Legal Analysis of the Role of PKPU as a Preventive Solution to Bankruptcy Based on Law Number 37 of 2004 Concerning Bankruptcy and PKPU

Abstract

This study analyzes the legal role of PKPU as a preventive solution for bankruptcy based on Law Number 37 of 2004 concerning Bankruptcy and PKPU within the framework of Indonesian rechtsstaat (Article 1 paragraph 3 of the 1945 Constitution). The purpose of this study is to examine the normative role of PKPU and evaluate the effectiveness of its implementation. With a normative legal approach, using the statute approach method to examine the provisions of Articles 222-298, a conceptual approach based on the principle of going concern, and a case approach in Commercial Court practice. Secondary data in the form of laws, legal doctrines, and PKPU case studies are analyzed descriptively and evaluatively. The results show that PKPU functions as a comprehensive preventive instrument through a complete procedural cycle: proactive filing (Article 222), 45-270 days payment suspension (Articles 225, 257), preparation of a reconciliation plan (Article 265), and binding homologation (Article 281), which shifts the bankruptcy paradigm from going concern liquidation to going concern business rescue. Empirically, PKPU has proven significant through the successful cases of PT Garuda Indonesia (restructuring of IDR 120.5 trillion), Sriwijaya Air (reconciliation of IDR 7.3 trillion), and Amarta Karya (grace period of IDR 2.8 trillion), maintaining the operation of hundreds of aircraft, strategic construction assets, and thousands of jobs in the aviation and state-owned enterprise sectors. However, its implementation is hampered by the low quality of the reconciliation plan, limited process duration, minimal transparency of financial data, and the lack of competence of PKPU administrators. The study concluded that PKPU effectively prevents repressive bankruptcy through proven debtor-creditor balance in the field, with potential optimization through feasibility study standards for peace plans, digital transparency platforms, and independent management certification to strengthen the rule of law and balance debtor-creditor interests to strengthen a sustainable economy.