Bank Mandiri Accused of Illegally Blocking Customer Accounts

Bank Mandiri is facing scrutiny over its authority to block customer accounts, with the Indonesian Legal Supervision, Oversight, and Enforcement Institute (LP3HI) asserting that the bank lacks the unilateral power to do so. According to LP3HI Deputy Chairman Kurniawan Adi Nugroho, banks are fundamentally required to act solely based on requests or orders from law enforcement officials.

Nugroho clarified that if an account blocking occurs following an official request from a law enforcement agency (APH), it cannot be automatically considered a unilateral decision by the bank. He referenced articles within the Law on Prevention and Eradication of Criminal Acts of Money Laundering (TPPU) which grant investigators, prosecutors, or judges the authority to halt transactions to prevent the movement of assets suspected of being derived from criminal activities.

Therefore, Nugroho explained, the validity of any blocking action initiated by Bank Mandiri hinges on examining the basis, authority, and procedure of the request made by the law enforcement agency. He acknowledged the bank's delicate position, needing to balance law enforcement requirements with the protection of its customers' rights.

Nugroho stressed that banks do not benefit from unilaterally blocking accounts but are duty-bound to comply with official requests. He further distinguished between the entity requesting the block and the entity executing it, pointing to the Criminal Procedure Code (KUHAP) which designates investigators, prosecutors, or judges as the parties empowered to order account blockages. Banks, in this context, implement these orders rather than independently deciding to freeze accounts.