Bank DKI president to be questioned

Bank DKI president to be questioned

JAKARTA (JP): Chief of the Jakarta Prosecutor's Office
Syahmardan Lubis said on Tuesday that he would summon city-owned
Bank DKI's president Soeharto and officials of city-owned
property developer PD Pembangunan Sarana Jaya (PSJ) to clarify
the bank's Rp 172 billion (US$21.5 million) bad credit.

"We are now collecting data on the case and, if any thing is
found, it is possible we will bring them to court," Syahmardan
said.

He said that to get data, the office had established several
teams in charge of handling data collection on Bank DKI, PSJ and
other related institutions.

"We hope the teams can finish their tasks soon so that the
case can be finalized as soon as possible," he said.

However, he said, the teams faced an uphill task because
collecting data was not easy work.

As of mid-October, the bank's bad credit had reached Rp 172
billion which, according to city councilors, was caused mainly by
Soeharto's "authoritarian" management style especially in the
process of granting loans.

Soeharto and his deputies, namely the bank's director of
general affairs Djunaidy Albaghdady and marketing chief Bassar
Soetardjo, have been accused of involvement in the fraudulent
purchase of 124.8 hectares of land in Bogor.

The case also involves PSJ officials who reportedly played
roles in purchasing the land from PT Multan Ekadharma for the
development of a housing complex for the administration's
employees.

However, Syahmardan could not name the PSJ officials to be
summoned. "We haven't identified them," he said. (ind)