Decision on 'ANteve' bankruptcy petition to be given on Jan. 28
Decision on 'ANteve' bankruptcy petition to be given on Jan. 28
JAKARTA (JP): The Jakarta Commercial Court will rule on Jan.
28 on a bankruptcy petition filed by three foreign banks against
private television station ANteve.
Presiding judge Sihol Sitompul, who chaired ANteve's second
hearing on Thursday, said the station's lawyer had to provide
more evidence to the court by the latest on Friday for the panel
of judges.
"Hopefully we can come up with a good verdict next week," said
Sitompul, who is also chairman of the country's lone commercial
court.
ANteve's lawyer Tommy S. Bhail said on Thursday he was
optimistic his client would win as none of its terms of agreement
with creditors had fallen due.
"We knew from the beginning that my client had not broken any
agreement signed with its creditors. That's why we do not propose
any temporary suspension of payment," said the representative of
Fuady, Tommy and Aji Wijaya law firm.
The petition against the station, known for its sports and
entertainment news programing, was filed on Jan. 14 by Hong Kong-
based IBJ Asia Ltd., Korea Commercial Finance Ltd and Seoul-based
Hanareum Banking Corp.
The foreign investment banks and other ANteve bondholders,
including Hong Kong-based Shinhan Investment Bank and J.P Morgan
Securities Asia Ltd, are seeking recovery of a US$70 million
five-year-bond issued by PT Bakrie Investindo, the owner of the
television station.
The plaintiff's lawyer, Joni Aries Bangun, said on Thursday
ANteve defaulted on payment of $3.675 million in its sinking fund
due on June 11, 1998.
This is the fund a bond issuer has to pay over a fixed period
to assure bankers and bondholders payment of bonds will be
forthcoming when due.
According to the agreement signed by the bondholders and
issuers early in 1997, issuers would pay the interest and
principal of the bonds in the event it defaulted on either the
sinking fund or interest on the bond.
Tommy argued the sinking fund was not categorized as debt and
his client had no obligation to pay it to its foreign creditors.
Moreover, he said, ANteve and its foreign creditors were still
negotiating restructuring its debts.
The case is another landmark in the commercial court's short
history. ANteve is the first media organization sued in the court
since its founding following the enactment of the bankruptcy law
six months ago. (aly)