|Freddy Karyadi||Oene Marseille|
In order to operate as an Organiser, a party must secure a business licence from Bapepam-LK. This can be obtained by submitting Form VI.A.5-1 along with the required documents as stated in Paragraph 13(a) of Decree 716. Bapepam-LK will either approve or deny the application.
Decree 716 also set out the obligations and authorities of an Organiser in managing the Investor Protection Funds, among which are the obligation to separate the Organiser's own assets and funds from the Investor Protection Fund's assets and funds, and the authority to invest the Investor Protection Fund in accordance with Rule VI.A.4.
An Organiser must have a minimum authorised capital of Rp60 billion ($6.17 million) and issued and paid-up capital of Rp15 billion. The appointed directors and commissioners must pass Bapepam-LK's fit and proper test before being proposed to the general meeting of shareholders, and they must be domiciled in Indonesia.
An annual work plan and budget must be approved by Bapepam-LK before implementation. The report of implementation of the annual work and budget must be submitted quarterly to Bapepam-LK. The Organiser will also process investors' claims for lost assets. If the claim is rejected, the investor may object the Organiser's decision to Bapepam-LK. The regulator may then overturn the decision and allow compensation from the Investor Protection Fund.
Oene Marseille and Freddy Karyadi