Indonesian Political, Business & Finance News

Glodok shop owners to sue government, private firm

Glodok shop owners to sue government, private firm

JAKARTA (JP): One hundred resentful shop owners are suing the
government and a private company for putting them in limbo.

"We will be filing two separate suits in two separate courts
on Tuesday," said Gunawan Tjahjadi, one of the lawyers for the
shop owners.

The shop owners who ply their trade in pedestrian walkways in
Glodok have been upset for weeks because they have to choose
between paying a huge sum of money or leaving their shops.

The shop owners at Glodok Metro Bridge said that they felt
intimidated by PT Binacitra Tataswati, a private company, which
apparently has the backing of certain local government officials.

"We resent the fact that money and power seem to intermingle
in this case. They sure have something in their minds.
Unfortunately, it is the small traders who will suffer," said one
of the shop owners who asked for anonymity.

Two years ago, the pedestrian walkway, which houses a number
of shops, was returned to PD Pasar Jaya, a city owned company, by
PT Jembatan Metro Inc., when a 15-year contract between this
company and the shop owners was concluded. This contract required
the payment of Rp 30 million for each 7.5-square-meter shop.

Last September, PD Pasar Jaya appointed PT Binacitra to manage
the property. Shop owners said PT Binacitra had asked shop owners
to pay between Rp 20 million to Rp 22 million per square meter
for a contract of 20 years in December.

Shop owners said they found the price exorbitant and felt that
the appointment to PT Binacitra should be terminated.

They said they had no idea who run PT Binacitra since they had
difficulties in meeting any personnel from the company.

"How could we trust a company whose existence is doubtful?"
said one shop owner who refused to be identified.

Lawyer Gunawan said the suit requesting the termination of
cooperation between PD Pasar Jaya and PT Binacitra would be filed
at the West Jakarta District Court.

The other suit against the West Jakarta mayor regarding a
letter instructing shop owners to leave their premises by early
next month will be filed at the Jakarta State Administrative
Court, Gunawan added.

West Jakarta's mayor, Sutardjianto, issued the letter on Jan.
24.

Neither Binacitra nor its lawyer O.C. Kaligis were available
for comments when contacted by The Jakarta Post.

Shop owners said they were also apprehensive over a rumor that
the construction of a three level freeway connecting Cinere and
Kota is being planned for next year. They said this would mean
the demolition of the pedestrian walkway housing their shops.

"It's absurd how we're being asked to pay a 20-year lease when
the compound may not last more than a year," a frustrated
shop owner told the Post.

Most shop owners were visibly afraid to talk and did so
reluctantly.

"Would you stay calm if you knew that your future were in
limbo?" asked one shop owner. (14)

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