The Financial Transaction Reporting Center (PPATK) announced 11 provinces with a high risk of campaign funds as a medium for money laundering (8/8). The 11 provinces are DKI Jakarta, East Java, West Java, Central Java, South Sulawesi, North Sumatra, West Sumatra, South Sumatra, Papua, Bali, and Bengkulu.
"There are 11 provinces with the highest average risk of campaign funds as a medium for money laundering mixed with illegal proceeds. This means that there is indeed the potential for criminal proceeds to be used as costs for political contestation," said the Head of PPATK, Ivan Yustiavandana, at the Sentra Gakkumdu Discussion Forum aired on Youtube’s Coordinating Ministry for Political, Legal and Security Affairs Polhukam (8/8).
Previously, PPATK mentioned that there was a 1 trillion transaction flowing to political parties to finance the 2024 elections. The money came from environmental crimes.
This has drawn the attention of civil society and academics. University of Indonesia Faculty of Law lecturer Titi Anggraini said that PPATK's findings must be scrutinized by the Election Supervisory Body or Bawaslu and the Corruption Eradication Commission (KPK). Election participants are prohibited from receiving campaign funds from illegal sources and state/local government owned enterprises.
"Election participants should not receive funds from criminal sources, whether environmental crimes, drugs, gamble, or money laundering. Now when that money goes to policymakers, what do they expect? It must be reciprocity. So what kind of reciprocity can be given? Policy making, budgeting, licensing that can be issued for harmful interests," said Titi at the discussion "Monitoring the Campaign Funds of Candidate Pairs in the 2024 Presidential Election! What Needs to be Observed?" on Youtube Kompas TV (12/9).
Taking action with election regulations is not enough
Member of Commission II of the House of Representatives (DPR) from the Golkar Party faction, Ahmad Doli Kurnia Tandjung, said that Election Law No.7/2017 does not regulate the problem of enforcement of illegal money flows in election campaign funds. He hopes that the General Election Commission (KPU) can interpret the rules in the Election Law into technical rules, and urges civil society to maintain supervision.
"Well, our rules today are not comprehensive. We hope that the KPU can translate the existing law, and also civil society who keep monitoring and voicing it. If all the circumstances say don't, it will be a headache for those who participate in this competition," said Doli at the same discussion with Titi.
Meanwhile, Titi recommended that the investigation of PPATK findings and accountability of campaign funds in elections involve PPATK and the KPK. Bawaslu does not have the instruments to trace the flow of money.
"There are areas that cannot only rely on the election law regime, because the Election Law is very limited. Bawaslu cannot trace the flow of corruption funds. What can be done is to check compliance, and whether what is spent is in accordance or not. That is also an administrative approach. To find out whether there is an illegal flow, that is the domain that can be played by PPATK," explained Titi.
She also encouraged the enforcement of illegal money in elections using the Money Laundering Law. In Indonesian elections, there were often allegations of the infiltration of foreign money.
"We can expand using existing legal instruments, because this is a high-level crime. Election manipulation can also occur in a modern way, such as money laundering for campaign funds, as well as illegal funds not only from domestic, but also abroad," said Titi.
Doli and Titi urged the KPU to commit to disclosing all campaign finance reports submitted by election participants. Transparency of campaign finance reports is useful for two purposes, namely to open public supervision of campaign funds. Second, as a consideration for voters in making choices.
Based on the KPU Regulation (PKPU) on Campaign Funds, there are three types of campaign fund reports that will be reported by election participants. First, the Initial Campaign Fund Report (LADK) which must be submitted by election participants 5 days before the campaign. Second, the Campaign Fund Contribution Report (LPSDK), submitted during the campaign stage. Third, the Campaign Fund Receipt and Expenditure Report (LPPDK), submitted no later than 15 days after the voting day.