Regulations on economic losses to the state: Analysis of criminal acts of corruption involving natural resources

Abstract

This study aims to analyze the regulation of economic losses related to corruption in the natural resources sector. The method used in this study is normative, with a conceptual and legislative approach. The results of the study show that the regulation of state economic losses in Articles 2 and 3 of Law No. 31 of 1999 in conjunction with Law No. 20 of 2001 states that acts of corruption can cause financial losses to the state and/or the state economy. This means that state economic losses are recognized as an independent element. However, the measurement is unclear, making it difficult to use in legal proceedings. Conceptually, state economic losses can be understood as losses that impact the state's ability to perform its economic functions broadly, including reduced productivity, investment, state revenue, competitiveness, and the stability of strategic sectors such as natural resources. These losses are not always in the form of nominal figures but can also take the form of potential economic losses, lost opportunities, or long-term damage.