Nirwan Bakrie sued at commercial court<\/p>\n
JAKARTA (JP): PT Sinar Mas Multifinance has filed a bankruptcy
\nsuit with the Jakarta Commercial Court against prominent
\nbusinessman Nirwan D. Bakrie for his allegedly unfulfilled
\npersonal guarantee of over Rp 60 billion (US$8.5 million) in
\ndefaulted loans, according to a court document.<\/p>\n
The document, dated Jan. 4, specifies that Nirwan pledged a
\npersonal guarantee for a loan extended to PT Bakrie Capital
\nIndonesia (BCI), an affiliated company of family run diversified
\nconglomerate PT Bakrie & Brothers.<\/p>\n
The loan, which was disbursed in August 1997, was to finance
\nthe accounts receivable owned by BCI. The loan matured a year
\nlater in August 1998.<\/p>\n
\"Because BCI failed to repay the matured loan, we can recall
\nthe loan security which is the personal guarantee from Nirwan
\nBakrie,\" said the plaintiff's lawyer Benny Harman from Abdul
\nHakim G. Nusantara & Partners law firm.<\/p>\n
Benny said his client had sent letters to BCI asking for
\nrepayment of the matured loan, \"but they only released a
\nstatement that they were not able to repay yet because they had a
\ncash flow problem due to the economic crisis.\"<\/p>\n
Benny concluded that with such an excuse, the defendant
\nadmitted that the matured debt existed and that they could not
\nrepay it.<\/p>\n
According to the 1998 Bankruptcy Law, the plaintiff has to
\nprove that the party it is charging with bankruptcy -- an
\nindividual or a business entity -- has at least one matured debt
\nand two creditors.<\/p>\n
Benny also said Nirwan's personal guarantee was callable
\nwithout having first to liquidate the assets of BCI, the direct
\nparty that owed the loan.<\/p>\n
\"The personal guarantor can be treated as if he were the
\ndirect debtor, according to the existing law,\" Benny said.<\/p>\n
Thus Nirwan was responsible as if he were the direct recipient
\nof the loan proceeds, Benny added.<\/p>\n
Nirwan was qualified to be declared bankrupt, he said, because
\nhe also gave a personal guarantee to other parties, namely Bank
\nLippo, Bank Internasional Indonesia and Bank Nusa Internasional.<\/p>\n
The court hearing for the case will open next week, according
\nto commercial court staff. (udi)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/nirwan-bakrie-sued-at-commercial-court-1447893297",
"image": ""
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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