A lesson from Lippo<\/p>\n
The case of Bank Lippo has lately dominated the headlines of
\nIndonesian dailies but there has been no significant effort on
\nthe part of the government to settle the matter.<\/p>\n
The Capital Market Supervisory Agency (Bapepam), which has a
\nkey role in settling the problem, has been collecting data about
\nthe bank's performance. The agency will announce the results of
\nits investigation to the public in March.<\/p>\n
The Lippo case stems from two different financial reports. The
\nfirst report, issued in November last year, said that Bank
\nLippo's total assets and profits stood at Rp 24 trillion and Rp
\n99 billion, respectively.<\/p>\n
The second report, issued in December last year and sent to
\nthe Jakarta Stock Exchange, estimated Bank Lippo's total assets
\nat Rp 22.8 trillion but noted that the bank had suffered Rp 1.3
\ntrillion in losses.<\/p>\n
Both reports had been audited.<\/p>\n
The government, the largest shareholder in Bank Lippo, should
\nhave played a role in the bank's policies. Unfortunately, the
\nbank's former majority shareholder, who now has control over only
\na minor stake, has become a decision-maker in the ailing bank.<\/p>\n
There have been reports that the former majority shareholder
\nwants to regain control over the bank, buying back its share at
\nthe lowest possible price. This controversy would certainly help
\nthat, considering that the bank's share prices have decreased due
\nto the loss.<\/p>\n
The government should finally learn a lesson from the Bank
\nLippo case, as it has been misled by dishonest tycoons many times
\nin the past.<\/p>\n
The Bank Lippo case will become a bad precedent if the
\ngovernment does not take action.<\/p>\n
-- Republika<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/a-lesson-from-lippo-1447893297", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }