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🇮🇩 Indonesia /Crime & Justice

Indonesian Consumers Foundation: Unilateral Account Blocking Violates Rights

From Tempo · () Indonesian

Translated from Indonesian, summarized and contextualized by DistantNews.

At a glance

News Named sources Context piece
  • The Indonesian Consumers Foundation (YLKI) argues that banks blocking accounts unilaterally violates consumer rights.
  • YLKI demands banks explain blocking reasons, provide clear resolution steps, and offer accessible complaint mechanisms.
  • Bank Mandiri apologized for freezing an activist's account, stating it followed a police request, while police clarified it was a transaction suspension.

The Indonesian Consumers Foundation (YLKI) has strongly criticized banks for unilaterally blocking customer accounts, asserting it infringes upon consumer rights. Executive Secretary Rio Priambodo emphasized that such actions must be transparent and provide certainty for consumers.

the bank must explain the grounds and reasons for the blocking

— Rio PriambodoYLKI Executive Secretary Rio Priambodo explaining the foundation's demands for transparency in account blocking.

YLKI outlined three key demands for banks: first, clearly explain the grounds for any account blocking; second, ensure customers are not left stranded without access or clarity on resolution procedures; and third, establish effective complaint and resolution mechanisms. "Consumers should not be left in a vulnerable position where their accounts are frozen and funds are unusable, yet they receive no adequate explanation and have no idea where to file a complaint," Rio stated.

Consumers should not be left in a vulnerable position where their accounts are frozen and funds are unusable, yet they receive no adequate explanation and have no idea where to file a complaint

— Rio PriambodoYLKI Executive Secretary Rio Priambodo highlighting the need for effective complaint mechanisms.

The foundation's statement followed the freezing of an account belonging to Pati activist Supriyono by state lender Bank Mandiri. The account held approximately Rp80.9 million in personal funds and public donations. Jakarta Metropolitan Police clarified that they requested a transaction suspension, not a full account block, and that the account would be restored within five days. Bank Mandiri apologized for the incident, explaining the action was taken in response to a law enforcement request and followed proper procedures.

Let us clarify that the letter submitted by investigators from the Jakarta Metropolitan Police's Criminal Investigation Department concerns a transaction suspension

— Budi HermantoJakarta Metropolitan Police Head of Public Relations Senior Commander Budi Hermanto clarifying the nature of the police request.
DistantNews Editorial

Originally published by Tempo in Indonesian. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.

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