration requirements, obligations, conditions and rights of Issuers and Public Companies in activity in the stock exchange.

Chapter 10 Reporting and Disclosing Information
Provide exposure to liabilities for actors in the stock exchange to report to the Capital Market Supervisory Agency, including the types of reports to be submitted.

Chapter 11 Fraud, Market Manipulation, and Insider Trading
A description of what activities and activities are prohibited in Capital Market activities, including fraud, and prohibitions on the use of insiders as required.

Chapter 12 Formal Investigations
The legal basis for the authority of BAPEPAM to examine violations of the Capital Market Law and its implementing regulations, including the rules of inspection procedures.

Chapter 13 Criminal Investigations
Rules concerning procedures and procedures for the conduct of investigations conducted by Bapepam against violators of the Capital Market Law and its implementing regulations.

Chapter 14 Administrative Sanctions
Rules on administrative sanctions provided by Bapepam against violators of the Capital Market Law and its implementing regulations.

Chapter 15 Criminal Provisions
Explanation of criminal provisions against parties violating Capital Market Law and its implementing regulations.

Chapter 16 Other Provisions
Elucidation of the provision of indemnification against losers from violations of the Capital Market Law and its implementing regulations, as well as the obligations of consultation and / or coordination of Bapepam and Bank Indonesia regarding supervisory activities in the Capital Market.

Chapter 17 Transitional Provisions
Provide exposure to obligations and provisions for Public Companies after this Capital Market Law is enacted, and the nature of other regulations relating to the Capital Market after this Capital Market Law is valid.

Chapter 18 Closing Provisions
An explanation of the date of the coming into effect of the Capital Market Law starting January 1, 1996, as well as the non-implementation of the old Law governing the Capital Market.

 [Download File PDF]