Directors of city-owned firms called in for crisis meeting
Directors of city-owned firms called in for crisis meeting
JAKARTA (JP): The city administration will summon executives
of its seven wholly owned and 48 partly owned firms to disclose
their companies' latest financial details this week, an official
said yesterday.
Deputy Governor for economic and financial affairs, Harun Al
Rasyid, said the companies would be classified as either
profitable, modest or unsatisfactory on the strength of their
performance.
"Companies which have contributed nothing to the city's
revenue will be classified as unsatisfactory and be sold off,"
Harun said.
Those listed in the other two categories would be retained and
improved, he added.
According to Harun, the meeting, which is likely be held
tomorrow, will also allow the city administration to review its
cooperation with counterparts in 48 joint ventures.
The seven companies owned entirely by the city are PD
Pembangunan Sarana Jaya, which has construction interests and
manages the city's assets; PD Dharma Jaya, a slaughterhouse
operator; market operator PD Pasar Jaya; hotel and tourism
company PD Wisata Niaga Jaya; PD Air Minum Jaya, which supplies
the city with drinking water; waste water management company PD
PAL Jaya; and Bank DKI.
Speaking on condition of anonymity, a member of staff at the
city's regional economic bureau (Binekda), which supervises some
of the firms, argued that most of the companies had suffered
significant financial difficulties since last year because of the
monetary crisis.
"Many of them contributed to the city's income every year
before the crisis broke," said the official.
He said companies like Sarana Jaya and Bank DKI, and a joint
venture like PT Pembangunan Jaya, a construction company run in
cooperation with property tycoon Ciputra had always been able to
meet their financial obligations.
The same applied to PT Delta Djakarta, a brewery run in
cooperation with San Miguel, the source said.
He suggested the administration reconsider giving up shares
and search for more promising partners for companies such as
printing company PT Bumi Grafika Jaya, horse race management
company PT Pulomas Jaya and taxi company PT Ratax. (cst)