Honda dealer denies wrongdoing

TANGERANG (JP): The sole dealer for Honda motorcycles here, PT Wahana Makmur Sejati (WMS), has defended its decision to terminate its contract with four motorcycle repair shops belonging to businessman Napendy.

In a statement made available to The Jakarta Post over the weekend, WMS managing director R. Budiman said Napendy had breached an agreement between the two parties, which bans a partner of WMS from opening and operating a repair shop without the main dealer's consent.

"This is not the first time he (Napendy) tried to step over the line. Previously, he had twice done the same thing," Budiman said.

Napendy admitted to having operated a fifth repair shop, but insisted that it was not necessary for him to seek WMS's approval because the new workshop served any make of motorcycle.

Budiman said Napendy had agreed to accept the consequences of his decision to open a unauthorized repair shop at a meeting between the two sides on Nov. 28 last year.

The termination of the contract has reportedly sparked anxiety among mechanics working for Napendy, but Budiman said he would find positions for any of them who wished to move to other authorized repair shops under WMS's auspices. (amd)