Implementation of Whistle-blowing System to Prevent Sharia Banking Crime in ‎Indonesia

Abstract

The research conducted is qualitative research, in which the researchers examine various sources pertaining to the whistle-blowing system in Islamic banking. The focus of this research is PT. Bank Syariah Indonesia (BSI), one of the largest Islamic banks in Indonesia that aims to become one of the top ten Islamic banks worldwide within the next five years. The purpose of this study is to gain understanding and insight into how the whistle-blowing system at BSI effectively controls fraud and crime within the Indonesian banking sector. According to a survey conducted by The Association of Certified Fraud Examiners (ACFE), banking fraud in Indonesia is reported to be at a staggering 41% when compared to other sectors. This finding highlights the importance of this research for the government, stakeholders, and banking industry participants. In addition to utilizing qualitative methods, this research incorporates an analysis of the BSI website and draws support from various sources related to the whistle-blowing system in Islamic banking. It is hoped that future research will continue to examine the implications of whistle-blowing systems in preventing fraud within the banking sector, particularly within Islamic banking, not only in Indonesia but also globally.‎