19th Games consortium seeks debt clearance<\/p>\n
JAKARTA (JP): Chances appear slight the 19th Southeast Asian
\nGames (SEA Games) underwriting consortium will sway management of
\nthe Gelora Senayan sports complex to waive its Rp 1 billion
\n(US$100,000) in debt arrears.<\/p>\n
Gelora Senayan director Yasidi Hambali said yesterday he would
\nreject the request because granting it would only increase the
\nfinancial burdens on the sports complex's management.<\/p>\n
The debt comprises operational expenses during the Games, held
\nin October last year, which were initially covered by the sports
\ncomplex's management.<\/p>\n
\"We have spent the money for electricity and maintenance
\nexpenses plus workers' salaries for them, so it's normal if we
\nask them (the consortium) for reimbursement,\" Yasidi told The
\nJakarta Post.<\/p>\n
He said the consortium originally owed at least Rp 3.5
\nbillion, excluding financial losses accrued from damage sustained
\nin riots during the soccer competition. The debt was reduced to
\nRp 1 billion at the consortium's request.<\/p>\n
According to Yasidi, even after the reduction, the
\nconsortium's executive chairman Bambang Riyadi Sugama wrote him
\non May 25 asking for the waiver.<\/p>\n
\"We have given them leniency, but they want more,\" Yasidi
\ncomplained.<\/p>\n
Sugama said in his letter the consortium, chaired by former
\npresident Soeharto's son Bambang Trihatmodjo, was too broke to
\npay the debt.<\/p>\n
The consortium reportedly spent Rp 156.6 billion to finance
\nthe biennial sporting events, far above the estimated budget of
\nRp 75 billion. An audit by public accountant KPMG Hanadi
\nSudjendro and Co. revealed that the consortium suffered a
\nfinancial deficit of Rp 64 billion. The audit also uncovered a Rp
\n1.8 billion swindle in the sticker sales for fund-raising
\nactivities for the Games.<\/p>\n
Yasidi said yesterday the consortium had requested the debt
\nclearance as compensation for the funds it used to build an
\nartificial hockey pitch.<\/p>\n
But Yasidi rejected the barter, claiming Gelora Senayan
\nmanagement had itself shelled out Rp 2 billion for the purchase
\nof carpet and additional equipment for the hockey pitch.<\/p>\n
Yasidi said he would consult on the matter with newly
\ninstalled Minister\/State Secretary Akbar Tandjung, Minister of
\nYouth Affairs and Sports Agung Laksono and Jakarta Governor
\nSutiyoso.<\/p>\n
Akbar is the ex-officio chairman of the sports complex's
\nmanagement board.<\/p>\n
A staff member of the consortium who requested anonymity said
\nthat the whopping deficit and debt confounded the consortium's
\nexecutives.<\/p>\n
\"I hope people will be wiser in deciding our fate because
\nwe're now penniless,\" she said. (emf)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/19th-games-consortium-seeks-debt-clearance-1447893297",
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