Indonesian Political, Business & Finance News

Archive: 25 June 1999

49 articles found

Court set to decide Sempati case in July

Court set to decide Sempati case in July JAKARTA (JP): The Jakarta Commercial Court will hand down a verdict on July 5 on dissolved private airline PT Sempati Air's bankruptcy petition, the airline's lawyer said on Thursday. Yan Apul acknowledged that some Sempati creditors might oppose the bankruptcy petition due to fears existing assets would not be enough to cover its huge debts.

Tricky trap for Megawati

Tricky trap for Megawati I am writing in response to Willem Oltmans letter of June 2. If you declare yourself a friend of Sukarno, Indonesia's first president, having known him intimately (so you say), you should not insult his daughter. Obviously you are not a friend of Megawati Soekarnoputri's late father because if you were, you would know that Megawati lived, breathed and ate politics for breakfast, lunch and dinner.

Maspion predicts higher exports

Maspion predicts higher exports JAKARTA (JP): Widely diversified Maspion Group expects higher export earnings this year thanks to a growing demand for its household electronics appliance, the company's senior executive said on Thursday. The group's president, Alim Markus, said a growing overseas demand was expected to boost export earnings by 16 percent to US$180 million this year from $155 million in 1998. "In the first semester of 1999, our exports were expected to reach $85 million.

Hilton Hanoi boss freed from jail

Hilton Hanoi boss freed from jail HANOI (Reuters): Vietnamese police have released the head of the Hilton Hotel's local joint venture partner in Hanoi after she was detained for alleged gambling activities, officials said on Thursday. Le Thi Mao, director of the state-run Dong Loi Tourism Co., which holds a 30 percent stake in the US$64-million Hilton Hanoi Opera Hotel, was released at the end of May but it was unclear if she had been, or would be charged, a company official said.

Bakrie to complete debt restructuring in September

Bakrie to complete debt restructuring in September JAKARTA (JP): The widely diversified PT Bakrie & Brothers is set to complete the restructuring of its US$1.02 billion debt in September this year, the business group's top executive said here on Thursday. Company president Irwan Sjarkawi said auditors were now in the final stages of the due diligence on the proposed debt-to-equity swap. "The auditors are still working hard on the due diligence.

Why is KPU so slow?

Why is KPU so slow? The General Elections Commission (KPU), whose vote-counting has been painfully slow, seems to be at a loss as to how to improve its operations. The commission, which was responsible for all the preparations for the June 7 general election, has been criticized for its many shortcomings. Now even more people are lashing out at the commission for its painfully slow ballot counting. Some KPU members say that sluggishness is the order of the day among regional election committees.

No paper

No paper In observance of Prophet Muhammad's birthday, The Jakarta Post will not be published tomorrow. The Post will appear again on Sunday. -- Publisher

Pertamina admits to halting additive imports

Pertamina admits to halting additive imports JAKARTA (JP): After more than two months of silence, state oil and gas company Pertamina acknowledged on Thursday to halting the import of Detergent III Plus, an important additive in fuel for motor vehicles, since April 1.

Strengthening rupiah brings fresh hope

Strengthening rupiah brings fresh hope Indonesian businessmen are at present seeing a glimmer of hope in the strengthening trend of our national economy. Hope has been bolstered with the strengthening of the value of the rupiah against the U.S. dollar, which (on Tuesday) broke through the psychological barrier of Rp 6,500 to the dollar -- a record high since the onset of the economic crisis.

20% of bad debts 'cannot be restructured'

20% of bad debts 'cannot be restructured' JAKARTA (JP): Deputy chairman of the Indonesian Bank Restructuring Agency (IBRA) Eko S. Budianto projected on Thursday that some 20 percent, or Rp 46 trillion of the Rp 230 trillion (US$32.86 billion) of nonperforming bank loans (NPLs) could not be restructured. He said the agency would seize assets that backed the bad loans for liquidation.

Court delays bankruptcy claim against Fiskaragung

Court delays bankruptcy claim against Fiskaragung JAKARTA (JP): The Jakarta Commercial Court delayed on Thursday the first hearing on the bankruptcy petition jointly filed by 10 foreign creditors against publicly listed salt producer PT Fiskaragung Perkasa. "The court's first hearing is delayed until next week to give more time to the defendant's lawyer to study the case," the presiding judge said.

On constitutional reform

On constitutional reform From Neraca Recently, constitutional law expert Prof. Dr. Ismail Suny said Abdurrahman Wahid's (popularly known as Gus Dur) proposal on the separation of power between the head of state and the head of government was contrary to the 1945 Constitution. "Based on the 1945 Constitution, the president is the head of state and at the same time the head of government," said Ismail Suny at a Golkar political discussion session in Jakarta on June 19.

East Kalimantan porpoises face threat of extinction

East Kalimantan porpoises face threat of extinction By Iskandar Zulkarnaen SAMARINDA, East Kalimantan (Antara): In the 1970s, Mahakam river was a big attraction for locals wanting to watch schools of playful porpoises (Orcaella brevirostris). In the late afternoon, when weather was fine, people would gather at the river bank waiting for the big animals to proceed down the river with only their shiny black backs showing on the surface of the water.

Gripes greet low visitor turnout at tourism expo

Gripes greet low visitor turnout at tourism expo KUTA, Bali (JP): The Bali Tourism Expo, held here as part of the first annual Bali Travel Mart (BTM), has not succeeded in attracting visitors, with some vendors attributing it to a lack of promotion by the organizer. Participants complained on Thursday that no significant number of visitors came to Kuta Center, which is located near the popular Kuta Beach.

Floods recede in Bangladesh

Floods recede in Bangladesh CHITTAGONG, Bangladesh (AFP): Flood waters began to recede on Thursday after early monsoon rains wreaked havoc here, stranding 40,000 people and leaving a school headmaster dead, residents said. There was no immediate police confirmation that the 48-year- old teacher had died late Wednesday in this southeastern port city.

Salim sells more RI stake

Salim sells more RI stake HONG KONG (Dow Jones): The Salim Group said late Wednesday it still plans to sell up to an additional 12.5 percent of PT Indofood Sukses Makmur despite unloading a 40 percent stake Tuesday. Salim sold 40 percent of Indonesia's largest noodle maker to Hong Kong conglomerate First Pacific Ltd. for US$650 million. After the deal, Salim, which is also First Pacific's parent company, will control 22.6 percent of Indofood.

PBSI uses motivational trainer for juniors

PBSI uses motivational trainer for juniors JAKARTA (JP): In a bid to improve the performance of its junior players, the Badminton Association of Indonesia (PBSI) has invited a motivational trainer in to encourage younger shuttlers ahead of international tournaments. The PBSI official in charge of athletes development, Mangombar Ferdinand Siregar, said on Thursday PBSI invited Andrie Wongso to provide input to the association on how to increase the juniors' motivation.

Estrada apologizes to freed Belgians

Estrada apologizes to freed Belgians MANILA (AP): President Joseph Estrada met on Thursday with two Belgians who were freed by kidnappers in the southern Philippines and apologized to the Belgian ambassador for their abductions. Estrada said he was relieved Belgian land reform expert Lieven de la Marche and journalist Eric Bracke were unharmed and said he ordered government troops to hunt down the kidnappers.

Rival East Timor factions to start new peace talks

Rival East Timor factions to start new peace talks DILI, East Timor (JP): The second round of peace talks between disputing factions in East Timor will begin this weekend in Jakarta with 30 members from both the prointegration and proindependence camps, including 1996 Nobel Peace Prize co- laureate Ramos Horta.

Indonesia travel mart on schedule

Indonesia travel mart on schedule By I. Christianto NUSA DUA, Bali (JP): Following the Bali Travel Mart here from June 22 to June 26, Indonesia will hold the annual Travel Indonesia Mart & Expo (TIME) for the sixth time in September as scheduled. TIME's steering committee chairwoman Meity Robot said on Thursday the event would be held from Sept. 21 to Sept. 25 at the Jakarta Convention Center.

Regent urges end of drugs trade

Regent urges end of drugs trade MAUMERE, East Nusa Tenggara: Sikka Regent Paulus Moa urged all parties to help stop the distribution of illegal drugs here following the arrest of a number of locals involved in the use and distribution of ecstasy and shabu-shabu, which is an amphetamine-derivative. Rumors of the existence of a drugs syndicate in the area backed by businessmen and police have been denied.

Government reviews incentives for gas producers

Government reviews incentives for gas producers JAKARTA (JP): A top official at the Ministry of Mines and Energy announced on Thursday the government had reviewed a planned incentive package for the country's natural gas producers, following approval of the intergovernmental fiscal balance law by the House of Representatives.

Street justice gaining popularity

Street justice gaining popularity JAKARTA (JP): The continuing series of brutal mob killings of suspected criminals by residents in the capital has stunned many people. Many condemn the frenzied behavior of the residents, while others understand the anger that causes people to deal out their own justice to those found committing crimes in their neighborhoods.

Suwandi grabs a spot in the SEA Games team

Suwandi grabs a spot in the SEA Games team JAKARTA (JP): Men's singles player Suwandi ensured a place in the 20th Southeast Asian (SEA) Games team after two victories on the second day of the national selection at Kemayoran Tennis Center. Suwandi, a former member of Indonesia's Davis Cup team, defeated on Thursday Sebastian Da Costa 6-3, 6-1 and Hendri Susilo Pramono 6-2, 6-3. Suwandi won all four of his matches.

Where to go in Jakarta:

Where to go in Jakarta: Exhibitions * Painting Exhibition: Misteri Wanita Dalam Ukiyo-e, at Pusat Kebudayaan Jepang - The Japan Foundation, Summitmas I, Jl. Jend. Sudirman Kav. 61-62 South Jakarta (Phone: 5201266), 10 a.m. to 6 p.m., until June 30. * Painting Exhibition: Virtual Reality, by Heri Dono, at Erasmus Huis, Jl. H.R. Rasuna Said, Kav S-3, Kuningan, South Jakarta (Phone: 5252321), Monday to Saturday, 9 a.m. to 5 p.m., until July 10.

Telkom-1 satellite launch may be delayed

Telkom-1 satellite launch may be delayed JAKARTA (JP): PT Telkom has not received formal notification from European space launcher Arianespace concerning a possible delay in the launch of its Telkom-1 satellite, a company spokesperson said on Thursday. "Arianespace has not given us formal notification on the matter. So, Telkom will stick to the agreement to launch Telkom-1 in early July until we receive formal notice," Dodi Amirudin told The Jakarta Post.

Questioning of editors in Ghalib case blasted

Questioning of editors in Ghalib case blasted JAKARTA (JP): The police summons of three senior newspaper editors for questioning regarding the defamation charges lodged by former attorney general Andi Ghalib against executives of the Indonesian Corruption Watch (ICW) received strong criticism on Thursday. According to August Parengkuan, managing editor of Kompas, police should not summon media workers for questioning in relation to their reports.

Elections body membership valid until 2003: Syarwan

Elections body membership valid until 2003: Syarwan JAKARTA (JP): The government gave its guarantee on Thursday that all 53 members of the General Elections Commission (KPU) would serve their full terms until 2003. Minister of Home Affairs Syarwan Hamid said the General Election Law did not suggest that KPU members whose parties failed to win 2 percent of the House of Representatives seats would be expelled from the commission. "The government's decision is clear.

Habibie believes economy starting on road to recovery

Habibie believes economy starting on road to recovery JAKARTA (JP): President B.J. Habibie said on Thursday Indonesia's recession-hit economy was rising from its nadir and heading toward recovery. He said with the stabilization of the domestic political situation, the pace of economic recovery would accelerate.

Stock Exchange

Stock Exchange Stock prices on the Jakarta Stock Exchange (in rupiah) on June 24, 1999: Shares Close Change Trading Volume --------------------------------------------------------- Ades Alfindo 575 0 471,000 AHAP Insurance 525 0 0 Alakasa Industrindo 375 0 22,500 Alter Abadi 500 0 5,451,000 Alumindo Light Metal 1,250 0 70,500 Aneka Kimia Raya 625 75 547,000 Aneka Tambang (Persero) 1,600 50 19,178,500 Anwar Sierad 450 -25 2,204,000 APAC Centertex Corp.

Amien Rais ready for presidency despite party's loss

Amien Rais ready for presidency despite party's loss JAKARTA (JP): National Mandate Party (PAN) chairman Amien Rais has retracted his decision to withdraw from the race for presidency, citing an advantage he may take in the much anticipated deadlock in the presidential election.

Reforming education with an eye to democracy

Reforming education with an eye to democracy By Nirwan Idrus JAKARTA (JP): Indonesia played center stage on Monday, June 7. The whole world watched the general election on that day, claimed to be Indonesia's first real democratic election in four decades. Television coverage around the world showed ordinary Indonesians preparing to vote and putting their ballots in the boxes marked with the appropriate RT and RW numbers (neighborhood community associations).

UNAMET impartiality?

UNAMET impartiality? Preparations for direct balloting in East Timor to determine whether the East Timorese will remain integrated with Indonesia or become independent have been going on intensively, involving both the United Nations Assistance Mission in East Timor (UNAMET) and the Indonesian government. Nevertheless, UNAMET staff members have already reported that current conditions are still not conducive enough for implementation of the direct ballot.

Time for Golkar to be in opposition

Time for Golkar to be in opposition By Jusuf Wanandi JAKARTA (JP): Uncertainties about a new government have emerged in the aftermath of a successful election. This is due to problems relating to the complicated election rules on one hand and the high expectation from people that the elections will finally bring about reforms and change on the other. That means, the establishment of a new reform-oriented government.

HSBC, Hasko sign agreement

HSBC, Hasko sign agreement JAKARTA (JP): The Hong Kong and Shanghai Banking Corporation (HSBC) Indonesia early this week signed an agreement with panel wood manufacturer Hasko Group to provide cash management financial services. The package called "Hexagon" includes account information services and funds transfers, according to senior manager of HSBC Indonesia James Hogan. Funds transfers cover leasing, supplier payments, trade payments and salary payments, he said.

Consortium seeks to write off Games debt

Consortium seeks to write off Games debt JAKARTA (JP): The underwriting consortium for the 19th Southeast Asian (SEA) Games have urged high-ranking officials to ask President B.J. Habibie to take over its Rp 35 billion (US$522,388) debt to the State Secretary. State Minister of Youth Affairs and Sports Agung Laksono and Deputy Attorney General for Civil and State Administration Affairs Wan Jacob Rahim Saleh met with the consortium's executive director Bambang Riyadi Soegama on Thursday.

Habibie's trip to Aceh 'a failure'

Habibie's trip to Aceh 'a failure' JAKARTA (JP): The National Commission on Human Rights said on Thursday that President B.J. Habibie's visit to the troubled Aceh areas in March was "a failure". "The President's trip... failed to convince the Acehnese that the government is serious in resolving past rights abuses in the province," Marzuki Darusman, the commission chairman, told The Jakarta Post.

Conversion Rates

Conversion Rates Bank Bali's conversion rates on June 24, 1999: TT rates Bank notes rates Buying Selling Buying Selling Rp Rp Rp Rp U.S.

Would-be councilors vow to wage war against KKN

Would-be councilors vow to wage war against KKN JAKARTA (JP): Executives of political parties' Jakarta chapters which have gained enough votes to secure seats in the City Council vowed on Thursday to rid the city administration of corruption, collusion and nepotism.

Cash rewards given to poll committee

Cash rewards given to poll committee JAKARTA (JP): While most of its counterparts are still debating poll results in their areas, the North Sulawesi elections committee has seen its hard work pay off. The North Sulawesi administration has awarded each of the 44 provincial poll committee members Rp 7 million (US$1,040) to encourage them to bring a speedy end to deliberations over reports of violations. Committee chairman F.

Water needed in drought-hit districts

Water needed in drought-hit districts WONOGIRI, Central Java: Residents in the districts of Pracimantoro and Giritontro face a shortage of clean water, an official said. Budisena said residents had forwarded requests for clean water to be sent to the districts. The area has been hit by a drought since early May, he said, adding that residents would have to pay Rp 523 per cubic meter for the water.

Plan for new military commands evokes caution

Plan for new military commands evokes caution JAKARTA (JP): The National Commission on Human Rights said on Thursday it would be "very cautious" in supporting the plan to establish eight new military commands throughout the country. "It is not clear what the objectives are.

RP to raise tollway fees

RP to raise tollway fees MANILA (Dow Jones): Philippine National Construction Corp. (PNCC) said Thursday it plans to raise fees at its tollway in the southern portion of Metro Manila. PNCC spokeswoman Cheche Perez said the toll increase will take effect once a new section of an elevated roadway, built and operated by Indonesia's PT Citra Lamtoro Gung Persada, opens to vehicular traffic.

Fatal fire kills family of five

Fatal fire kills family of five BANJARMASIN, South Kalimantan: A family died in a fire in Banjar Selatan district here on Thursday, Antara new agency reported. The fire broke out at 1 a.m. in the densely populated district where H. Abdul Gani and his family resided. The victims were identified as Abdul Gani, his wife Sri Diana and their children Iwan, Ani and Fitri. Twenty other homes were razed before the fire was put out at 2:15 p.m. The cause of the fire is not yet known.

Police question model Sophia as witness

Police question model Sophia as witness JAKARTA (JP): Movie and television star Sophia Latjuba was summoned by the National Police Headquarters on Thursday and questioned for five hours as a witness in a police investigation into alleged violations of the press' code of ethics by several publications here. Driving a gray Volvo sedan, Sophia, a divorcee with a young daughter, arrived at the headquarters on Jl. Trunojoyo in South Jakarta at 10 a.m.

Prospective groom caught for robbery

Prospective groom caught for robbery TANGERANG (JP): Police have arrested a man for allegedly taking part in a mugging with two accomplices -- and using his share of the money to pay for his wedding. Ali, 25, was arrested on Wednesday with Sutisna, 35, and Johadi, 22, at their residences in the Kampung Baru area of Kresek district here, police said on Thursday. Local officers said the men allegedly robbed Tangerang resident, Budi Gunawan, 21, of Rp 1,575,000 a day earlier on Jl. Sitanala.

Car import tariff, tax revised

Car import tariff, tax revised JAKARTA (JP): The government on Thursday restructured taxes and import tariffs on automobiles, claiming the changes could lower the showroom prices of small sedans by 9.8 percent and small pickups by 7.5 percent. However, prices of minivans, which account for more than 80 percent of total car sales, are estimated to decline by a mere 1.2 percent, while those of luxury cars with engine capacities of more than 1,500 cubic centimeters will increase.

Watch out! Golkar maneuver

Watch out! Golkar maneuver We all agree that we have made a great mistake letting the New Era abuse power and control this country for more than 32 years and yet again we nearly get trapped by a maneuver. New Functional Group (Golkar), as its new slogan, is trying to use new opportunists, confuse people and maintain old practices including money politics in order to turn down the reform movement.

What if Megawati fails to become next president?

What if Megawati fails to become next president? By M.M. Bhoernomo KUDUS, Central Java (JP): Who will be elected the next president? This is the question of most interest after the polls. Although it is likely the next president will be nominated by the political party which collected the largest number of votes in the general election, the problem is that this party is the Indonesian Democratic Party of Struggle (PDI Perjuangan) and their presidential candidate is Megawati Soekarnoputri.