On Dec. 11, 2012, Indonesia’s Commission for the Supervision of Business Competition (KPPU) fined Honda retailer PT Mitra Pinasthika Mustika (MPM) 4.6 billion Indonesian rupiahs ($466,440) for the late filing of notification of its acquisition of local car rental company PT Austindo Nusantara Jaya Rent. The late filing violated the Prohibition of Monopolistic Practices and Unfair Business Competition Law (Anti-Monopoly Law), which requires that mergers and acquisitions that meet certain thresholds be notified to the KPPU within 30 days of becoming legally effective.
According to the KPPU, MPM did not deliberately withhold information on the acquisition, but failed to realize the deal exceeded Indonesia’s merger-control thresholds. Consequently, while the deal was completed on Jan. 31, 2012, it was not notified to the authorities until April 27, 2012. Although MPM was fined for the late filing, there is no allegation that any monopolistic practices or unfair business competition will result from the acquisition. The fine appears to indicate an increasing focus on failures to notify following October 2012’s new regulations that refined fine procedures.