Dharmala Sakti seeks to annul bankruptcy status<\/p>\n
JAKARTA (JP): Publicly listed PT Dharmala Sakti Sejahtera has
\nasked the Supreme Court to annul its bankruptcy status, claiming
\nthat the verdict is legally flawed.<\/p>\n
Dharmala Sakti's lawyer Jimmy Chandra Maschur said on Monday
\nthat the verdict issued by the Jakarta Commercia Court in early
\nJune breached standard procedures.<\/p>\n
\"There were irregularities during court procedures by which
\nDharmala Sakti was declared bankrupt,\" Jimmy said, adding the
\ncompany had filed an appeal to protest the decision.<\/p>\n
The majority creditors of Dharmala Sakti voted in early June
\nto bankrupt the listed company after they turned down the
\nlatter's debt restructuring proposal.<\/p>\n
A day after the vote, the Commercial Court, on behalf of the
\ncreditors, officially declared Dharmala Sakti bankrupt.<\/p>\n
According to an existing law, a company which is declared
\nbankrupt due to a vote by creditors can not make an appeal.<\/p>\n
Jimmy said the voting was held prematurely, adding that the
\nJakarta Commercial Court should have given Dharmala Sakti time to
\nrevise its debt restructuring proposal to persuade the voting
\ncreditors.<\/p>\n
\"Depriving Dharmala Sakti of its rights has sent the company
\ninto bankruptcy,\" Jimmy said.<\/p>\n
He also criticized that the weighting of the vote of each
\ncreditor was based on a wrong rupiah to U.S. dollar exchange
\nrate.<\/p>\n
Dharmala Sakti owes debts in both rupiah and dollars to
\nvarious creditors.<\/p>\n
\"The result of the voting was invalid as it was not using the
\nappropriate rupiah to dollar exchange rate as published by Bank
\nIndonesia,\" Jimmy said.<\/p>\n
Joint venture creditor PT Hanil Bakrie Finance Corporation
\nfiled a bankruptcy suit in mid-February against Dharmala Sakti
\nfor the latter's failure to repay a US$2.4 million matured debt.<\/p>\n
Dharmala Sakti then asked the court to hold off issuing a
\nverdict in the bankruptcy suit, which was filed in order to allow
\nthe holding company to negotiate its debt restructuring with the
\ncreditors.<\/p>\n
In the 1998 Bankruptcy Law the request is possible as
\nstipulated in its suspension of payment section, which says that
\na company facing a bankruptcy suit can temporarily halt the
\naction by filing a suspension of payment request to the court.<\/p>\n
Under the suspension of payment procedure, the fate of the
\ncompany would be decided by the creditors' majority vote instead
\nof court ruling.<\/p>\n
Among the largest creditors of Dharmala Sakti who participated
\nin the voting process were the Indonesian Bank Restructuring
\nAgency (IBRA), Hong Kong-based Peregrine Fixed Income, currently
\nin liquidation, the Singapore branch of the Canadian Imperial
\nBank of Commerce (CIBC), joint venture PT AB Sinar Mas Finance
\nand the Jakarta branch of the Standard Chartered Bank.<\/p>\n
Dharmala Sakti is a holding company of the Dharmala Group,
\nowned by the Gondokusumo family.<\/p>\n
There are five companies affiliated with the Dharmala Group
\nwhich have been declared bankrupt: PT Dharmala Agrifood, PT Putra
\nSurya Multidana, PT Deemte Sakti Indo, PT Putra Sejahtera Persada
\nand foreign affiliate Detron Ltd. of Singapore. (udi)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/dharmala-sakti-seeks-to-annul-bankruptcy-status-1447893297",
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