Mon, 07 Aug 2000

Banks sign deals with IBRA

JAKARTA (JP): Shareholders of Bank Tamara and Bank Nusa Nasional (BNN) signed agreements to settle their debts with the Indonesian Bank Restructuring Agency (IBRA) on Friday, the agency has said.

Based on financial and legal due diligence reports, Tamara owes the government Rp 465.1 billion and BNN owes Rp 3.59 trillion.

The two banks were taken over by the government in March 1999.

Mahmuddin Yasin, deputy chairman of IBRA's Asset Management Investment Unit, said the next step would involve the two banks discussing methods to settle their obligations, including the assets pledged by shareholders.

The discussions were expected to reach a conclusion by September 2000, he said. (10)