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Vice President of the Republic of Indonesia: Religious Court Is an Important Part of

the Sharia Economic Ecosystem

(National Sharia Economics Webinar)

webinar ekosyar


Presenting the National Leader

Wednesday, 26 August 2020, MARI's Directorate General of Religious Courts (Badilag) in collaboration with the National Sharia Council of the Indonesian Ulama Council held a virtual national seminar with the theme Strengthening & Enforcement of Sharia Economic Law Justice in Indonesia.

This seminar presented some speakers, which are the Vice President of the Republic of Indonesia/Chair of the National Sharia Council, Prof. Dr. KH. Ma'ruf Amin, Chief Justice of the Supreme Court of the Republic of Indonesia, Dr. H. M. Syarifuddin, S.H., M.H., Chief Justice of the 2012-2020 Supreme Court, Prof. Dr. H.M. Hatta Ali, S.H., M.H., Chairman of the Religious Chamber of the Supreme Court of the Republic of Indonesia, Dr. Amran Suadi, S.H., M.M., M.Hum., Director General of the Religious Courts of the Supreme Court of the Republic of Indonesia, Dr. Drs. H. Aco Nur, S.H., M.H., Deputy Chairman of the National Sharia Council, Prof. Dr. Jaih Mubarok, S.E., S.H., M.Ag. and from the Financial Services Authority, Dr. Setiawan Budi Utomo.

As the opening speaker, the Vice President of the Republic of Indonesia conveyed several important things related to the development of the sharia economy in Indonesia. Indonesia has become the country with the largest number of Islamic financial institutions in the world, with more than 5,000 institutions, consisting of 34 Sharia Banks, 58 Sharia Insurances, 7 Sharia Venture Capital, 163 Sharia People's Financing Banks (BPRS), 4,500 to 5,500 Sharia Cooperatives / Baitul Maal wat Tamwil, and there are also 4 sharia pawnshops.

The total assets as of April 2020 were IDR 1,496.05 trillion. This amount does not include Islamic stocks, the details are the Islamic capital market (sukuk and mutual funds) of IDR 851.72 trillion, Islamic banking IDR 544.86 trillion, and IDR 109.47 trillion of Islamic non-bank financial industry (IKNB). Indonesia also has the largest retail customers in the single market with a total of more than 23 million accounts, issued retail sukuk, and created the world's first Shariah Online Trading System.

In addition, the Vice President also emphasized the importance of the role of the Supreme Court, especially the religious courts in supporting the syariah economic legal system in Indonesia, "I appreciate the holding of this National Seminar, because it raises a strategic theme, Strengthening and Enforcement of Sharia Economic Law in Indonesia. Law enforcement is one of the pillars of Islamic economic implementation that has not received adequate attention.

Even though its existence is an important part of the Islamic economic ecosystem. Therefore, holding this seminar can be momentum for reforming and enhancing aspects of sharia economic law in Indonesia," he said. Closing the speech as well as opening this national seminar, the Vice President of the Republic of Indonesia expressed his appreciation for the Directorate General of Badilag and DSN MUI for holding a national seminar that is very relevant to current socio-economic developments.

The Chief Justice of the Republic of Indonesia as the main speaker, conveyed several important things related to Supreme Court policies in supporting the government's efforts to create a climate of ease of doing business, including in the field of sharia economics. Throughout 2019, the Supreme Court through its Working Group has carried out various reforms related to ease of doing business, including, First, refinement of the legal framework for electronic courts through Perma/Supreme Court Regulation Number 1 of 2019 concerning Administration of Cases and Trials in Courts Electronically replacing Perma Number 3 of 2018, Second, Ratification of Perma Number 4 of 2019 concerning Small Claim Court Procedure. Third, Training that supports the Ease of Doing Business.

In order to simplify and facilitate the process of doing business and investing. He also conveyed the impact of the policy of the Supreme Court in his speech, "Religious court judges also have an important role in encouraging the ease of doing business in the sharia economic sector. Evidently, from the 308 sharia economic cases handled by first instance court judges in 2019, 168 cases, or 54.54% were filed in the form of Small Claim Court Procedure.

This figure shows that the mechanism established as a friendly for business people has been welcomed in the field of Islamic economics. And what is even more proud, from the 168 cases of small claim court, 91.38% of them can be resolved in less than 25 days."

In his remarks, the Director-General of Badilag as chairman of the organizing committee said that this seminar activity was held in collaboration with the Supreme Court of the Republic of Indonesia-Directorate General of the Religious Courts with the National Sharia Council of the Indonesian Ulema Council, with the aim of:

  1. 1. Increasing the capacity of religious court judges in adjudicating sharia economic disputes;
  2. 2. Equalizing perceptions on the application of sharia economic law;
  3. 3. Increasing the knowledge and insight of stakeholders in the implementation of sharia economy in Indonesia;
  4. 4. Strengthening public confidence in religious courts in resolving sharia economic disputes; and
  5. 5. Disseminating sharia economy and the prospects for implementing sharia bankruptcy law in Indonesia.

This national seminar drew attention and interest from the public. Besides being attended by 412 religious courts and 29 high religious courts, sharia banking, practitioners of sharia law and economics, faculties of sharia and law at UIN / IAIN throughout Indonesia, participants who took part in this seminar were 1701 people, either through Zoom, or who watched via YouTube live streaming.

Strengthening and Enforcement of Sharia Economic Law

The growth and development of the sharia economic system in Indonesia is so fast because it is politically supported by the government and by various components of the economic community in Indonesia. With this perspective, Indonesia is expected to become the "Qibla of the World Sharia Economy", as stipulated in the master plan and grand design of Islamic economics in Indonesia. To realize these ideals, it is deemed necessary to strengthen the Islamic economic system in various aspects, including the settlement of disputes.

The Religious Courts under the Supreme Court are the executors of judicial power that are authorized by laws and regulations in Indonesia to resolve sharia economic disputes by litigation. For this reason, it is necessary to increase the capacity and professionalism of judges in examining and adjudicating sharia economic cases, to provide decisions that fulfill a sense of justice, certainty, and benefit so that the level of trust of the sharia business community in the judiciary is higher, so that the climate of ease of doing business in the field of sharia economy in Indonesia is more open, which in turn can support the acceleration of national economic growth.

Judges in adjudicating sharia economic cases, of course, cannot be separated from the sources of laws and regulations that apply in the field of sharia economics. For this reason, judges need to understand more comprehensively about the history, dynamics, and the ins and outs of discussion and debate among experts accompanying the birth of each fatwa of the National Sharia Council (DSN) of the Indonesian Ulama Council (MUI).

In-depth understanding is a necessity for judges to be easier, more precise, and correct in implementing it when examining and adjudicating sharia economic cases submitted to religious courts. The DSN MUI fatwas are a source of law for the birth of government regulations in the field of sharia economics, including the Financial Services Authority (OJK) Regulation, Bank Indonesia Regulation, Minister of Finance Regulation, and others. Until now, there have been 130 (one hundred and thirty) fatwas issued by DSN with various variations of the contracts that it regulates.

In addition, the MUI DSN also needs to get feedback (feedback) from every DSN Fatwa that has been published in order to determine the effectiveness of its implementation in concrete cases that occur in the community, and the resolution is proposed to the religious court.

The settlement of sharia economic disputes through litigation in religious courts is still hampered by the procedural law aspects, especially the legal aspects of sharia bankruptcy. Supreme Court Regulation Number 14 of 2016 concerning Procedures for Settlement of Sharia Economic Cases does not yet regulate sharia bankruptcy. Whereas in reality, several sharia economic disputes submitted to the religious court are closely related to the issue of bankruptcy and sharia commerce, which have not clearly been regulated in the procedures and the procedural law. There needs to be a Working Group (Pokja) on sharia bankruptcy to become material for the National Working Meeting (Rakernas) for sharia economic bankruptcy. Based on this, it is very important to increase the capacity and capability of the religious courts in resolving sharia bankruptcy cases in sharia commercial cases.

Indonesia's position in the Global Competitiveness Index published by the World Economic Forum (WEF), especially the aspect of ease of doing business, is still very low compared to other countries. One aspect that is still under the spotlight is the level of legal certainty in dispute resolution and execution of decisions that require a quite expensive and long time, cost, and labor. In reality, the execution of sharia economic decisions is often hampered by the lack of support from various related institutions, and other technical problems that all components of the nation need to find solutions to, including the executive, legislative, and judiciary, so that the objectives of the Indonesian rule of law can be realized. (ahb/ak)

Chief Justice Leads the Retirement Ceremony of Chief Judge of PTA Kendari

 

Jakarta | badilag.mahkamahagung.go.id

Chief Justice of Supreme Court, the Hon. Justice H. M. Syarifuddin, accompanied by the Chairperson of Religious Chamber the Hon. Justice Amran Suadi and Director-General of Badilag Dr. Drs. H. Aco Nur., S.H., M.H. presided over the graduation ceremony of the Chief Judge of the Kendari Religious High Court the Hon. Justice Muslimin Simar Thursday (7/23). The event that took place in the Supreme Court Room was conducted virtually considering the co-19 pandemic situation.

The Hon. Justice HM Syarifuddin in his remarks said, for the third time, the retirement graduation procession of the chief judge of the appellate court was carried out online through a virtual media device. Digital transformation in this kind of activity is important in order to comply with and implement the COVID-19 prevention protocol, which one of its manifestations is by limiting official travel outside the region in order to maintain safety and health together. "I hope that the sanctity of this procession will not diminish in the slightest, and we can all follow it solemnly," He said.

Furthermore, He said that the graduation program was a very monumental event and had historical value for H. Muslimin Simar. After approximately 4 years of carrying out his duties and mandate as Chairman of the Kendari Religious High Court, today H. Muslimin Simar arrived in the final phase of his service life safely.

Retirement graduation is essential procession to reward the dedication of a chief judge of the appealte court in carrying out his duties as the vanguard of the Supreme Court, because its role is very strategic, especially in the supervision and guidance of Judges and Judicial Apparatuses under the Supreme Court in his area of ​​duty.

Moreover, according to him, this ceremony is not just a moment to end his term of office as Chief Judge of the Kendari Religious High Court, but more than that as the culmination of perfection in carrying out the mandate as a Judge. "The High Judge with the position of Chief Judge of the appeallate court is the highest career for a Judge at the judex factie level. And the peak of that career has been achieved by H. Muslimin Simar as Chief Judge of the Kendari Religious High Court " he said.

H. Muslimin Simar has dedicated more than half of his live to the judiciary. His career for forty years in the judiciary, both as an employee, judge and leader in eastern Indonesia is a testament to sincere service and loyalty for the nation and state. "This is the principle that is actually instructed to all of us in working as well as the commands that we can find in AI-Qur'an Surah At-Taubah Verse 105 which means: “Work you, then Allah and His Messenger and the believers will see that work, and you will be returned to Allah Who Knows the unseen and the real, then He tells you what you have done, "said the Hon. Justice HM Syarifuddin

He hopes the success that has been demonstrated by H. Muslimin Simar, both in terms of performance, integrity, professionalism, and leadership, may be an example for other judges, especially religious court judges who are currently entrusted with the task of leading court work units.

At the end of his remarks the Chief Justice thanked to. H. Muslimin Simar. "Thirty-eight years was a long time in pursuing his career as a judge. Starting from today the big family has enjoyed being together with him. For that, on behalf of both the person and the institution of the Supreme Court, I express my gratitude and appreciation for the devotion that is quite long and contributes to the progress achieved especially in each assignment, "he concluded. (ahb)

Badilag Explores the Cooperation with LPDP/Indonesia Endowment Fund for Education

 

Tuesday, July 1, 2020, Directorate General of the Religious Courts held an audience with the Indonesia Endowment Fund for Education (LPDP) through a virtual meeting. Director-General, Dr. Drs. H. Aco Nur, S.H., M.H., led the audience directly, he was accompanied by the Director of Judicial Staff Development Dr. Candra Boy Seroza, S.Ag., M.Ag. and Head of Judicial Staff Development Section, Daud El Wadud, S.H., M.H., Head of Judge Mutation Section, Dr. Sultan, S.H., M.H., and Head of Section for Judge Development, Fitrizia Agustina, S.E. M.E .. LPDP was represented by the Scholarship Director Ir. Dwi Larso, MSIE, PhD., Director of Service Development and Risk Management (Cooperation), Emmanuel Agust Hartono, M.A., Head of the Cooperation Division, Head of the Scholarship Recruitment Division, and the LPDP Cooperation Team.

 

Human Resource Development at Religious Courts

The Director-General conveyed the intent and purpose of this meeting, “We would like to explore the cooperation with LPDP on scholarship program which hold every year, human resource development is our main focus on developing religious courts.” He opened his remarks.

Furthermore, Dirjen Badilag explained the institutional profile of religious courts. Currently, there are 412 religious courts and 29 religious high courts throughout Indonesia, there are 3.017 judges and 7.778 courts’ staffs who are scattered throughout Indonesia. Every year religious courts judge over 600.000 cases, this amount is 83,66% civil case of all civil cases which went to various courts. Change and reform in religious courts will broadly affect the society especially court users in Indonesia. "Currently, Religious courts throughout Indonesia are filled by the young judges who are 25-45 years old, their dedication to court development in Indonesia is priceless, the passion for self-development is very high, I hope can give a chance broadly to them to continue the education to the higher level at the best universities," said Dirjen Badilag.

The LPDP Collaboration Director welcomed the aims and objectives of the Directorate General of Badilag, according to him, the judicial body is a very important law enforcement institution so that the development of human resources through higher education scholarships is very relevant to follow up. In addition, he regretted the low participation of the Supreme Court and the lower judicial body in the LPDP scholarship program. "Since the LPDP was established in 2012, there were only 20 registrants from the Supreme Court and the Judiciary, and only 2 were successful in getting scholarships," he said.

The LPDP Scholarship Director gave his appreciation for the proactive steps of the Director-General of Badilag. "There is a lot of cooperation we can do, LPDP has a special scholarship scheme for Civil Servants, we are ready to help by providing socialization and training on preparing to get a scholarship, such as how to fill out forms, make a good CV or make a study proposal," he concluded.

Director of Judicial Staff Development of Badilag conveyed some of his hopes regarding this collaboration. "We hope that there will be a special and ongoing quota for religious courts so that every year we can adjust to the technical assistance development program that is set up every year, this is important to prepare the judges who will become court leaders in the future," he said.

Indonesia Endowment Fund for Education/LPDP

As written on the official website, https://www.lpdp.kemenkeu.go.id/ LPDP was born from the amendment to the 1945 Constitution which mandates that at least twenty percent of the State Revenue and Expenditure Budget (APBN) is for the education function. The Government and the Indonesian Parliament in 2010 through Law Number 2 of 2010 concerning the 2010 APBN-P agreed that some of the funds from the allocation of the education function in the APBN-P were made as the National Education Development Fund (DPPN) managed by an endowment management mechanism (endowment fund) by a Public Service Agency (BLU).

In 2011, the Minister of Finance and the Minister of Education and Culture agreed that the management of the DPPN and the utilization of the results of the management of the funds would be carried out by the Ministry of Finance but the officials and staff were a combination of Ministry of Finance employees and Ministry of Education and Culture employees.

Through the Minister of Finance Decree (KMK) Number 18/KMK.05/2012 dated January 30, 2012, the LPDP was designated as a government agency implementing the Public Service Agency financial pattern. Indonesian Education Scholarship, hereinafter abbreviated as BPI, is a scholarship program organized by the Indonesia Government through the LPDP, Ministry of Finance of the Republic of Indonesia for financing education inside the country or abroad. Through the Minister of Finance Decree (KMK) Number 18/KMK.05/2012 dated January 30, 2012, the LPDP was designated as a government agency implementing the Public Service Agency financial pattern. Indonesian Education Scholarship, hereinafter abbreviated as BPI, is a scholarship program organized by the Indonesia Government through the LPDP, Ministry of Finance of the Republic of Indonesia for financing education inside the country or abroad. (ak)

The Retirement Ceremony of Chair of Yogyakarta Religious High Court

 

The Chair of Yogyakarta Religious High Court, the Hon. Drs. H. M Said Munji, S.H., M.H has just ended his term of service for thirty-six years as a judge at the Indonesian judiciary by the Retirement Ceremony held in Yogyakarta Religious High Court hall on Tuesday (30/6). The Chief Justice of Indonesia Supreme Court, the Hon. Dr. H. M. Syarifuddin, S.H., M.H accompanied by the Chair of Religious Chamber the Hon. Dr. H. Amran Suadi, S.H., M.H., M.M as well as the Director-General of Religious Courts, Dr. Drs. Aco Nur, S.H., M.H led the graduation ceremony of retirement virtually in Supreme Court Building, Floor 13, Central Jakarta.

The ceremony was also joined by all Chairs of Religious High Court from all over Indonesia and all Chairs of First Grade Religious Court within the Yogyakarta area. The ceremony was held virtually due to COVID 19 Pandemic situation. For Mr. Syarifuddin, leading the ceremony at the appellate court was his first time as Chief Justice of Indonesia Supreme Court and the second time leading a ceremony virtually.

In his speech, Mr. Syarifuddin said that the Retirement Ceremony is a tradition that is always awaited by all of the officials before entering the pension period. This is not just a moment to end the term of service of an official. Other than that, this is the summit of completeness after carrying out the mandate as a judge.

The Retirement Ceremony said Mr. Syarifuddin is actually a procession of giving appreciation to a Chair of the appellate court after carrying out his duty as a voorpost of the Indonesia Supreme Court (Mahkamah Agung). “The role of a Chair of a religious high court is very strategic, especially in supervising and guiding the judges and all the apparatus of Indonesia Supreme Court within his duty area.” He said.

Further, Mr. Syarifuddin explained that the carrier journey of Mr. H.M. Said Munji as a judge was full of challenges. To be assigned in Central Jakarta and North Jakarta were not apart from temptation that may sway faith.

But he believed that the success of Mr. Said Munji as a judge and a chairperson in Central Jakarta and North Jakarta Religious Court cannot be separated from the submission with sincerity. “This is the true principle The Holy Qur’an has taught us in Surah At Taubah verse 105. It says ‘Tell them, O Prophet, do as you will. Your deeds will be observed by Allah, His Messenger, and the believers. And you will be returned to the Knower of the seen and unseen, then He will inform you of what you used to do.’

 

In the last of his speech, on behalf of himself and the institution, Mr. Syarifuddin thanked and gave the appreciation to Mr. H. M. Said Munji for his long time submission. “Thirty-six years was a long period of time in pursuing a career as a judge. From now on, Mr. Said Munji can enjoy his time together with his family. On behalf of myself and the institution of Indonesia Supreme Court, I say thanks and appreciation for the long time submission and the contribution for the development that has been achieved in every assignment.” He stated. (dh)

Judicial Commission (KY) Recruited Candidates Of Judge For Religious Chamber Of Supreme Court Through Directorate General Of Religious Courts

 

The Head of Recruitment, Advocacy and Judge Development Unit of Judicial Commission (KY), Arie Sudihar, together with the Head of Analysis and Chief of Recruitment Section for Supreme Court Judge had visited Directorate General of Religious Courts on Friday (June, 19th). The visit was aimed to follow up on the instruction from the Chairman of Supreme Court of Republic Indonesia, H.E. Mr. Syarifuddin, which was given to KY a week earlier. H.E. Mr Syarifuddin asked KY to have a coordination with Badilag on how to select the next supreme court judge.

The group was welcomed by the Director General himself, Dr. Drs. Aco Nur,S.H., M.H. together with Drs. Arif Hidayat, M.M. the Secretary of Directorate General of Religious Courts, Dr. Candra Boy Seroza, the Director of Religious Court Judicial Staff Development, as well as Dr. Nurjannah Syaf, the Director Administrative Development, at the meeting room of Directorate General of Badilag, Secretariat Building of Indonesia Supreme Court floor 6, Jakarta.

“We are here to follow up on the instruction from His Excellency the Chief of Supreme Court. We were instructed to have a coordination with Directorate General of Religious Courts to recruit and map some potential judge candidates of Supreme Court. Beside, we beg for advice from Badilag about the ideal selection process of supreme court judges for the future.” Stated Arie Sudihar, explained about their visit.

Responding the visit, the Director General said there are several points that must be considered on how to recruit and map the judge candidates of Supreme Court. “Firstly, considering a judge’s capability on case settlement technic. Examination towards the judges’ verdicts is not enough to understand their thought. Yet, we need to observe comprehensively, a judge may decide differently on two similar cases. It is not an inconsistency. Since, each case has different legal reasoning. KY must learn more the court judgements from the judges nominated. The examination included the number of the verdict had been handled, the types of the case, the case that appealed, verdict that was corroborated and aborted at the appeal and cassation level and the reason why they were corroborated and aborted. Now, court judgement can be accessed through the Directory of Indonesia Supreme Court.” He explained.

Secondly, the observation towards potential judges must be done well in advance instead of just short before the recruitment. The candidates should have been being observed since they were in first instance court. “KY must begin observing the Chairs of the first instance court with grade 1A. Since the Chairs of first instance court with grade 1A are judges with proven judicial and managerial technical abilities. On the other hand, courts with grade 1A have high case complexity.” Mr Aco Nur continued his explanation.Thirdly, it is important to consider the judges’ ability to manage the case in order to achieve the case management standard. Poor case management in the past had caused the piling up of unsolved cases. So, people of justice seeker may feel wrong and do not trust the justice system. “Our challenge is now huge, seeing from the number and the complexity of cases. We have big number of cases submitted to the court. This is why the ability of case management of a judge is crucial.” Continued the Director. And the last, the insight and knowledge factors regarding the development of information technology in accordance with Supreme Court policy. “The Blueprint of Supreme Court had put the information technology as a pillar of the justice system reformation. There are many policies and regulations about case settlement that transformed and adapted to technological developments. Such as, electronic litigation (e-litigation), electronic evidentiary and electronic filing (e-filing). The transformation must be well understood.”

Arie Sudihar happily thanked for the valuable input from di Director General of Badilag, and he will report it to the leader meeting of KY. He also appreciated for the growth of case settlement in religious court, especially for one day minute and one day publish court judgement. He then asked for the data about regular evaluation from Directorate General of Badilag related to the settlement cases sourced from Sistem Informasi Penelusuran Perkara (SIPP), work unit evaluation and electronically control of verdict examination. The data will be considered to select and map prospective Supreme Court judge in the future.

Closing the visit, the Director General handed KY name list of prospective Supreme Court judges who have met the criteria of the act as requested. He then emphasized KY to keep the collaboration solid between Directorate General of religious court and KY in order to increase the judges’ capacity of religious court. The Director General expressed his willingness to provide the data needed by KY in this selection process.

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