Abstract :
Capital market becomes one of the most important components in economic sector of a country. Having many functions such as saving function, wealth function, liquidity function, and credit function are reasons why many people attracted to invest their money in capital market. However, the important thing that needs to be considered by the public in the capital market activity is the law and rules concerning the capital market itself. In Indonesia, one of the criminal acts regarding capital market activity has been regulated in Law Number 8 Year 1995 on Capital Market is market manipulation. This thesis will discuss and analyze the process of market manipulation in Indonesia and the comparison between market manipulation in Indonesia and United States of America. This thesis is using normative law research and also analytical descriptive technique with case approach so conclusion and advice can be made to answer the existing problems. The process of market manipulation consists of false transactions, price fixing, and misleading information. Then, the comparison of market manipulation between Indonesia and United States can be viewed from several perspectives such as, definition, rules, authorized commission, and various types of market manipulation transactions. Indonesia also needs to update their Law Number 8 Year 1995 concerning Capital Market so it can adapt to the modernization, and Indonesia needs to increase human resources who can understood capital market very well especially in the judiciary department.