RESTORATIVE JUSTICE IN THE SETTLEMENT OF CRIMINAL ACTS OF VIOLATION OF THE PRINCIPLE OF PRECAUTION IN BANKING REGULATED IN LAW NUMBER 10 OF 1998 CONCERNING AMENDMENTS TO LAW NUMBER 7 OF 1992 CONCERNING BANKING AT THE BALI REGIONAL POLICE

Abstract

Violation of the principle of prudence in banking has the potential to cause economic losses and weaken public trust in the financial system. So far, the repressive settlement approach has not been fully effective in creating substantive justice. This study aims to analyze the application of Restorative Justice by the Bali Police in resolving banking crimes, and to identify the factors underlying its selection. The study uses a normative-empirical method with a regulatory approach, interviews, and analysis of legal practices. The results of the study indicate that Restorative Justice can be applied if the requirements are met, such as the loss has been returned, the victim is willing to reconcile, and there are no elements of serious crimes. This application is supported by internal Polri regulations and local Balinese values ​​that uphold deliberation. Other supporting factors include the efficiency of law enforcement, police discretion, and the role of financial institutions and the community. This study recommends strengthening the policy of implementing Restorative Justice as an alternative to resolving economic crimes that is humane, fair, and effective