Encumbrance Of Land Rights In Pojk No. 31/Pojk.05/2014 From The Perspective Of The Principles Of Security Law

Abstract

This research examines the encumbrance of land rights as set forth in the Financial Services Authority Regulation (POJK) No. 31/POJK.05/2014 on the Implementation of Sharia Financing Business, with a particular focus on a review of the principles of security law. This research project aims to examine whether the considerations set out in the POJK, which emphasise that the business of Islamic finance companies must comply with Islamic sharia principles, are in accordance with the principles of security law. The primary objective of this research is to examine the compatibility between the POJK provisions and the principles of security law, including the Publicitet Principle, the SpecialitetPrinciple, the Indivisibility Principle, the InbezittstellingPrinciple, and the Horizontal Principle. The objective of this research is to test the compatibility between the POJK's reasoning and the existing principles of security law. In order to achieve this, a legal analysis method has been employed. The contribution of this research is twofold. Firstly, it provides a better understanding of the legal framework for encumbering land rights in the context of organising Islamic financing businesses. Secondly, it identifies the implications of the principles of security law in that context.