Sat, 15 Sep 2001

Jamsostek sued over banner order

JAKARTA (JP): An advertising company has filed a law suit at the South Jakarta District Court against state-owned PT Jamsostek, that provides social security for workers, for reneging on a banner order with the company.

Lawyer Chris Butarbutar, who represented the plaintiff, PT Harmony Cipta Nusa, said his client filed the suit this week after learning that PT Jamsostek had failed to fulfill its promise on the banner project.

Butarbutar said Jamsostek had ordered a giant banner worth Rp 420 million in Dec. 2000 to cover its twin towers located on Jl. Gatot Subroto, South Jakarta, to commemorate its 23rd anniversary.

"The banner reading, Jamsostek is ready to renew itself, was already made but Jamsostek canceled the event, causing Rp 400 million in material losses to my client," he said.

Meanwhile, Jamsostek's director of general affairs Djoko Sungkono, argued that there was no legal basis to sue his company because the order was not made in the form of a legal contract.

"Jamsostek is ready to face the company in court," he said without elaborating.

He conceded that Jamsostek had paid Rp 210 million as a deposit for the banner but decided to cancel it for unclear reasons.(rms)