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Foreign Nationals Set up Businesses in Indonesian Small Island Without Permit are Facing to be Freeze

by Raidi
2024-09-06
in Economic
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Foreign Nationals Businesses

(Pinterest)

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Bandung, IndonesiaSentinel.com — The Ministry of Maritime Affairs and Fisheries (KKP) has found a number of foreign nationals who have set up businesses on small Indonesian islands without permits. This finding occurred on Mentawai Island and Maratua Island.

Previously, KKP had denied any activity of buying and selling small islands. It turned out that the islands were being used to open businesses by foreign nationals (WNA).

When investigated further, KKP found that several businesses managed by foreign nationals did not have permits. The Director of Marine Resources Supervision at KKP Halid K. Jusuf said that the WNA’s method was to marry a local resident, then set up a business in the name of their Indonesian partner.

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“Because there are many methods used, such as marrying a local resident. On that basis, he built it, in the name of his wife/husband. When we looked for the origin, it was a foreign investor,” he said when at the DPR RI Building, Senayan, Central Jakarta, Tuesday, September 3.

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He emphasized that WNA who want to set up a business on small islands must have a permit from KKP. The business will be freeze without hesitation if there is none.

However, his party still provides leniency by providing advice. If within the specified time period the foreign nationals businesses does not obtain a permit, KKP will impose administrative sanctions, sealing to freezing the business.

Currently, there are only two businesses that have been sealed by the Ministry of Marine Affairs and Fisheries due to not having a business permit. The sealing occurred on Mentawai Island.

“From several that we have researched, two were sealed. If they follow the recommended rules, of course it won’t get to that point (freezing the business). If they persist, it means the business will be sealed,” he explained.

 

 

(Raidi/Agung)

Tags: BusinessForeign NationalsIndonesian IslandMaratua IslandMentawai IslandMinistry of Maritime Affairs and Fisheries
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