Tue, 03 Jun 1997

Kosgoro told to drop lawsuit against Jagata

JAKARTA (JP): Golkar-affiliated Kosgoro yesterday called on its business arm PT Kosgoro to cancel its law suit against PT Jagata Primabumi and settle a Bank Arta Prima dispute through Bank Indonesia.

Kosgoro chairman Bambang W. Soeharto said his organization would help the involved parties solve the Arta Prima promissory notes debacle which resulted in the arrest of six businessmen.

"Let the central bank solve the problem because it knows exactly what to do with Bank Arta Prima," he said.

PT Kosgoro is the majority shareholder of PT Gunung Agung and Group that plans to sue Jagata Primabumi over the Bank Arta Prima debacle. Five Gunung Agung executives were arrested and one from Jagata.

PT Kosgoro and PT Gunung Agung accused Jagata Primabumi of not fulfilling the contractual promises it made when taking over Bank Arta Prima.

Bambang denied any formal link with Bank Arta Prima despite the fact that the bank used to be indirectly controlled by PT Kosgoro.

He said PT Kosgoro was an independent business unit set up by members of Kosgoro, but had no formal link with Kosgoro.

"Kosgoro is run according to Law No 8/1985 on mass organizations. So, Kosgoro has no businesses. But Kosgoro does have independent business units like cooperatives ... they are autonomous," Bambang said.

He said the business units contributed some of their profits to the organization because they used Kosgoro's name.

Scam

He denied allegations that his organization was behind the scam. But he did not rule out the possibility of Kosgoro people being involved in the scam.

"If there is a professional from Kosgoro who managed the bank and who is now being investigated by the authorities, that's his personal responsibility," Bambang said.

The police are detaining the six men, alleging they tried to sabotage Bank Arta prima by issuing fake promissory notes.

The six include Chaidil Aini, Husni Ali Thaqil, Hari Suhalim and Marul Maulana -- all former directors and commissioners of Bank Arta Prima -- Made Oka Masagung, a former majority shareholder of Gunung Agung and Kim Johanes Mulia of PT Jagata Primabumi.

When Jagata bought Bank Arta Prima from Gunung Agung it agreed to take over Gunung Agung's debts to the bank of Rp 187 billion and to other financial institutions of Rp 174 billion.

Jagata asked Gunung Agung to issue promissory notes of Rp 324 billion to settle the debts.

Jagata failed to settle the promissory notes and sold the bank to the Artha Graha group through Bank Indonesia.

Bambang said he knew nothing about the deal.

"Morally, but not materially, I feel responsible for the scam. So, I will ask PT Kosgoro to give us a detailed report about the deal," Bambang said yesterday. (rid)