IBRA to seek new evidence in Tirtamas case
JAKARTA (JP): The Indonesian Bank Restructuring Agency (IBRA) will try to find new evidence in the Tirtamas Comexindo case if the Supreme Court rejects its application for a review of its earlier decision, according to a litigation official from the agency.
Group head of IBRA's litigation department Tubagus Adhi Faiz said that the agency might also consider filing criminal charges if there was enough evidence.
"If necessary, we'll find new evidence and other legal means to resolve the case," Tubagus said at a press conference on Monday.
He said that IBRA filed its application for a review on March 6, and the Supreme Court was expected to rule later this month.
IBRA has been trying to have Tirtamas, a giant trading company controlled by businessman Hashim Djojohadikusumo, declared bankrupt by the Jakarta Commercial Court.
Tirtamas owes some Rp 1.5 trillion to various banks and non- financial institutions, including Bank Tamara with Rp 38.19 billion (US$3.62 million) in loans which IBRA represented.
But the commercial court refused to declare Tirtamas bankrupt.
The Supreme Court also rejected IBRA's appeal on the grounds that the appellant had no locus standi (legal standing) in the case.
IBRA took over some Rp 260 trillion worth of bad loans between 1998 and 1999 from the country's troubled banks. The agency is mandated to restructure the loans or take legal action against uncooperative debtors as part of the effort to nurse the crisis- hit economy back to health.
The agency, however, has often failed in its bankruptcy suits, raising concern among investors about the poor performance of the country's legal system.
According to a document issued by IBRA's lawyers Denny Azani & Partners, the earlier decision of the Supreme Court was clearly against the norms of existing law and contradicted the spirit of the people of Indonesia who had been demanding an improvement in the country's economy.
The document said that one of the legal considerations that must be observed by judicial institution in making decision was to avoid a "judicial sabotage" against the duties and authorities carried by IBRA because the agency's mission was for the interest of the public and was urgent in nature.
IBRA also announced that it had completed the restructuring of debts owed by two multifinance companies, PT Bunas Finance Indonesia and PT Sinar Mas Multifinance.
IBRA said that the restructuring of Bunas Finance's debt was the result of the work of a steering committee of 44 international bank creditors and 5 local banks.
It said that Bunas Finance owed a total of US$265.09 million, of which 13.56 percent or $35.95 million was owed to IBRA, making the agency a minority creditor.
The agency said that the Jakarta Commercial Court had ratified the restructuring deal, which was needed because not all creditors agreed to the deal.
IBRA said that the restructuring of Sinar Mas Multifinance's debt of Rp 65 billion plus $2.5 billion was made via a combination of a cash settlement and asset settlement.
The agency said that Rp 10 billion of the debt was paid in cash, with the remainder being settled by assets. (rei)