MM 5001

Business Ethic, Law, and Sustainability

Individual Final Exam: Electronic Transaction in Business Environment

Executive 48 29 November 2013

Suziane (29112309)

MASTER OF BUSINESS ADMINISTRATION

SCHOOL OF BUSINESS AND MANAGEMENT

INSTITUT TEKNOLOGI BANDUNG

2013
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Electronic Transaction in Business Environment

1. Introduction
Collection of millions of computers that provide a network of electronic connections
between the computers usually defined as Internet. Nowadays, Internet is an important tool in
human life. In a few years ago, if we need some information, we should go to library and read
the encyclopedias page by page. Today Google help us more than that. It is more powerful
and faster.
Technological advances certainly have positive and negative impacts. Positive impact
is how easy to get information anytime and anywhere, trade improving, and economic
growth, create job opportunity, can be used as a learning media and as a media that allows
anyone to participate in for any purposes.
The increasing of internet users will increase transaction value, interaction frequency,
communities spectrum, and usage objectives. There will be the increasing threats, attacks,
and crimes directly because of the increasing Internet value. To minimalize the negative
effect, there should be a Policy to control and supervise the activities.
This paper is written from business perspective side. In business issues, Internet is a
part of business system as transactions and interactions are being conducted accordingly.
Internet as technology mimic, enable, drive, and transform the business, internet dependency
is high. For the activities that rely on time and space-where resources and processes can be
digitalized-the network is the business.
Business in Indonesia is in growing phase. Not all company needs Internet. But the
users of Internet in Indonesia are growing faster, in the next few years Internet will be the
important tool for business. If there isnt some Information Security Policy for this, business
in Indonesia will be chaotic. Information Security Policy is defined as an action plan dealing
with information security issues, or a set of rules to maintain condition or certain information
securitys level.
Akamai find that Indonesia is number one targeted in Cyber-attack. Indonesia is
number two as source of Cyber-attacks. Approximately 67% are very dangerous attacks.
Cyber-crime continues to diverge down different path every year. In 2013, cyber-criminals
are changing the way to organize and targeting new users and new platforms, online
transaction-based activities continue to be exploited, and hactivism-related attacks continue
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to rise as a way to commit corporate espionage, push political agendas or cause reputational
damage.

2. Definition and Legal Fundament Electronic Transaction in Indonesia

In Indonesia, Electronic transaction is ruled by Undang-Undang Republik Indonesia
Nomor 11 Tahun 2008 Tentang Informasi dan Transaksi Elektronik (Bill of Act Electronic
Information and Transaction) and Peraturan Pemerintah Republik Indonesia Nomor 82
Tahun 2012 Tentang Penyelenggaraan Sistem dan Transaksi Elektronik.
The definition of Electronic Transaction in the Bill of Act:
Transaksi Elektronik adalah perbuatan hukum yang dilakukan dengan menggunakan
computer, jaringan computer, dan/atau media elektronik lainnya. Penyelenggaraan
Transaksi Elektronik adalah rangkaian kegiatan Transaksi Elektronik yang dilakukan oleh
Pengirim dan Penerima dengan menggunakan Sistem Elektronik.
(Electronic Transactions are legal act performed by using computer, computer
network, and/or other electronic media. The operation of Electronic Transactions is a series
of Electronic Transaction activities undertaken by the Sender and Receiver using Electronic
System)
From the definition, we can conclude that every legal act involving electronic media
as electronic transaction.
Information System technically is the integration system between man and machine
that include hardware components, software, procedures, human resources, and the utilization
of the information substances including the function of input, process, ouput, storage, and
communication. Accordingly, the actual legal world has been expanding the interpretation of
the principles and norms when addressing the issue of intangible material, for example in the
case of electricity theft as a criminal act. In fact, cyber activities are no longer simple because
the activities are no longer limited by the territory of country, which is easily accessible
anytime and from anywhere.
Losses can occur either on the actors and transactions in other people who have never
done a transaction, such as stealing fund through purchasing something on the internet using
credit card. In addition, the verification is a very important factor, considering that electronic
transactions not only accommodate in Indonesian legal system in a comprehensive way, but
also very vulnerable to change, tapped, fabricated, and sent to whole world counting by
seconds. Thus, the impact can be so complex and complicated.
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Widely problems occur in civil transaction because the electronic transactions usage
for commercial activities (electronic commerce) has become part national and international
commerce. This fact shows that the convergence in information technology, media, and
informatics (ICT) continues to grow along with the new development of information
technology, media, and communications. Activities through an electronic system, which is
also called cyber space, although virtual, it can be categorized as a legal act. Activities in
cyber-space are virtual activities that causes real even if the evidence is electronic.
Security and legal certainty in using information technology, media, and
communication are very important in order to develop optimally. Therefore, there are three
approaches to maintain security in cyber-space, which are to approach the legal aspects,
technological aspects, social cultural and ethical aspects. To overcome security interference
in electronic system, the law approaches should be done because without the rule of law, the
utilization of using technological use becomes not optimal.

Pasal 47
(1) Transaksi Electronik dapat dilakukan berdasarkan Kontrak Elektronik atau
bentuk kontraktual lainnya sebagai bentuk kesepakatan yang dilakukan oleh para
pihak.
(2) Kontrak Elektronik dianggap sah apabila:
a. Terdapat kesepakatan para pihak;
b. Dilakukan oleh subjek hukum yang cakap atau yang berwenang mewakili
sesuai dengan ketentuan peraturan perundang-undangan;
c. Terdapat hal tertentu;
d. Objek transaksi tidak boleh bertentangan dengan peraturan perundang-
undangan, kesusilaan, dan ketertiban umum.
(Article 47
(1) Electronic transactions can be performed under the Contract Electronic or other
contractual forms as a form of agreement made by the parties
(2) Electronic contract is considered valid if:
a. There is agreement between the parties
b. Carried out by competent legal subject or authorized representative of in
accordance with the provisions of laws and regulations
c. There are certain things
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d. Transaction object must not conflict with the laws and regulations, ethics, and
public order.)
There might be different definition in different country.
The intent and purpose of UU ITE is states in Pasal 3 (Article 3) and Pasal 4 (Article
4)
Pasal 3
Pemanfaatan Teknologi Informasi dan Transaksi Elektronik dilaksanakan
berdasarkan asas kepastian hokum, manfaat, kehati-hatian, iktikad baik, dan kebebasan
memilih teknologi atau netral teknologi.
Article 3
Information Technology and Electronic Transaction utilization carried out by the
principle of legal certainty, benefits, prudence, good faith, and the freedom in choosing
technology or neutral technology.
Pasal 4
Pemanfaatan Teknologi Informasi dan Transaksi Elektronik dilaksanakan dengan
tujuan untuk:
(1) Mencerdaskan kehidupan bangsa sebagai bagian dari masyarakat informasi
dunia;
(2) Mengembangkan perdagangan dan perekonomian nasional dalam rangka
meningkatkan kesejahteraan masyarakat;
(3) Meningkatkan efektivitas dan efisiensi pelayanan public;
(4) Membuka kesempatan seluas-luasnya kepada setiap orang untuk memajukan
pemikiran dan kemampuan di bidang penggunaan dan pemanfaatan Teknologi
Informasi seoptimal mungkin dan bertanggung jawab; dan
(5) Memberikan rasa aman, keadilan, dan kepastian hukum bagi pengguna dan
penyelenggara Teknologi Informasi.
Article 4
Information Technology and Electronic Transaction utilization carried out with the
aim to:
(1) Educating the nation as part of world information society;
(2) Developing trade and national economy in order to improve the welfare of
community;
(3) Improve the effectiveness and efficiency of public services;
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(4) Open a wide opportunity to everyone to increase the skill and capability and use
the Information Technology optimally and full of responsibility
(5) Provide a security sense, justice, and legal certainty for Information Technologys
users and providers.
In the implementation of these laws, we should know the role of government and
society. It states in Pasal 40 (Article 40) and Pasal 41 (Article 41) about Role of Government
and Society
Pasal 40
(1) Pemerintah memfasilitasi pemanfaatan Teknologi Informasi dan Transaksi
Elektronik sesuai dengan ketentuan Peraturan Perundang-undangan
(2) Pemerintah melindungi kepentingan umum dari segala jenis gangguan sebagai
akibat penyalahgunaan Informasi Elektronik dan Transaksi ELektronik yang
mengganggu ketertiban umum, sesuai dengan ketentuan Peraturan Perundang-
undangan
(3) Pemerintah menetapkan instasi atau institusi yang memiliki data elektronik
strategis yang wajib dilindungi
(4) Instansi atau Institusi sebagaimana dimaksud pada ayat (3) harus membuat
Dokumen Elektronik dan rekam cadang elektroniknya serta menghubungkannya
ke pusat data tertentu untuk kepentingan pengamanan data
(5) Instansi atau Institusi sebagaimana dimaksud pada ayat (3) membuat Dokumen
Elektronik dan rekam cadang elektroniknya sesuai dengan keperluan
perlindungan data yang dimilikinya
(6) Ketentuan lebih lanjut mengenai peran Pemerintah sebagaimana dimaksud pada
ayat (1), ayat (2), dan ayat (3) diatur dengan Peraturan Pemerintah.
Article 40
(1) Government will facilitate the using of Information Technology and Electronic
Transaction accordance with the provisions of Laws and Regulations.
(2) Government protects public interest of any kind of disturbance as a result of
misuse of Electronic Information and Electronic Transaction that are disturbing
public order, accordance with the provisions of Laws and Regulations.
(3) Government shall determine agency or institution that has a strategic electronic
data that must be protected
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(4) Agency or institution referred to in paragraph (3) shall make the Electronic
Documents and Electronic Backups and connecting it to particular data center for
the sake of securing data
(5) Agency or institution referred to in paragraph (3) create Electronic Documents
and Electronic Backups in purposes to data protection
(6) Further provisions on the role of Government referred to in paragraph (1),
paragraph (2), and paragraph (3) is regulated by Laws and Regulations

Pasal 41
(1) Masyarakat dapat berperan meningkatkan pemanfaatan Teknologi INformasi
melalui penggunaan dan Penyelenggaraan Sistem Elektronik dan Transaksi
Elektronik sesuai dengan ketentuan Undang-Undang ini
(2) Peran masyarakat sebagaimana dimaksud pada ayat (1) dapat diselenggarakan
melalui lembaga yang dibentuk oleh masyarakat
(3) Lembaga sebagaimana dimaksudkan pada ayat (2) dapat memiliki fungsi
konsultasi dan mediasi
Article 41
(1) Society (Public) as a part to increase the utilization of Information Technology
through the use and the implementation of Electronic Systems and Electronic
Transaction in accordance with the provisions of this Act
(2) The role of Society (Public) referred to in paragraph (1) may be held by an
institution that established by the public
(3) Institutions are con template in paragraph (2) may have a consulting and
mediation function.

3. Impacts of UU ITE
UU ITE provides opportunities for new business for entrepreneurs in Indonesia
because the implementation of the Electronic System required legal entities and domiciled in
Indonesia. In Economics perspective, it can encourage economic growth. It can increase
income taxes, provide employment, and increase the income of population (Increase GDP).
UU ITE can also anticipate the possibility of adverse internet abuse; provide legal protection
to transaction and electronic systems as well as providing legal protection for economic
activities (commercial transactions)
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Internet abuse often occurs as piercing specific sites owned by the government.
Economic activity through Electronic Transaction can minimize misuse and fraud. It also
allows to prosecute crimes that committed by someone outside Indonesia. UU ITE can be as
an opportunity for government to conduct empowerment Internet programs. There are many
areas in Indonesia are Internet touch-less. This law provides solution to minimize the misuse
of Information technology and running very quickly.
Internet allows anyone easily to access information and transact with everybody in the
whole-world (everywhere). Internet can create a communication network.

Positive Impacts
a. All of price offering activities, partnership contract, cooperative contract,
cooperative contact, billing are protected by law. All of documented electronic
documents (emails) to clients can be considered as evidence. If there is a problem
in cooperation, it will be positive value
b. When we do banking transaction and then be harmed, and it wasnt anticipated by
the transaction manager, we are legally entitled to sue the manager. It could also
apply to e-money merchants (e-gold, PayPal, etc.)
c. If there is a company that registered the domain name (website) with the intention
of vilifying particular product/brand/name, the company can be sued to cancel the
domain name.
d. Every content that is written in a blog becomes official authorship copyright and
protect the intellectual property. The negative posts that harm others can be sued
by the injured party
e. If there are credit cards transactions without the owner permission (carding)
clearly can be prosecuted by law
f. Selling the database of members email address without permission is illegal
g. Phishing sites are legally prohibited

Negative Impacts
a. The contents of website should not consist of violation of decency. It is normative
morality. It will be an ambiguous perspective
b. Blog writers concern in expressing opinions. It will curb the freedom of
expression.
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Internet crime offenses set forth in UU ITE:

a. The offenses related to illegal activity, namely:
Distribution or dissemination, transmission, inaccessibility of illegal content,
which consists of:
Morality (Article 27, paragraph [1])
Gambling (Article 27, paragraph [2])
Insult or defamation (Article 27, paragraph [3])
Extortion or threats (Article 27, paragraph [4])
A misleading falsehood and harm consumers (Article 28, paragraph [1])
Creates a feeling of hatred based on racial intolerance (Article 28,
paragraph [2])
Transmit information that contains threats of violence
In any way commit illegal access (Article 30)
Illegal interception of the information or electronic document and electronic
system (Article 31)
b. The offenses relating to interference, namely
Disruption to electronic information and document (data interference Article
32)
A disturbance in electronic system (system interference Article 33)
c. Facilitate criminal acts (Article 34)
d. Criminal fraud of electronic information and document (Article 35)
e. Additional criminal offenses (Article 36)

4. Electronic Transaction Effects on the Business Environment in Indonesia

Sarwono Sutikno, Dr.Eng.,CISA,CISSP,CISM explain the negative impacts of using
electronic transaction are:
a. Immediate financial damage, through fraud or embezzlement, loss of equipment,
data corruption and restore
b. Indirect financial damage, through credit card theft, legal and regulatory fines,
contractual penalties, and revenue losses
c. Operational impact, disruption or permanent denial of critical IT functions and
process, secondary ripple-through damage to business process
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d. Reputational impact, negative media coverage, targeted activism, customer

complaints, competitive disadvantage, etc
e. Legal impact, individual or class action against the enterprise, criminal
proceedings, individual and organizational liability, etc.
As the technology continues to change, organizations must take steps to understand
the related risks that will evolved with technology. The growth of Internet-based open
networks paves the way for instantaneous and divesting trans-national electronic crimes that
can deny victims the ability to operate their businesses or control their assets. The
exploitation will multiply as technology change. Cyber-crime will remain a fact of life for
organizations everywhere.
To protect the business from Cyber-crime, the company can make the policy
internally in the organization. There are three common categories Information Security
Policy, namely:
a. Enterprise Information Security Policy (EISP)
Determining organizations information security policy and create information
security condition in each part of organization
Establish strategic direction, scope, and the nature of various areas of
organizational security
Assigning responsibility for different areas of Information Security
b. Issue Specific Security Policy (ISSP)
A rule that describes the acceptable and unacceptable behavior in terms of
information security on each of technology used.
Provide detailed directions and targets to instructed the organization in using
the safe technology system
Used to protect the staff and the organization from inefficiency
c. System Specific Policy (SSP)
Controlling the configuration of the using device or technology technically or
managerial
May often created functioned as a standard or procedure to be used when
performing configuration or maintenance of the system

5. Cases and The Completion In Indonesia

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a. In 2000, some Indonesian websites (BCA, Bank Bali, Bursa Efek Jakarta, and
Indosatnet) was hack by Fabianclone naisenodni. (Agus Raharjo, 2002.37)
b. Indonesia is in the second place as Cyber-Fraud performer base on Security Clear
Commerce research (Texas)
c. The stolen Internet accounts by two Internet Cafs in Bandung. This case is about
stole user-id and password belonging of someone else. The usage cost of this
account is in the victims responsibility.
d. Denial of Service (DoS) and Distributed DoS (DDoS) cases. Dos attack is an
attack aimed at crippling a target (hangs, crashes) so that he cannot provide the
service. DoS attack directed to a server (computer) and also to the network
(bandwidth spent). DDoS increasing the attack from many computer
simultaneously. These types of attack are to make the company losses due to
disruption system.
e. Cyber-terrorism case. There is a site domain that considered as a site that is used
by groups of terrorist networks in Indonesia for terrorist propaganda
(www.anshar.net). The domain was purchased from stolen credit card by Max
Fiderman (not the real name). The defendant subsequently was sentenced 6 years
in prison under Pasal 45 Paragraph 1 UU RI No. 15 Tahun 2003 tentang
pemberantasan tindak pidana terorisme (Article 45 paragraph 1 of Law of Decree
15 of 2003 on the eradication mode terrorism).
f. KPU (Komisi Pemilihan Umum) website successfully broken by Dani
Firmansyah, an Information Technology Consultant at PT. Danareksa Jakarta on
Saturday, 17th April 2004. He changed the names of the parties in it become
unique names, such as: Partai Kolor Ijo, Partai Mbah Jambon, Partai Jambu, etc.
He was sentenced 6 months and 21 days based on UU RI No. 36 Tahun 1999
tentang telekomunikasi (the Law Decree 36 of 1999 on Telecommunications
Article 22c, Article 38, Article 50), and Pasal 406 KUHP (Article 406 of the
Criminal Code Subsidiary (destroy and damage the goods)). This is equivalent to
Article vandalism and destruction of goods.

However, some Cyber-crime cases rarely get to court. It is because there is a debate
about the regulation relating to the crime. In the other hand some cases was not reported by
the victims. Kepolisian Republik Indonesia (Polri), especially Cyber Crime unit has SOP
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(Standard Operational Procedure) to handle Cyber Crime case. The standard refers to
International standard that have been widely used around the world, including by the Federal
Bureau of Investigation (FBI) in United States.
Today, consumer has become increasingly dependent on computers, networks, and
the information these are used to store and preserve, the risk of being subjected to cyber-
crime is high. There are new attack each week on the confidentially, integrity, and
availability of computer systems. This could range from the theft of personally identifiable to
denial of service attacks.
The disruption of international financial markets could be one of the big impacts and
remains a serious concern. Hence any disruption of these systems would send shock waves
outside of the market. Attack using worms, virus, etc. impact the productivity. The machine
performs slowly. Doing business using electronic transaction should prior consumer
perception. Consumer perception will impact the credibility of the business.
In Indonesia so many case related to Electronic Transaction. In 2013, Cyber-crime
trend is defamation using messaging text, blog, social media, and others. Cyber society in
Indonesia asks the regulator to revised UU ITE about defamation, because this law dissuades
the expression right of humanity. This law as though pro to some parties (corporate
performer). DPR (Dewan Perwakilan Rakyat) has not planned to make new regulation about
cyber-law in 2013. Maybe it will be considering in 2014.
Cyber-law is a two-side knife for business performer. Government should make
specific rule to stabilize cyber-economic environment.
One of the interesting cases about cyber-crime in Business is mustika_ratu 2001 case.
The description about the case is taken from http://www.imansjahputra.com/?id=10509, the
official website of Iman Sjahputra & Partners (Advocates and Solicitors). PT. Mustika Ratu
Tbk is one of their valued clients from Indonesia.

This case is well exposed by the medias at that time and drawn the attention of the
practitioners, professional, experts, educational, and the owners of the famous trademarks
and/or names whose their trademarks and/or names are hijacked by the cyber-squatters
because this was the first and only domain name case in Indonesia and they also took this
case as a lesson in determining what they should do against the cyber-squatters that
threatening to the business.
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However, we may say that the most interesting part about this case was the reporting
of this case as a criminal case, not a civil case. The background of this case is as below. PT.
Mustika Ratu is a local famous traditional herbal manufacture that uses Mustika Ratu as
their trademark and trade names. Their products have been distributed well all over the world.
Chandra Sugiono (the accused) found out that the domain names of mustikaratu.com
(complete and unseparated words/ without underscore) is owned by an individual in United
States and further he found that the domain names of mustika_ratu.com was still available.
Then the accused took this chance to register the said domain names as his domain name with
NSI (Network Solution, Inc.). The case became more complicated when, according to PT.
Mustika Ratu allegation, PT. Mustika Ratu were informed that the domain name was also
used as a marketing of PT. Mustika Ratus head to head competitor manufacturer.
Learning this situation, then PT. Mustika Ratu decided to report the case to the Police
and filed the said case as a criminal case. As we have stated previously that since Indonesia
still does not have any laws or regulations governing this domain name, but in the other hand
PT. Mustika Ratu has to bring a legal bases on their claim, therefore PT. Mustika Ratu had
decided to use unfair competition that is provided under article 382 bis of the Indonesian
Penal Code as their legal basis to file a criminal charges against the accused.
Article 382 bis of the Indonesian Penal Code states as below:
Any person who, in order to establish, to retain or to expand the sale of his trade or
business or those of the trade or business of another, commits a fraudulent act of misleading
the public or a certain person, shall, if there from some loss for his competitors or competitors
of the other person may arise, being guilty of unfair competition, be punished by a maximum
imprisonment of one year and four months or a maximum fine of nine hundred rupiahs.
This case was heard at the Court for almost one (1) year and then the Judge came into
a decision that the elements of the unfair competition that is stated in article 382 bis of the
Penal Code could not be proven satisfactorily therefore the Judge entered a decision in favor
of the accused.
Unlike the common law countries, we (Indonesia) do not have a precedent principle.
However, it must be admitted that in the practice this decision has weaken the trademark
owners (infringed) desires to enter the lawsuit against the cyber-squatters (infringer). The
decision of this case was against the common decision in other countries where usually the
Court decides the case in favor of the trademark owner. We understood that in other countries
this case usually entered as a civil case, not a criminal case. However, in our opinion we
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believe that there are two (2) reasons why PT. Mustika Ratu reported and filed this case as a
criminal case.
First of all, at the time when this case was filed Indonesia still did not have the
antitrust and unfair competition act. Therefore PT. Mustika Ratu used the available article
that is provided under article 382 bis of the Penal Code. Second of all, is about the condition
in our country where in practice, the practitioners have different perceptions either which one
is supposed to be entered firstly between civil and criminal law. Some say the criminal law
should come first, some say that civil law maybe entered without entering the criminal law
and some say that both could be entered at the same time. In this case, the prosecutor
followed the first opinion where the criminal charges should be entered first and then its
decision can be used to support or strengthen the civil case in order to obtain reasonable and
higher potential damages. That was why this case is entered in the field of criminal law.
As the consequences of mustika_ratu.com decision, many of the trademark owners
whose trademarks have been registered by cyber-squatters have not brought a lawsuit against
the said cyber-squatters yet. The trademark owners maybe have an opinion that if they enter
the lawsuit at this moment then they predict that the decision for their cases will not be
different with mustika_ratu case because it can be said that the unfair competition that is
provided in the article 382 bis of the Penal Code is only the lex generalist. In the other hand
the lex specialist, which is e-commerce or internet law, is not yet been amended.
Many of the trademark owners, whose domain names are hijacked by the cyber-
squatters, will be waiting for the realization of the said lex specialist to be used as their legal
base in order to win the case and this only with a notation where the said lex specialist must
be said specifically in its article that it (lex specialist) can be used as a legal basis for anti-
cybersquatting cases those happened before the commencing date of the said lex specialist.
If the future lex specialist on the contrary does not specifically specify it then as the
consequences the said trademark owners cannot use the said lex specialist as their legal
basis to enter a lawsuit against the cyber-squatters.
On the contrary, the cyber-squatters in Indonesia will be advantaged by the decision
of mustika_ratu.com case. This situation is really threatening and as the consequences it can
be guaranteed that the cybersquatting will be increasingly happened in Indonesia.

This case happened in 2001, before UU ITE. If this case happened after UU ITE, here
are my analyses:
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a. Pasal 23, 24, and 25 (Article 23, 24, 25) UU ITE about Nama Domain, Hak
Kekayaan Intelektual, dan Perlindungan Hak Pribadi (Domain Name, Intellectual
Property, Rights and Personal Protection) states:
Pasal 23
(1) Setiap penyelenggara Negara, orang, Badan Usaha, dan/atau masyarakat
berhak memiliki Nama Domain berdasarkan prinsip pendaftar pertama.
(2) Pemilikan dan penggunaan Nma Domain sebagaimana dimaksud pada ayat
(1) harus didasarkan pada iktikad baik, tidak melanggar prinsip persaingan
usaha secara sehat dan tidak melanggar hak orang lain.
(3) Setiap penyelenggara Negara, orang, Badan Usaha, atau masyarakat yang
dirugikan karena penggunaan Nama Domain secara tanpa hak oleh orang
lain, berhak mengajukan gugatan pembatalan Nama Domain dimaksud.
Article 23
(1) Each State organizer, people, enterprises, and/or society is entitled to have the
Domain Name based on the principle of the first registrants
(2) The ownership and the using of Domain Name as referred to in paragraph (1)
shall be based on good faith, does not violate the principle of fair business
competition and doesnt violate the rights of others
(3) Each State organizer, people, Enterprises, or society who are disadvantaged
due to the use of the Domain Name without right by others, have the right to
bring the lawsuit to referred Domain Name
Pasal 24
(1) Pengelola Nama Domain adalah Pemerintah dan/atau masyarakat
(2) Dalam hal terjadi perselisihan pengelolaan Nama Domain oleh masyarakat,
pemerintah berhak mengambil alih sementara pengelolaan Nama Domain
yang diperselisihkan.
(3) Pengelola Nama Domain yang berada di luar wilayah Indonesia dan Nama
Domain yang diregistrasinya diakui keberadaannya sepanjang tidak
bertentangan dengan Peraturan Perundang-undangan.
(4) Ketentuan lebih lanjut mengenai pengelolaan Nama Domain sebagaimana
dimaksud pada ayat (1), ayat (2), dan ayat (3) diatur dengan Peraturan
Pemerintah.
Article 24
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(1) Domain Name is manage by Government and/or public

(2) If there is a dispute in manage the Domain Name by the public, government
has the right to take over manage the dispute Domain Name temporarily
(3) The manager of Domain Name which is outside the territory of Indonesia and
registered to the extent not contrary to the legislation
(4) Further provisions on the management of the Domain Name as referred in
paragraph (1), paragraph (2), and paragraph (3) is regulated by Government
Law.
Pasal 25
Informasi Elektronik dan/atau Dokumen Elektronik yang disusun menjadi karya
intelektual, situs internet, dan karya intelektual yang ada di dalamnya dilindungi
sebagai Hak Kekayaan Intelektual berdasarkan ketentuan Peraturan Perundang-
undangan.
Article 25
Electronic Information and/or Electronic Document which is compiled become
intellectual property, Internet sites, and Intellectual works that are in it are
protected as intellectual property rights under the provisions of legislation.
UU ITE above concern about the law of Domain Name generally. The detail about
this law is in PP No. 82 Tahun 2012.
b. Pasal 79 PP No. 82 tahun 2012 Tentang Pengelolaan Nama Domain
Pasal 79
(1) Nama Domain yang mengindikasikan Instansi hanya dapat didaftarkan
dan/atau digunakan oleh Instansi yang bersangkutan.
(2) Instasi wajib menggunakan Nama Domain sesuai dengan nama Instansi yang
bersangkutan.
Article 79
(1) Domain Name which indicates the agency can only be registered and/or used
by the concerned agency
(2) The agency must use the Domain Name in accordance with the name of the
concerned agencies
c. With these laws, Tjandra Sugiono should be reporting as a civil case, not as a
criminal case.
Suziane
29112309 X48 Page 16 of 18

d. The next step in analyze, we should investigate the purposes of Tjandra Sugiono
registered domain named mustikaratu.com

6. Summary and Recommendation

Technology is the main involving factor in every part of human life. The growth of
technology is multiply nowadays. We need specific UU as our law bases in business. UU ITE
No. 11, 2011 states the law generally and specific-less about Electronic transaction especially
in Business perspective. To develop suitable in Electronic Transaction in Indonesia need
some research and discussion with different profession. To protect our business from cyber-
crime besides the law, we should develop cyber-defense system in our company.
There isnt the clear boundary to process the cyber-crime as a crime case or civil case.
Technology will grow faster than before; we need government to make a bill of act to protect
from cyber-crime in Indonesia. It is understandably that there are some weaknesses in UU
ITE, because it is the first Indonesian law governing electronic transaction. Contribution of
every stakeholder in formulating Cyber-Law from many perspectives will make the UU
better and better.
Suziane
29112309 X48 Page 17 of 18

References

Undang-Undang Republik Indonesia Nomor 11 Tahun 2008 Tentang Informasi dan Transaksi

Elektronik (UU ITE)

Peraturan Pemerintah Republik Indonesia Nomor 82 Tahun 2012 Tentang Penyelenggaraan

Sistem dan Transaksi Elektronik

Prof. Richardus Eko Indrajit, Meneropong Isu Keamanan Internet Aspek Teknis, Bisnis, dan

Sosial, IDSIRTII (Journal)

Sarwono Sutikno, Dr.Eng.,CISA,CISSP,CISM, Cubersecurity: Governance, Risk

Management & Assurance, Sekolah Teknik Elektro dan Informatika, Institut

Teknologi Bandung, 2011

Hemraj Saini, Yerra Shankar Rao, T.C.Panda/International Journal of Engineering Research

and Application (IJERA), vol. 2, issue 2, Mar-Apr 2012, pp 202-209, Cyber-Crimes

and their Impacts: A Review

http://nur4ini.blogspot.com/2013/05/beberapa-kasus-bisnis-crime-di-indonesia.html

http://biruteknologi.blogspot.com/2013/04/dampak-positif-dan-negatif.html

http://www.hukumonline.com/klinik/detail/cl294/definisi-kejahatan-dan-jenis-jenis-

kejahatan-internet

http://www.hukumonline.com/klinik/detail/cl3077/cara-pembuktian-cyber-crime-menurut-

hukum-indonesia

http://www.hukumonline.com/berita/baca/lt50fbf2d9b6fee/indonesia-bersiap-masuki-dunia-

cyber

http://www.hukumonline.com/berita/baca/hol4153/kasus-idomain-namei-bisa-diproses-

dengan-uu-merek-baru
Suziane
29112309 X48 Page 18 of 18

Iwan Sumantri, Wakil Ketua ID-SIRTII/CC, Indonesia Security Incident Response Team On

Internet Infrastructure

RSA White Paper, The current State of Cybercrime 2013, An Inside Look at the Changing

Threat Landscape