BORROWING OTHER PEOPLE’S NAMES AS A BUYER RESULTS IN ILLEGAL SALE AND PURCHASE
The sale and purchase of the land/house was illegal because, from the testimony of the seller’s attorney, it turns out that the original defendants
were not the actual buyers but only borrowed their names. Meanwhile, the real buyers were the original plaintiffs, who were still foreign citizens at that time. Therefore, the sale and purchase agreement contains a cause prohibited by law (ongeoorloofde oorzaak),
namely wanting to cover up the provisions of the prohibition in Article 5 jo 21 of the Basic Agrarian Law.
Supreme Court Decision No.147 K/Sip/1979, 25 September 1980.
Source:
Indonesian Jurisprudence Book; Published by: Supreme Court of the Republic of Indonesia, Publication 1981-I; Page 229.
Best regards
Fredrik J. Pinakunary