Criminal Liability of Corporate Shareholders in Environmental Crimes

This research aims to analyze the criminal liability of shareholders and corporations under positive law in Indonesia, particularly in the context of environmental crimes. The focus of the study is on the legal responsibilities that can be imposed on individuals and entities—namely shareholders and corporations—for actions that violate the law or constitute crimes. This analysis is conducted based on the existing legal framework in Indonesia, including statutory provisions governing the criminal liability of corporate shareholders, especially Law No. 32 of 2009 on Environmental Protection and Management (UU PPLH), Supreme Court Regulation No. 13 of 2016, and Law No. 1 of 2023 on the Criminal Code. Furthermore, this research examines the doctrine of piercing the corporate veil in the enforcement of laws against shareholders, particularly concerning environmental cases. The goal is to gain a deeper understanding of concepts that can protect justice and prevent abuses within corporate structures by ensuring that individuals behind corporations can be held accountable if they act beyond legal boundaries. The analysis highlights situations in which corporate actions impact the environment, and where shareholders may be liable for violations of environmental law. This study employs a normative approach by identifying criminal liability towards individuals/shareholders behind corporations in cases of environmental damage, as seen in the Central Jakarta District Court Decision No. 62/Pid.Sus-TPK/2022/PN.Jkt.Pst and the forest and land fire case in the Pelalawan District Court Decision No. 349/Pid.B/LH/2019/PN Plw, which serves as examples of recurring land and forest fires in company concession areas. The findings indicate that the doctrine of piercing the corporate veil has been potentially applied in the Central Jakarta District Court Decision No. 62/Pid.Sus-TPK/2022/PN.Jkt.Pst, suggesting that the potential for shareholders to be criminally charged for environmental crimes may be based on Supreme Court Regulation No. 13 of 2016 under the category of "every person." This research is expected to contribute to the development of environmental law in Indonesia and strengthen the principle of sustainable corporate responsibility.

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Publication Details

Journal
Zenodo (CERN European Organization for Nuclear Research)
Published
2025-04-19
DOI
https://doi.org/10.5281/zenodo.15244447
Primary Topic
Wildlife Conservation and Criminology Analyses
Type
article
Field-Weighted Citation Impact
0.00
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article

Criminal Liability of Corporate Shareholders in Environmental Crimes

Zenodo (CERN European Organization for Nuclear Research)
Wildlife Conservation and Criminology Analyses
article

Criminal Liability of Corporate Shareholders in Environmental Crimes

article en

Abstract

This research aims to analyze the criminal liability of shareholders and corporations under positive law in Indonesia, particularly in the context of environmental crimes. The focus of the study is on the legal responsibilities that can be imposed on individuals and entities—namely shareholders and corporations—for actions that violate the law or constitute crimes. This analysis is conducted based on the existing legal framework in Indonesia, including statutory provisions governing the criminal liability of corporate shareholders, especially Law No. 32 of 2009 on Environmental Protection and Management (UU PPLH), Supreme Court Regulation No. 13 of 2016, and Law No. 1 of 2023 on the Criminal Code. Furthermore, this research examines the doctrine of piercing the corporate veil in the enforcement of laws against shareholders, particularly concerning environmental cases. The goal is to gain a deeper understanding of concepts that can protect justice and prevent abuses within corporate structures by ensuring that individuals behind corporations can be held accountable if they act beyond legal boundaries. The analysis highlights situations in which corporate actions impact the environment, and where shareholders may be liable for violations of environmental law. This study employs a normative approach by identifying criminal liability towards individuals/shareholders behind corporations in cases of environmental damage, as seen in the Central Jakarta District Court Decision No. 62/Pid.Sus-TPK/2022/PN.Jkt.Pst and the forest and land fire case in the Pelalawan District Court Decision No. 349/Pid.B/LH/2019/PN Plw, which serves as examples of recurring land and forest fires in company concession areas. The findings indicate that the doctrine of piercing the corporate veil has been potentially applied in the Central Jakarta District Court Decision No. 62/Pid.Sus-TPK/2022/PN.Jkt.Pst, suggesting that the potential for shareholders to be criminally charged for environmental crimes may be based on Supreme Court Regulation No. 13 of 2016 under the category of "every person." This research is expected to contribute to the development of environmental law in Indonesia and strengthen the principle of sustainable corporate responsibility.

Zenodo (CERN European Organization for Nuclear Research)
Universitas Pembangunan Nasional Veteran Jakarta (ID)
Openalex Percentile: Top 57%
Wildlife Conservation and Criminology Analyses
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