JAKARTA: The capital market watchdog will not extend the deadline for the separation of customer accounts of securities houses, which falls on February 21, and encourages payment banks to complete it on time.
The decision was made by the Capital Market and Financial Institution Supervisory Agency (Bapepam-LK), Self Regulatory Organization and Indonesia Securities Association (APEI) last Friday.
The deadline was initially set at February 1, but as it has not been completed, companies utilize Bank Indonesia policy that extends it by 14 working days to February21.
Head Bapepam-LK implicitly stated that the agency will not extend the application of investment account separation.
Chairman of APEI Lily Widjaja stated the regulator has no reason to extend the time limit as Bapepam-LK has secured payment banks commitment to complete it on schedule.
“For more information, you can ask Bapepam-LK. But the bottom line is no additional time.”
Issues
Lily, who is also the President Director of Merill Lynch Indonesia, said before the decision was taken, the institution was given time to map out the issues regarding the complex process of separation that involves exchange members, customers, vendors and payment banks.
Payment banks who are in cooperation with PT Kustodian Sentral Efek Indonesia (KSEI) are PT Bank Central Asia Tbk, PT Bank Negara Indonesia Tbk, PT Bank CIMB Niaga Tbk, PT Bank Mandiri (Persero) Tbk
and PT Bank Permata Tbk.
Furthermore, Lily explained customers funds at KSEI will be given four days to be transferred to the new saving accounts.
“And if it’s not conducted, it will be returned to the customer.” (T05/msw)
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