Businessman questioned in connection with loan scandal<\/p>\n
JAKARTA (JP): Businessman The Nin King was questioned by the
\nAttorney General's Office Tuesday as a suspect in an Rp 572.2
\nbillion (US$76 million) Bank Rakyat Indonesia (BRI) loan scandal.<\/p>\n
The owner of the widely diversified Argo Manunggal Group was
\nquestioned for more than five hours by officers from the
\nIntelligence Operation Center and the Special Crimes Division.<\/p>\n
The Nin King, however, refused to speak to reporters after the
\nquestioning.<\/p>\n
The Nin Kings's lawyer, Deny Kailimang, confirmed that his
\nclient was questioned as a suspect in the case.<\/p>\n
The investigation followed a report filed by the Movement of
\nConcerned Citizens on State Assets (Gempita) to the Attorney
\nGeneral's Office alleging irregularities in loans given to Nin
\nKing from state-run BRI.<\/p>\n
BRI's president director Djoko Santoso Moeljono was questioned
\nby the Attorney General's office last week.<\/p>\n
BRI is one of seven state banks currently being restructured
\nbecause of massive overlending practices.<\/p>\n
Unlike three other state banks which will be merged, the
\ngovernment has decided to continue BRI's operation. However, it
\nwill undergo massive downsizing and focus on lending to small
\nenterprises, handing over its large corporate clients to the
\nnewly established Bank Mandiri.<\/p>\n
Gempita questioned Djoko's decision in approving loans to
\ncompanies under the Argo Manunggal group despite the fact that
\nthese companies were performing poorly.<\/p>\n
These loans include a Rp 99.1 billion loan to PT Karawang
\nUtama Tekstil, Rp 66.4 billion to PT Surya Pratama, Rp 57.5
\nbillion to PT Maligi Spinning Mills, Rp 9.2 billion to PT Multi
\nSweeten Industries and hundreds of billions of rupiah to Argo
\nManunggal's real estate unit.<\/p>\n
The loans to real estate companies Karawang Utama, Surya Karya
\nPratama and Maligi turned bad despite efforts by BRI to rescue
\nthem.<\/p>\n
Gempita also claimed dubious practices in BRI's $50 million
\nloan to PT Mulia Griya Indah, a unit of the Mulia Group, for the
\ndevelopment of the Taman Anggrek II housing project.<\/p>\n
Deputy Attorney General for Special Crimes Anton Sujata said
\non Monday that Djoko, The Nin King and the owners of the Mulia
\nGroup, Djoko Soegiarto Chandra and Eka Chandra Negara, have been
\nbarred from leaving the country pending further investigation. (byg)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/businessman-questioned-in-connection-with-loan-scandal-1447893297",
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