IBRA to begin selling bank offices in April

IBRA to begin selling bank offices in April

JAKARTA (JP): The Indonesian Bank Restructuring Agency (IBRA)
will start selling the first group of offices of closed down
banks next month in a bid to raise more than Rp 29 billion
(US$3.92 million), according to the agency's senior official.

Head of administration at IBRA's Asset Management Credit (AMC)
division Godlip Pasaribu said on Tuesday that a total of 28 bank
offices in Jakarta would be sold through a public auction.

"The sale will be done in a transparent manner," he told a
media gathering.

He said these included 11 bank offices of the now defunct Bank
Umum Nasional, 15 offices of Bank Dagang Nasional Indonesia, one
belonging to Bank Surya and another one belonging to Bank
Subentra.

The banks were part of a group of banks closed down by the
government in 1998 and 1999.

Godlip said the agency had appointed three auction firms to
help the agency sell the bank offices.

He said that the three firms were PT Ray Wahid Lelang, PT
Graha Lelang Survindo and PT Balai Lelang Royal.

IBRA is targeted to raise some Rp 18.9 trillion this year to
help finance the state budget.

The agency holds various forms of assets worth some Rp 600
trillion transferred from closed banks, nationalized banks and
recapitalized banks.

Godlip said the agency held some 1,105 bank offices throughout
the country and that IBRA was aiming at raising some Rp 365
billion this year from the sale of the offices. (rei)