Bankruptcy proceedings in Indonesia are designed as an instrument for fair and effective debt settlement. However, the simplicity of bankruptcy requirements under Law Number 37 of 2004 creates opportunities for abuse, including the use of bankruptcy applications to pressure, weaken, or eliminate business competitors. This study aims to identify the modes and characteristics of bankruptcy applications used as anti-competitive instruments and formulate an ideal legal framework integrating bankruptcy and business competition law. This normative legal research employs statutory, case, conceptual, and comparative approaches. Legal materials are analyzed qualitatively and normatively through legislation, judicial decisions, legal doctrines, and comparative legal frameworks. The findings identify three modes: tactical bankruptcy petitions based on disputed debts, bankruptcy threats as negotiation leverage, and exploitation of the simple evidentiary standard to transfer complex disputes into bankruptcy proceedings. Six cumulative indicators characterize such abuse: the respondent's solvency, unresolved debt status, disproportion between debt and resulting harm, absence of prior genuine collection efforts, the applicant's position as a direct competitor, and procedural irregularities. The study concludes that the existing framework lacks sufficient safeguards against anti-competitive bankruptcy applications. It recommends five measures: an insolvency test, prima facie good-faith disclosure, pre-trial screening, effective sanctions and recovery, and institutional coordination between the Commercial Court and the competition authority.