POJK Number 38 of 2025, OJK Authorized to File Lawsuits Against Businesses for Consumer Compensation

Introduction

On 18 December 2025, the Financial Services Authority (“OJK”) issued Financial Services Authority Regulation Number 38 of 2025 on Lawsuits by the Financial Services Authority for Consumer Protection in the Financial Services Sector (“POJK 38/2025”), which took effect on 22 December 2025. This Regulation provides a clear legal basis for OJK to conduct direct legal action.

POJK 38/2025 aims to recover assets belonging to injured parties and to claim compensation from parties that have caused losses in the financial services sector. OJK considers it necessary to take concrete action to protect consumer interests and to realize a fair financial system.

OJK also affirms its position to carry out legal protection through the filing of civil lawsuits. In addition, OJK seeks to address challenges in asset recovery and the restoration of consumer losses resulting from violations of law committed by Financial Services Businesses (“PUJK”) or other parties acting in bad faith.

 

Comparison

POJK 38/2025 revokes the provisions on civil lawsuits that were previously regulated in general terms under Article 98 paragraph (1) letter b, Article 99, and Article 100 of Financial Services Authority Regulation Number 22 of 2023 on Consumer and Community Protection in the Financial Services Sector (“POJK 22/2023”). The following is a comparison table between POJK 38/2025 and POJK 22/2023:

 

Key Provisions

Authority to File Lawsuits Based on Legal Standing

OJK is authorized to file civil lawsuits for the purpose of consumer protection. Pursuant to Article 4, such lawsuits are filed by OJK based on legal standing (the right to sue) granted by law and do not constitute class actions. OJK does not require a special power of attorney from Consumers to process these lawsuits before the court.

Parties Subject to Lawsuits

OJK may file lawsuits against two categories of legal subjects. Article 3 paragraph (2) regulates these targets as follows:

1. PUJK that hold or have previously held licenses from OJK (including those whose licenses have been revoked); and/or
2. Other parties that cause losses with bad faith.

Such “other parties” include controlling shareholders, beneficial owners, market manipulators, issuers, public companies, as well as supporting professionals who conceal assets or engage in market manipulation.

Announcement Mechanism and Opt-Out Rights

Prior to registering a lawsuit, OJK is required to publish a list of consumer names whose interests will be pursued. Article 8 stipulates that OJK must announce this list through its official website, OJK office notice boards, and national newspapers. The announcement period is 30 working days.

Consumers whose names are listed but who are unwilling to participate in OJK’s lawsuit are required to submit a written opt-out statement within 30 working days from the first announcement. If a consumer chooses to opt out, they forfeit the right to compensation pursued by OJK, but they remain entitled to file an individual lawsuit separately.

Prohibition of Opt-In Applications

Article 11 paragraph (2) provides that OJK does not accept applications from consumers to include their names in the lawsuit list if OJK did not include them from the outset. Accordingly, the initiative for consumer data collection rests entirely with OJK based on the results of its supervision and verification.

Implementation of Lawsuits Against Companies in Liquidation

The liquidation process does not hinder OJK’s actions. Article 14 states that OJK remains authorized to file lawsuits against PUJK that are undergoing liquidation or restructuring. However, OJK limits the object of the lawsuit to assets that are not part of deposit insurance programs (Lembaga Penjamin Simpanan/LPS) or assets pledged as collateral for Bank Indonesia liquidity loans.

Distribution of Compensation and Cost Exemption

If the court grants the lawsuit, OJK is authorized to distribute compensation to Consumers. Article 16 ensures that Consumers are not charged any fees, from the filing of the lawsuit through to the enforcement of the judgment. All litigation costs are borne by OJK using the OJK budget. If there are Consumers who refuse the compensation or cannot be located at the time of distribution, OJK deposits the funds with the court or the heritage hall (balai harta peninggalan).

 

Closing

POJK 38/2025 strengthens consumer protection by granting OJK absolute legal standing to directly file civil lawsuits against PUJK and other parties acting in bad faith for the purpose of asset recovery and compensation. This Regulation enables OJK to act without a special power of attorney from Consumers and to bear all litigation costs, while implementing an opt-out mechanism under which OJK retains full control over the determination of the list of Consumers it represents. By extending its reach to companies in liquidation, this Regulation also provides a solid legal foundation for OJK to realize a fair financial system and to ensure that the restoration of consumer rights is carried out effectively and free of charge.