Comparing The Evidence of Liquidation Process Between Islamic Rural Banks and Conventional Rural Banks in Indonesia

This research aims to explain the liquidation process of Sharia Rural Banks (BPRS) in Indonesia compared to the liquidation of Rural Banks (BPR) which operate conventionally. This research contributes to Sharia practitioners and regulators to make improvements to the regulations and practices carried out by BPRS in the future, so that BPRS and Sharia banks, in general, can carry out their intermediation function as well as possible. This research is qualitative research with a case study on the liquidation of BPRS. The information analyzed in this research is based on data obtained through questionnaires to the BPRS Liquidation Team which has the competence and capability to provide information and facts that occurred in liquidated Sharia BPRs. The research results show thatFraud that what occurs in BPR also occurs in BPRS, especially in the governance aspect of BPRS management, the recovery rate in BPRS liquidation is lower compared to BPR, and the period for completing the liquidation of BPR and BPRS is relatively no different because it is helped by LPS innovation with quick and compact liquidation methods