Banks file bankruptcy claim against Indomobil subsidiary

Banks file bankruptcy claim against Indomobil subsidiary

JAKARTA (JP): At least 12 overseas and local banks have filed a
joint bankruptcy claim in the Jakarta Commercial Court against PT
Bringin Indotama Finance, part of the Indomobil Group, for
defaulting on debt payments.

The banks are BRI Finance Limited, the Hong Kong subsidiary of
state Bank Rakyat Indonesia (BRI), the Hong Kong branch of state
Bank Pembangunan Indonesia (Bapindo), Bank Indonesia Raya (Bank
Bira), AB Capital Markets Ltd of Hong Kong, Kumho Merchant Bank
of South Korea, the Singapore branch of Bank of India, Hanmi
Leasing & Finance Limited of Hong Kong, KIMB Finance Limited of
Hong Kong, Korea Industrial Company of Hong Kong, Cho hung
Leasing & Finance and Hanil Leasing and Finance of Hong Kong.

According to a document made available to The Jakarta Post by
Joni Aris Bangun of Hanafiah & Ponggawa law firm, the plaintiff's
lawyer, Bringin Indotama failed to pay a total debt of US$20
million, due on Dec. 24 last year, to the creditors.

"The debtor failed to pay the loan on the due date and
therefore the creditors have lodged a bankruptcy petition against
it," Joni said in the statement.

He said Bringin Indoatama, a multifinance arm of Indomobil,
also obtained a significant loan from other creditors including
Bank Bali, Bank Rakyat Indonesia, Bank Danamon and Bank
Internasional Indonesia (BII).

Two construction firms, PT Jaya Readymix and PT Primacoat
Lestari, have also jointly filed a bankruptcy petition against
state-owned PT Hutama Karya in the same court for the latter's
failure to pay a construction bill totaling Rp 2.36 billion
($315,626).

The plaintiff's lawyer, Herry Wibowo of A. Teras Narang and
Associates, told the Post on Wednesday that the construction
firms were forced to take Hutama Karya to court because it had
not shown any good intent to meet its obligation.

"Though my clients have completed their work, Hutama Karya did
not pay the construction fee to my clients."

Herry said the two construction firms were involved in
construction of property projects owned by PT Hutama Karya
between 1996 and 1997.

In another development, the commercial court declared property
developer PT Indra Maju Lestari on Friday last week after it
failed to reach agreement with creditors over debt payment.

"Since the company did not provide any good debt restructuring
plan, the creditors rejected its plan and asked the court to
declare it bankrupt," said Gunawan Tjahyadi, the plaintiff's
lawyer.

Presiding judge Ch. Kristi Purnami Wulan declared the property
bankrupt after its failure to reach an agreement with its
creditors.

The commercial court approved early last month Indra
Maju'sproposal to temporarily suspend the payment of its debt to
construction firm PT Lukindo Technics pending settlement of the
debt.

Construction firm Lukindo Technics, which was involved in
building an apartment on Jl. Kartini in Central Jakarta owned by
Indra Maju, filed a bankruptcy petition in late September after
Indra Maju failed to pay construction fees worth Rp 8.12 billion
and $444,410 due to be paid on Aug. 25 last year. (aly)