Revitalizing the Enforcement of Corruption Crimes That Harm State Finances as a Juridical Effort For Asset Recovery

Abstract

The dominant approach to punishing corruption cases that cause losses to state finances primarily focuses on imprisoning the perpetrators, a method often described as the “follow the suspect” strategy. However, a key component of corruption offenses, as outlined in Article 2(1) and Article 3 of Law No. 31 of 1999, as amended by Law No. 20 of 2001, is the element of “causing losses to the state’s finances or the national economy. In these circumstances, the state serves as the principal victim, incurring direct financial losses that require compensation and asset recovery. This paper adopts a combination of normative juridical and empirical legal research methods, utilizing a case study approach to examine how corruption, as an economic crime, imposes consequences that can and should be remediated through effective law enforcement mechanisms. The study advocates for a reorientation of the law enforcement paradigm from a punishment-centric model focusing on the deprivation of liberty (follow the suspect) towards a restorative justice model that prioritizes the recovery of state losses (follow the money). Such an approach is imperative to upholding justice and fulfilling the state's role as the primary victim, through judicial mechanisms that emphasize asset recovery alongside criminal sanctions.