Bambang to buy Bank Summa

Bambang to buy Bank Summa

JAKARTA (JP): President Soeharto's son Bambang Trihatmodjo and
businessman Johannes Kotjo are set to buy most of dissolved Bank
Summa's assets through their consortium, PT Bhakti Karya Indah
Permai (BKIP).

BKIP said it signed an agreement Tuesday to take over the
bank's assets through the bank's appointed liquidation team. The
agreement ends a five-year dispute over the bank's assets.

Assets to be bought include Darmo Satellite Town, a 53-hectare
housing and commercial development in Surabaya in East Java, the
Jakarta International Trade Center on 44 hectares in Kemayoran,
East Jakarta, and Jakarta's Peranusa Sari-Garden Hotel.

"Bank Indonesia has approved the acquisition," the company
said.

The company said it would cooperate with other investors to
operate the properties.

PT Bhuwantala Indah Permai Tbk, a commercial property
operator, has agreed to buy 36 percent of PT Darmo Satellite Town
which operates a 45-hectare housing complex in Darmo and owns an
eight-hectare plot in Surabaya.

Bhuwantala, also controlled by Bambang and Kotjo, will turn
the eight-hectare site into a commercial area.

Bank Summa, formerly owned by William Soeryadjaya, was
suspended in 1992 for failing to meet financial obligations.

Much of the bank's assets were sold to repay depositors'
funds, but the bank's debts to the central bank and other local
financial institutions are unpaid .

The company did not say how much Bank Summa's remaining assets
were worth but analysts put it at about Rp 950 billion (around
US$395 million), mostly in the form of loans.

Many local businessmen had earlier proposed buying the bank's
remaining assets, including the Darmo housing complex and other
properties.

One takeover bid was made by Bambang's sister, Siti Hardiyanti
Rukmana in 1994, but she withdrew her offer for undisclosed
reasons. (02)