Fadel declared bankrupt

Fadel declared bankrupt

JAKARTA (JP): The Jakarta Commercial Court declared on Tuesday
businessman Fadel Muhammad bankrupt after his bank rejected his
proposal to restructure Rp 33.5 billion (US$3.5 million) in
personal debt.

"The verdict was made as the creditor refused Fadel's debt
restructuring proposal," presiding Judge Hasan Basri said.

The court had earlier granted Fadel a 45-day debt payment
suspension to give him a chance to negotiate his debts with the
creditor.

Fadel, a former senior executive of the Bukaka business group
and deputy chairman of the Indonesian Chamber of Commerce and
Industry (Kadin), was taken to the bankruptcy court last month by
Bank IFI for his failure to repay his personal debts.

Bank IFI's lawyer Hotman Paris Hutapea said the court-
appointed receiver would calculate Fadel's personal wealth to
repay his debt.

According to the court Fadel has personal wealth worth some Rp
50 billion tied up in nine companies. (04)