Currently, the process of establishing a PT (Limited Liability Company) is becoming easier. Of course, this is also an attraction for some people, including for civil servants (PNS) to establish a PT. But, can civil servants do business and build a business, especially in the form of a PT? Check out the following rules.
Rules for Civil Servants Establishing a PT
The question of whether civil servants can do business and establish a PT may be found in the law. Based on Law No. 5 of 2014 concerning the State Civil Apparatus (ASN Law), civil servants are Indonesian citizens who have successfully fulfilled certain requirements, which make them appointed as ASN employees on a permanent basis by civil service supervisory officials to occupy government positions. In the past, civil servants were prohibited from conducting business activities outside of their work. This prohibition is stated in PP No. 30 of 1980 concerning Civil Servant Discipline Regulations. The prohibitions contained in the PP are as follows:
- Civil servants are prohibited from owning shares/capital in companies whose business activities are within the scope of their authority.
- Civil servants are prohibited from owning shares of companies whose activities are not within the scope of their authority, the amount and nature of which are such that through the ownership of such shares they may directly or indirectly determine the organization or running of the company.
- Civil servants are prohibited from conducting trading activities either officially, on the side, being a member of the board of directors, chairman or commissioner of a private company for those with the rank of supervisor group IV/a and above or who hold echelon I positions.
With the above prohibition, civil servants are also practically prohibited from establishing companies in the form of PT. However, KH pals also don’t need to worry. For KH Pals who serve as a civil servant and are still curious about whether civil servants can do business and establish a PT, you will find a satisfactory answer at this time. The reason is, now PP No. 30 of 1980 has been revoked and declared invalid. This PP has been replaced by PP No. 53 of 2010 concerning Civil Servant Discipline. Where in the PP there is no explicit prohibition for civil servants to establish, own shares / capital, or become members of the board of directors / commissioners of the company. In other words, civil servants are still allowed to do business and establish a PT. Even so, civil servants who want to do this must still be authorized by the company. This is because in the Legal Entity Administration System later, as an application for legal entity validation at the Ministry of Law and Human Rights, the superior’s permission letter must be included to include the names of shareholders or directors who are civil servants. Without this letter, KH friends who are civil servants will not be able to establish a PT or become directors/commissioners in the company.
What is the Procedure for Civil Servants to Establish a PT?
Since the enactment of the Job Creation Law, the procedure for establishing a PT is now so easy. This convenience is provided by the government as a step to advance the country’s economy with the emergence of new businesses. As is known, PT itself is divided into two, namely PT Persekutuan Modal and PT Perseorangan. Both are forms of PT that can be established by civil servants. What is the difference?
PT Perseorangan
Individual PT is an individual legal entity that meets the criteria of Micro and Small Enterprises (MSEs). In the establishment process, an individual PT does not require a notarial deed and can be established through a statement of establishment in Indonesian, which contains the aims and objectives, business activities, authorized capital, and other information related to the establishment of an individual PT. This declaration of establishment of an individual PT must be registered electronically with the Ministry of Law and Human Rights. Once approved, the Ministry of Law and Human Rights will issue a certificate of establishment electronically as well.
PT Persekutuan Modal
Establishing a PTekutuan modal is also not difficult. Civil servants who want to establish this type of PT must follow the provisions as stated in Article 109 of the Job Creation Law as follows:
- PT is established by two or more people with a notarial deed in Indonesian;
- Each founder is required to take a share when a PT is established;
- PT obtains legal entity status after being registered with the Ministry of Law and Human Rights and obtaining proof of registration.
Just like an individual PT, this type of PT also needs to be approved by the Ministry of Law and Human Rights.
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Are you interested in setting up an individual PT or joining as a shareholder in a joint venture PT? Just decide which one is best for your business.
KH Contact
If you are currently a civil servant and have expertise in business, then you can freely establish a PT in accordance with existing regulations. To simplify the establishment, you can leave it to Kontrak Hukum. We provide services to establish PT Perseorangan and PT Persekutuan Modal in just a matter of hours! Not only that, the services we provide also include PT legality documents such as deed / certificate of establishment, NIB, OSS, NPWP, so of course it is more practical and efficient. For information on ordering a PT, visit this page. Or if you still have questions about legal and other business, don’t hesitate to consult with us at Tanya KH and via Direct Message (DM) to Instagram @kontrakhukum.
