Golden Key Group's staff brace for dismissal
JAKARTA (JP): Some 200 workers at a giant petrochemical project belonging to Eddy Tansil have been advised they'll soon be looking for new jobs, as it is unlikely that the project will be completed with their boss still on trial for corruption.
Abdul Hanan, the local union representative for PT Cilegon Multiwahana in Serang, West Java, said he had told the workers to be prepared to have their employment terminated any time soon.
The company is an affiliate of the Golden Key Group which is owned by Tansil, currently on trial in Jakarta on charges of embezzling around $448 million from the government-owned Bank Pembangunan Indonesia (Bapindo).
The 200 workers have been virtually idle since Tansil was arrested in February and the project's future put on the line.
Earlier there had been suggestions that the government or other companies would take over the project but the workers have not heard anything since.
The workers have not been paid since April, according to Abdul.
Terminating their employment is probably the best solution for them instead of waiting to see whether or not they will receive their salary, he said as reported by the Antara news agency.
The workers, and colleagues from two other Golden Key Group affiliates, brought their case to the attention of the House of Representatives in Jakarta last month.
Abdul said that he is now negotiating for the possibility of giving severance pay as well as the April salaries to the workers.
Management had earlier requested that the workers simply quit their jobs and impose no demands. This was firmly rejected by the workers.
Rp 75 million
The combined monthly payroll for the 200 workers amounts to Rp 75 million, Abdul said.
In Jakarta meanwhile, it was disclosed in court that Tansil had used a large chunk of his Bapindo loans to buy stocks and other commercial papers in contravention of the terms of the loans, which were to finance the petrochemical projects in Serang.
President director of Danamon securities Yohanes Susilo testified at the trial of Tansil in the Central Jakarta District Court that his company sold Rp 29.5 billion ($13.7 million) worth of commercial papers to Indriana, Tansil's wife.
When the question was asked of Tansil, he confirmed that the money came from the Bapindo loans.
Yohanes admitted that the sum invested by Indriana was "unusually large" for his company.
Other bank executives also testified in Tansil's trial yesterday.
Budi Santoso of Bank Bumi Daya, also a state bank, said as one of the members of the loan syndicate that financed Tansil's project, he found it unusual that the buyer and the supplier for the goods had the same address. (05)