The new Kitab Undang-Undang Hukum Acara Pidana (KUHAP) takes effect on January 2, 2026, introducing major changes to Indonesia's criminal justice system, including criminal liability for corporations. The reform shifts from a punitive to a restorative approach, directly impacting the business sector.
Jakarta, February 8, 2026 – The Indonesian government has officially implemented the new Kitab Undang-Undang Hukum Acara Pidana (KUHAP) as part of the national criminal justice reform. Effective from January 2, 2026, it marks a new milestone in fair and just law enforcement.
Previously, corporate criminal liability was scattered across various special criminal laws. Now, corporations can be explicitly designated as suspects or defendants if crimes occur within business activities. This includes cases of negligence or protection of crimes, extending to directors, those giving orders, controllers, and beneficial owners (BO)—individuals who control decisions from behind the scenes.
At the 'Law and Regulations Outlook 2026' discussion themed KUHAP Baru 2026: Babak Baru Penegakan Hukum Pidana dan Kepastian Hukum bagi Dunia Usaha, Dentons HPRP Partner Timothy Joseph Inkiriwang emphasized strengthening compliance policies. "The importance of strengthening compliance policies, internal controls, implementing restorative justice, and protection for directors through documented collective decision-making aligned with good corporate governance (GCG) principles," he said.
Deputy Attorney General for General Crimes at the Attorney General's Office Asep Nana Mulyana described the reform as integrated with KUHP updates. "This is a unity and a new milestone for national law," he stated. He explained the paradigm shift from punitive to restorative, corrective, and rehabilitative approaches. "Previously, the focus was on prison. Now it's more about rehabilitation, recovery, and improvement. This affects the work of prosecutors, judges, and investigators," he added.
The sentencing system is no longer single-track, including principal penalties, additional ones, and actions, even for corporate cases. Head of the Metro District Prosecutor's Office Neneng Rahmadini said, “The new KUHAP is a collective call to build a more civilized and just criminal justice system, providing benefits to society.”
Dentons HPRP Managing Partner Sartono highlighted the close link between legal certainty and business. "Legal certainty is closely tied to the business world. The government wants to encourage investment in Indonesia, and one main question from investors is legal certainty," he asserted. These changes impact compliance strategies, legal risk management, and corporate relations with law enforcement, aligned with Constitutional Court decisions and international conventions like CAT, ICCPR, and UNCAC.
