Indonesian Political, Business & Finance News

Ainin Indarsih Family Wins Appeal Against PT Obsidian Stainless Steel in Southeast Sulawesi Land Dispute

| Source: GALERT
Kendari — The Ainin Indarsih family has won their appeal against a Unaaha District Court ruling in a land dispute execution case filed by PT Obsidian Stainless Steel (OSS) in 2024.

In its decision numbered 21/Pdt/2025/PT Kendari, dated Tuesday (24/6/2025), the Southeast Sulawesi High Court ruled to accept the appeal from the Ainin Indarsih family and overturn the Unaaha District Court decision number 22/Pdt.Bth/2024/PN.Unh of 25 February 2025, which had previously been won by PT OSS.

Andre Darmawan, legal counsel for the Ainin Indarsih family, said he appreciated the steps taken and the decision handed down by the Southeast Sulawesi High Court. He assessed that the judicial institution had made the correct decision in ruling in favour of his clients on appeal.

"I consider the Southeast Sulawesi High Court to have been objective in deciding the appeal case filed by our clients, based on the authentic evidence and facts we presented," Andre said.

The case originated when the Ainin Indarsih family filed suit against PT Virtu Dragon Nickel Industry (VDNI) for encroaching on a 200 by 400 square metre plot of land in Porara Village, Morosi Sub-district, Konawe Regency. During proceedings at the Unaaha District Court, PT VDNI quietly sold the disputed land to PT OSS without regard for the ongoing case. A coal conveyor building belonging to PT OSS has since been erected on the land.

The Unaaha District Court initially ruled in favour of the Ainin Indarsih family in decision number 26t/Pdt.G/2020/PN.Unh. PT VDNI appealed to the Southeast Sulawesi High Court but lost, with the court again ruling for the Ainin Indarsih family in decision number 78/PDT/2021/PT KDI. PT VDNI's subsequent cassation and judicial review appeals to the Supreme Court of the Republic of Indonesia were also rejected.

On the basis of these rulings, the Ainin Indarsih family filed for execution of the land order. The Unaaha District Court, together with the Konawe National Land Agency (BPN) and police, conducted a land verification exercise. However, PT OSS refused to allow the execution to proceed and requested the opportunity to file a counter-suit at the Unaaha District Court, arguing that it had purchased the land from PT VDNI and held a Building Use Rights (HGB) certificate.

"When we filed for execution, it was about to be carried out. But PT OSS filed an objection to the land execution at the Unaaha District Court, on the grounds that they already held HGB rights at the execution site," Andre explained.

The Unaaha District Court subsequently ruled in favour of PT OSS, declaring PT OSS to be a legitimate objector. The Ainin Indarsih family then appealed to the Southeast Sulawesi High Court.

The High Court overturned the District Court's ruling, declaring PT OSS to be an illegitimate objector. "PT OSS was declared an illegitimate objector because it transpired that PT OSS purchased the land from Virtu [PT VDNI] while it was subject to an active dispute that had already been won by the Ainin Indarsih family," Andre explained.

As a result of the High Court's appeal decision, PT OSS has been ordered to cooperate and vacate the disputed land immediately.
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