Compliance

To uphold the principles of Good Corporate Governance (GCG), PT Kawasan Industri Terpadu Batang (PT KITB) is mandated to report both the rejection and acceptance of gratuities.

Gratuity Acceptance
The acceptance of gratuities is classified into two distinct categories:

1. Gratuities Not Requiring Reporting
   This category includes gratuities that are general in nature, comply with applicable laws, are unrelated to official duties, and are free from conflicts of interest. These are considered expressions of hospitality or respect within social relationships, within reasonable limits.
2. Gratuities Classified as Bribery
   Gratuities falling under this category include any form of gift or benefit received by PT KITB personnel from parties with a potential connection to the recipient's position or official duties, creating a conflict of interest. Such gratuities are strictly prohibited.

As a part of a state-owned enterprise (BUMN), PT Kawasan Industri Terpadu Batang (PT KITB) is obligated to implement Good Corporate Governance (GCG) as mandated by the Regulation of the Minister of State-Owned Enterprises No. Per-02/MBU/2023. The company recognizes that implementing GCG is not merely a regulatory requirement but has become a fundamental necessity for conducting business operations. This is crucial to ensuring sustainable business growth, enhancing corporate value, and maintaining competitiveness in the market.

The principles of GCG are demonstrated through the company's establishment of a dedicated GCG management function, which is responsible for overseeing and monitoring the effectiveness of GCG implementation. PT KITB consistently undertakes improvement measures to enhance the quality of its GCG practices.

The Anti-Bribery Management System provides guidelines to assist PT Kawasan Industri Terpadu Batang (PT KITB) across the public, private, and non-profit sectors in establishing, implementing, and continuously improving compliance programs or the Anti-Bribery Management System (ABMS). Its primary objective is to identify, prevent, and detect bribery.

Implementing an Anti-Bribery Management System is a significant step toward fostering a culture of anti-bribery and combating other corrupt practices. The ABMS supports the control of bribery practices through the implementation of key measures, including:

• Establishing an anti-bribery policy.
• Designating a specialized unit to oversee compliance with anti-bribery practices.
• Providing employee training and development.
• Applying risk management related to bribery within the scope of operations, financial, commercial, and other areas.
• Implementing operational controls to mitigate bribery risks.
• Conducting outreach and awareness programs on the Anti-Bribery Management System, the Whistleblowing System, Gratuity Controls, and Good Governance.

This comprehensive approach ensures that PT KITB remains committed to maintaining integrity and promoting ethical business practices.