The Urgency of Business Activity Financial Reports in People’s Business Credit As A Basis for Banking Protection Based on The Principles of Agreements

Bayu Mogana Putra — Fri, 02 Jan 2026 00:00:00 +0000

People’s Business Credit constitutes an important instrument in supporting national economic growth, particularly for micro, small, and medium enterprises. However, the disbursement of People’s Business Credit also entails risks for the banking sector if it is not supported by adequate monitoring mechanisms. One crucial aspect of such monitoring is the debtor’s obligation to submit periodic financial reports. The main issue examined in this study concerns the urgency of submitting periodic financial reports as a form of legal protection for banks based on the principles of agreements, including the principles of balance, good faith, and legal certainty. This research also analyzes how the obligation to provide periodic financial reports functions as an instrument of debtor accountability, a means of implementing the principles of agreements, and a mechanism of preventive protection for banks in minimizing the risk of default. This study employs a normative juridical method with a statutory approach by examining positive legal norms related to the implementation of People’s Business Credit. The legal materials used consist of primary legal materials in the form of laws and regulations governing the policy and implementation of People’s Business Credit, as well as secondary legal materials comprising books, journals, and relevant scholarly literature. Data were collected through document study and analyzed using systematic legal analysis to construct legal norms in a logical and structured manner. The findings indicate that the obligation to submit periodic financial reports should be positioned as an integral part of the banking supervision system, as it not only provides legal protection for banks but also strengthens the balance of interests between banks and debtors within a fair contractual framework.

The Responsibility of the President Director for Breaches of Fiduciary Duty (Case Study of PT Multidaya Teknologi Nusantara)

Faisal Fajar Nugraha, Inda Rahadiyan — Fri, 02 Jan 2026 00:00:00 +0000

Fiduciary duty constitutes a core principle of corporate governance that obliges directors to exercise their powers in good faith, with loyalty, due care, and in the best interests of the company. This study examines the legal implications of fiduciary duty breaches and the scope of personal liability borne by the president director in the financial statement manipulation case involving PT Multidaya Teknologi Nusantara (eFishery). This research employs a normative legal methodology, combining statutory analysis with a case-based approach. The findings demonstrate that Gibran Huzaifah's falsification of financial statements satisfies the key indicators of fiduciary breach, namely the presence of bad faith, misrepresentation of material financial information, deviation from the duty of loyalty, and failure to exercise due care in managing the company. These factors directly undermine shareholder trust, distort corporate decision-making processes, and create measurable financial harm, thereby activating the application of fiduciary duty principles. In accordance with Article 97(2)–(3) of Law No. 40 of 2007 on Limited Liability Companies, such conduct constitutes both a violation of the duty of loyalty and the duty of care, rendering the president director fully personally liable for resulting losses. Furthermore, Article 1365 of the Indonesian Civil Code provides an additional basis for liability, as the manipulation constitutes an unlawful act causing damage to third parties.

Journal of Private and Commercial Law

The Urgency of Business Activity Financial Reports in People’s Business Credit As A Basis for Banking Protection Based on The Principles of Agreements

The Responsibility of the President Director for Breaches of Fiduciary Duty (Case Study of PT Multidaya Teknologi Nusantara)