Lippo e-Net probed for allegedly misleading public<\/p>\n
JAKARTA (JP): Listed life insurance company PT Lippo e-Net has
\npresented misleading information to the public to give a false
\nimage of the company, an informed source has said.<\/p>\n
The source said the Jakarta Stock Exchange (JSX) had sent a
\nreport on the insurance company's alleged wrongdoing to the
\nCapital Market Supervisory Agency (Bapepam) for further
\ninvestigation.<\/p>\n
JSX director for listing and supervision Harry Wiguna
\nconfirmed that JSX had reported the case to Bapepam.<\/p>\n
\"There were some inconsistencies in the statements made by
\nLippo e-Net from those printed in a distributed press release and
\nthose made during a public expose,\" Harry said.<\/p>\n
However, he said he did not know whether the inconsistencies
\nfrom the insurance company could be categorized as releasing
\nmisleading information to the public.<\/p>\n
\"This is a task for Bapepam, which has the authority to
\njudge,\" he added.<\/p>\n
But according to the source, one of the main inconsistent
\nstatements made by Lippo e-Net was the company's Rp 1 trillion
\ninvestment plan in the Internet business.<\/p>\n
\"JSX has studied all the statements in the distributed press
\nreleases, and compared them with those the company made during
\ntheir public expose,\" the source added.<\/p>\n
As reported in early January, Lippo e-Net announced it would
\nsoon allocate the above amount of fresh funds for the company's
\nInternet business.<\/p>\n
It then changed its name to PT Asuransi Lippo e-Net -- with
\nLippo e-Net as the company brand name -- from PT Asuransi Lippo
\nLife.<\/p>\n
Dandossi Matram from Bakrie Securities said the act of
\nreleasing inconsistent statements also meant \"giving misleading
\ninformation\".<\/p>\n
\"It is obvious that the two phrases have the same meaning,
\nwith only the former one being a softer way of saying it,\" he
\nsaid.<\/p>\n
Meanwhile, Bapepam chairman Herwidayatmo also confirmed over
\nthe weekend that he also received a report from JSX on Lippo e-
\nNet.<\/p>\n
\"Yes, I received the report on Friday afternoon from JSX and I
\nhave passed it on to Freddy Saragih (the agency's head of the
\nCompany Financial Assessment Bureau),\" he said.<\/p>\n
\"Bapepam will take action if there has been a breach of law in
\nthe case,\" he said, adding that Bapepam would uphold the
\nprinciple of fair information disclosure to the public.<\/p>\n
Law No. 8\/1995 on capital markets clearly prohibits any party
\nfrom intentionally giving false or misleading information to the
\npublic for any targeted purpose, including to artificially
\ninfluence share prices on the stock market.<\/p>\n
The law threatens violators with a maximum of 10 years
\nimprisonment and a maximum Rp 15 billion fine.<\/p>\n
Lippo e-Net president commissioner Billy Sindoro has denied
\nthat the company violated any laws.<\/p>\n
\"The Internet business is of the company's interest and we
\nwill invest in that to increase the value of stock held by
\ninvestors,\" he told a news conference recently.<\/p>\n
He stressed that Lippo e-Net had about Rp 2 trillion in assets
\nthat can be gradually used for Internet investment.<\/p>\n
The Rp 2 trillion assets include Rp 170 billion in cash, Rp
\n1.2 trillion in marketable securities and the remaining in equity
\nparticipation in nonlisted affiliates.<\/p>\n
Lippo e-Net, listed on the JSX, currently manages less than 1
\npercent of the insurance premium funds placed by clients in the
\ncompany as it has transferred more than 99 percent of the funds
\nto its affiliate, PT AIG Lippo, which is 30 percent owned by
\nLippo e-Net. (udi)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/lippo-e-net-probed-for-allegedly-misleading-public-1447893297",
"image": ""
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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