Stricter Underwriter Obligations Ahead: Mandatory Due Diligence Procedures and Investor Verification Requirements Incoming for Assessments of Public Offering Issuers

The Board of Commissioners of the Financial Services Authority (Otoritas Jasa Keuangan– “ OJK ”) has issued Regulation No. 5 of 2026 on Guidelines for the Internal Control and Conduct of Securities Companies That Conduct Business Activities as Securities Underwriters (“ Regulation 5/2026 ”). This new framework establishes binding operational standards that will now apply to underwriting, risk management, bookkeeping and compliance-related matters that are dealt with by Securities Underwriters (Penjamin Emisi Efek– “ PEE ”). [1]