The following is a citation from my book titled: “Franchising and Licensing in Indonesia: Regulations and Practices”. This book is published in English.

Chapter  III

……………..Since AFI’s (The Indonesian Franchise Association) establishment in 1991 until today (2015), unfortunately, succession to the Chairman position (Anang Sukandar) has never taken place. This certainly violates the rules of the ART (The Article of Association). In which based on its provisions, AFI’s Chairman, who has served in the position for 3 consecutive terms (9 consecutive years), should resign from the position in 2000 and can no longer be reselected.

Limitation on the terms of service is regulated in Article 12 paragraph 4 of AFI ART, which states: “A Chairman can be re-elected, provided that he/she has not served the position for 3 successive terms of services.” Based on the provision of this article, if the position of AFI Chairman is held for 3 successive terms, has a maximum of 9 years.

Next, in Article 12 paragraph 6 of ART, it is stated that: “When the Board’s term of service is due and a new Board has been established, then from end of service date, the Board becomes a demisioner.”

Following in Article 12 paragraph 7 C of the ART: “A demisioner cannot represent AFI or act on behalf of it including representing new positions in national/international organizations.”

These terms clearly states that anyone who has served the position of AFI’s Chairperson in 3 consecutive terms, by law, is declared demisioner and can no longer represent or act on behalf of AFI.

The provisions may be revised, however it can only be carried out through a Special Board Meeting attended by two-third of its members, as set out in Article 18 of the AFI ART.

Any attempt that is aimed at establishing AFI to be “owned a small number of people (non-members)” by means of changing its legal entity from a non-profit organization into an organization with profit-motive is classified as clear betrayal against AFI’s aspirations and goals. Parties that have used AFI only to satisfy personal interest and bring material benefits to him/herself alongside with the interests of his/her families or cronies, shall be shunned by the international franchise community and not be recognized by the Government.

Founder of AFI,

Amir Karamoy