IBRA: Racing against time to meet targets

IBRA: Racing against time to meet targets

Burdened with targets for the state annual budget and various
conflicts of interest, the Indonesian Bank Restructuring Agency
(IBRA) seems to be racing against time in its efforts to sell
assets under its control by the end of this year. The assets are
not only those targeted long ago, but also include some that were
largely unknown of.

Viewed from the angle of IBRA's obligation toward the state
budget, it does not appear to be problematic. The more assets
sold, more swiftly, the better. But viewed from another
perspective, some people can see the more incredulous aspects.
Suspicious questions will inevitably arise when it is later found
out that there have been quick sales carried out behind closed
doors.

The BCA divestment is yet to go through the due diligence
process by its prospective buyers. According to the schedule,
this stage must be completed by the third week of December.
Following the final bid by buyers, the signing of the transaction
is to be finalized in the fourth week of the same month.
Considering the various end-of-year holidays, it is rather
difficult to imagine that such a process will be completed in
time, unless those involved are willing to sacrifice their
holidays.

Let's say everything is finalized (and we hope it is), we will
still face a number of sales, known by some as "garage sales",
such as the Indomobil assets, which have recently been finalized.
All this creates a lot of questions, assumptions and suspicions.

This kind of response is unavoidable, because so far the
public have found it hard to fully believe the IBRA's freedom in
deciding everything that is within its authority. It is no longer
a secret that many vested parties act like vultures and grab any
opportunity to reap profits. This can be anybody, including the
previous owners of the assets under IBRA's control.

That is why the demand for transparency is a requirement of
the utmost importance. The IBRA has to disclose all its
activities related to the sales of assets and it has to ensure
that no previous owner has returned to get hold of their assets.
It is indeed no guarantee that each and every irregularity can be
avoided, because when one wants to be tricky, there is always a
way.

-- Koran Tempo, Jakarta