Bankrupt Bintan resort for sale

Bankrupt Bintan resort for sale

SINGAPORE: A bankrupt resort on the Indonesian island of Bintan was given the go-ahead to look for a buyer after Singapore's High Court threw out a bid by creditors to put it under judicial management, news reports said on Thursday.

Singapore-majority owned Bintan Lagoon Resort will continue to operate until it is sold, the court ruled.

The petition was filed by several creditors, including DBS Bank and the Inland Revenue Authority of Singapore, seeking to recover S$70 million (US$42.6 million), The Straits Times said.

They had purchased bonds issued by Bintan Lagoon Resort that were not paid on maturity in 2000.

Placing the company under judicial management would have given the plaintiffs a higher chance of recovering their money than liquidation.

The High Court decided on Wednesday it was not in the public's interests to take this route, however.

"The sales process can now resume at full speed," Ong Yew Huat was quoted as saying. He is from Ernst & Young, appointed as the receiver and manager of the resort in October.

He said serious talks were going on with several international, regional and local parties.

The resort features two 18-hole golf courses designed by Jack Nicklaus and Ian Baker-Finch and a hotel with 416 rooms and six villas. -- DPA