Safe deposit box regulatory model: An effort to prevent money laundering practices in the Indonesian banking system

Putri P. R. Marditia and Catherine Tania
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Putri P. R. Marditia: Faculty of Law, Atma Jaya Catholic University, Jakarta, Indonesia
Catherine Tania: Faculty of Law, Atma Jaya Catholic University, Jakarta, Indonesia

International Journal of Research in Business and Social Science (2147-4478), 2022, vol. 11, issue 1, 161-169

Abstract: Safe Deposit Box is a banking product that provides goods storage services, such as money, securities, and other valuables. This product guarantees the confidentiality of information related to its use. In this regard, the Safe Deposit Box is one of the services that is risky and vulnerable to being used by money laundering actors. Then, based on the recommendations of the Financial Action Task Force (FATF) it is stated that each country is obliged to identify, analyze, and evaluate the risks of money laundering and terrorism financing in that country. To follow up on these recommendations, Indonesia has established an Anti-Money Laundering and Prevention of Terrorism regime, as an effort to determine the direction and mitigate the risks of using financial services in money laundering practices. However, the need to protect Bank Secrecy cannot be ruled out. So it is necessary to make arrangements that can accommodate the need for a Safe Deposit Box Mechanism that can protect bank secrecy and prevent money laundering practices. Based on this research, the writing method used is a normative juridical method with a statutory and conceptual approach. The purpose of this study is to provide an overview and analysis related to the need for legal regulation and supervision of use related to Safe Deposit Boxes that can guarantee bank confidentiality, but can prevent money laundering practices, especially to identify user information, access data and information on money laundering practices and Politically Exposed Persons. (PEP) in Indonesia. Key Words:Regulatory Model, Safe Deposit Box, Bank Secrecy, Money Laundering, Banking System

Date: 2022
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