Legal Implications To The Deviation of Grants Fund From Regional Government To Private In Justice Perspetive

Abstract

Grants are gifts in the form of money, goods or services, from one party to another for free. These parties can be local governments, central government, regional companies, communities, and community organizations. By developing activities financed from regional government grants to the community, development, growth and regional economic development will be advanced and people's welfare will be better. Grant spending is budgeted in the APBD in accordance with the regional financial capacity after prioritizing the fulfillment of Mandatory Government Affairs and Optional Government Affairs spending. Grants in the regional financial concept are gifts that are not mandatory and are not carried out continuously. In practice, there are many questions about the legal implications of funds from the Regional Government to the private sector, namely whether grants received by the private sector are still local government money (public money) so that they are subject to state/regional financial management regulations and can become objects of audit by the Supreme Audit Agency, or it has been released from regional finance because it has become privately owned (private) money. This study aims to: 1) examine the position of grants in Islamic Law, Civil Code and Regional Finance Law (APBD); 2) analyze the legal implications of the deviation of grant funds from the Regional Government to the private sector; 3) identify the form of deviation and the appropriate model of legal settlement mechanism for the deviation of grant funds from the Regional Government to the private sector. The method used is a normative juridical approach, researching library materials or secondary data which includes primary, secondary and tertiary legal materials. Primary legal materials consist of statutory regulations and Court Decisions. Secondary legal materials in the form of literature, textbooks, legal journals, scientific essays that are directly related to the theme of this research. Tertiary legal materials in the form of legal dictionaries. The results of the study describe: 1) the position of a grant in Islamic law is defined as the giving of an object voluntarily and without compensation from someone to another living person to be owned, a grant in civil law is an agreement with which the donor in his lifetime, free of charge. simply and irrevocably, surrendering an object for the purposes of the recipient of the grant, while grants in regional finance are the provision of money/goods or services from the regional government to the government or other regional governments, regional companies, communities and community organizations, specifically the allocation has been determined, is not mandatory and is not binding, and is not continuously aimed at supporting the implementation of regional government affairs. The Grant process must be made into a Regional Grant Agreement signed by both parties; 2) legal implications for the deviation of grant funds originating from the APBD that have been given to private parties according to some legal experts that grants from local governments to other parties are budgeted from the APBD and their management is based on recording and accountability of state finances, so grant funds are public money because the funds are issued from the APBD, but after the grant funds issued from the APBD are received by the private party based on the agreement (NPHD), some legal experts argue that the position of the grant fund which is public money has been transformed into private money and the legal settlement is using private law; 3) the model mechanism for resolving cases of grants originating from the APBD to the private sector: a) the first model: settlement of deviations made in the budgeting process, then the settlement through the Corruption Court; b) the second model: settlement of irregularities committed in the use of grant funds, namely through general criminal charges, civil lawsuits and or through administrative settlements. Recommendation: if the Government or Regional Government wants to deliver a grant to its people, then the mechanism is by going directly to the community and seeing firsthand the needs of the community and then directly delivering the gift in the form of the grant. It is better if the grant is in the form of goods and not money, in order to avoid irregularities.