Palm oil industry in its development, causing many in-conflict society. Many
people suspect that the Indonesian palm oil companies are not considering the
environmental aspects and tend to cause damage or environmental pollution. As a
company engaged in natural resources concerned are given the obligation to
implement CSR environment as defined by Article 74 of Law No. 40 of 2007, so
hence need to study to determine the implementation of CSR by the palm oil
industrial company in connection with the preservation of the environment and
how to influence article 74 of Law No.40 of 2007. To answer the problem, hence
does empiric research, that is research focusing at law in action. Also can be told
is descriptive analyses, because in descriptive level will give picture about event
of the while in analyses level, besides giving picture to problem that is accurate,
also will analyses and conclusion retrieval to object that is accurate. The results
indicate that PT. Sime Indo Agro as the company's oil palm industry has made the
implementation of CSR and Article 74 of Company Law does not provide a
meaningful effect on the financial and corporate performance because of previous
already have the awareness to do CSR, but in the absence of detailed regulations
governing the CSR, it can not determine whether the company has been doing
CSR as appropriate so that the government must regulate more about CSR
implementation in detail and clearly to ensure legal certainty and facilitate the
implementation of CSR.