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Journal : Jurnal IUS (Kajian Hukum dan Keadilan)

Legal Protection for Investors against Fraud by Market Manipulation in the Indonesian Capital Market Rahman, Yogi Muhammad; Lalu Saipudin; AH. Asari Taufiqurrohman; Anik Kunantiyorini; Taufiq
Jurnal IUS Kajian Hukum dan Keadilan Vol. 12 No. 3 (2024): Jurnal IUS Kajian Hukum dan Keadilan
Publisher : Magister of Law, Faculty of Law, University of Mataram

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.29303/ius.v12i3.1416

Abstract

Fraudulent acts through market manipulation in the capital market can lead to investors receiving false information in their investment decisions, resulting in unprotected investor funds and unsustainable capital market industry operations. This article employs a normative legal method. Market price manipulation in the capital market falls under the category of fraud in the capital market as it is done with the intention of self-gain and deception, creating a semblance not based on actual material facts to influence others to buy, sell, or hold securities. Protection for investors can be achieved through two approaches: preventive measures by mandating all issuers to adhere to the principle of full disclosure supervised by the Financial Services Authority, and criminal measures where perpetrators of fraud in the capital market can face sanctions of up to 10 years imprisonment or fines of Rp 15 billion following Article 104 of the Capital Market Law. However, existing regulations are still insufficient in protecting the legal interests of investors from fraudulent activities in the capital market due to several factors including the ineffectiveness of the Capital Market Law, weak law enforcement, lack of legal protection mechanisms for investors who suffer losses due to market manipulation, and sanctions deemed ineffective.
Co-Authors A. Tenriugi Daeng Pine A. Tenriugi Daeng Pine Abdul Malik Abdul Rahman Sakka Abubakar Iskandar Achmad Soeharto Adi Setiawan Afrizal, Ari AH. Asari Taufiqurrohman Ahamed, Forbis Ahmad Rudianto Akramunnisa, Akramunnisa - Andi Idrus Andriawan Andi Kushermanto Anik Kunantiyorini Anik Kunantiyorini Ara, Wali Armanda, Dicky Arnawan Hasibuan Base, Nurul Hidayah Batupadang, Michael Begishev, Ildar Budi, Asep Chaikambang, Chairung Chalimah cut, Cut Yuliani Sari Dedi Fariadi Dinar Duppa, Muhammad Taufiq Dwi Edi Wibowo Elsa Wildia Emilia Puji Lestari Fahrurrozi, Ashari Fakhruddin Ahmad Nasution Fidyatun Nisa Firmansyah Firmansyah Hafid, Muliana Hardi, Gery Ulayya hardiana Imam Permana Imansyah, Maulana Zulkarnain Islami Fatwa Jumadi Jumarniati Junaidi Junaidi Kholiq Deliasgarin Radyantho Kurnia Dwi Artika, Kurnia Dwi Kurniawan, Fahmi Lalu Saipudin Likdanawati Luaphol, Bancha Malahayatie Manta, Faisal Ma’arif, Syamsul Ma’rufi Mochammad Riyanto Muhammad Ilyas Muhammad Tahir Muhammad Yusuf Tahir Mulyono S. Baskoro Munawar Rizki Jailani Nuraeni, Fia Nurdin Nurhakim, Muhamad Syara Nurmala Nurwahida Patmaniar Prematura, Aditya Migi Rahman, Yogi Muhammad Raihan Putri Ramadani, Ananda Raymond Arief N Noena Raymond Arief N. Noena Riza Andriani Rusmin Rusmin, Rusmin Sari, Alfiani Setiawan, Ahmad Siddiq Sukma, Aja Nadia Sullaida Syam, Rika Amalia SYAMSU ALAM Syamsu Alam Taufiqurrohman, A.H. Asari Tri Yusufi Mardiana una, Rasuna Wazir Mawardi Wiwik Handayani Yanita Yulya Irmawati Yusriyani Zahro, Zahro Zatun, Patcharin