Indosat fails to name new president
Tony Hotland, The Jakarta Post/Jakarta
Shareholders of publicly listed telecommunications firm PT Indosat decided not to appoint a new president director on Thursday after unanimously agreeing that none of the candidates was qualified.
After a two-hour closed door meeting, 63 percent of the present shareholders agreed to keep the position vacant until a new government Cabinet was established.
"We decided to keep it vacant because there are many things still left to discuss. Singapore Technologies Telemedia (STT) and the government have not come to an agreement and we don't want to rush," said Roes Aryawijaya, a deputy at the Office of State Minister for State Enterprises and an Indosat commissioner.
Indosat, which is the second largest phone company in the country, is 41.94 percent owned by STT, 15 percent by the government and the remainder by the public.
The company is seeking a new president director after former president Widya Purnama was recently installed as the head of state oil and gas company Pertamina.
Roes said the STT management had their own qualifications, which apparently were not met by any candidates proposed by the government. Nevertheless, STT has assured that the top position will be occupied by an Indonesian.
At least four names from inside the company circulated as the strongest candidates. They are commissioner Eva Riyanti Hutapea, cellular marketing director Hasnul Suhaimi, former president of PT Satelindo Johnny Swandi Sjam, and president of subsidiary PT Aplikanusa Lintas Artha Yoyo Waluyo Basuki.
The latter emerged as the strongest contender after State Minister of State Enterprises Laksamana Sukardi confirmed Yoyo's final candidacy.
The STT reportedly did not propose any names.
Roes added that the board of commissioners would wait until the establishment of the country's new Cabinet before making the decision. The new government is expected to be sworn in on Oct. 20.
With the position remaining unoccupied, vice president Ng Eng Ho will continue assuming the duties of president director.
After the meeting concluded, Yoyo said that the decision to temporarily keep the position vacant was not unusual given the enormous considerations that the major shareholder has to take.
"I think this is just a professional judgment and has nothing to do with any political judgments. There's nothing odd with the decision," Yoyo said, while adding that he was indeed ready to fill the position if appointed.
Yoyo also affirmed that he was unaware about a letter that reportedly had been signed by Laksamana regarding his appointment.
Meanwhile, the shareholders were able to decide on two new directors. The shareholders appointed Wong Heang Tuck as the new director of finance to replace Nicholas Tan Kok Peng who resigned, and Joseph Chan as the director of information and technology.
Indosat's shares edged higher on Thursday by Rp 50 at Rp 4,225 on the Jakarta Stock Exchange.