Minister Kwik questions Bapepam on Lippo e-Net
Minister Kwik questions Bapepam on Lippo e-Net
JAKARTA (JP): Coordinating Minister for Economy, Finance and
Industry Kwik Kian Gie has sent a letter to chairman of Capital
Market Supervisory Agency (Bapepam) Herwidayatmo to question the
investigation progress into PT Lippo e-Net, which has allegedly
provided misleading information to the public.
In his official letter dated May 29, Kwik also asked Bapepam
to allow his ministry to help the investigation process.
"In order to establish a fair resolution to the (Lippo e-Net)
investigation, as demanded by the public, we request Bapepam to
provide all the data and collected information about Lippo e-Net
to us," the letter said.
The letter was made available by Bapepam to capital market
journalists on Tuesday.
Herwidayatmo said that he then consulted with Minister of
Finance Bambang Sudibyo, who responded that there was no need for
Bapepam to report to Kwik.
"Bapepam is to report to the Minister of Finance, and that
should be enough," Herwidayatmo quoted Bambang as saying.
Herwidayatmo denied that Kwik's letter would mean an
intervention by Bapepam, saying, "Anybody can send me a letter.
But I have procedures to follow."
He said his superior was the Minister of Finance, so he had to
abide by the commands of Bambang, not Kwik.
"If Bambang told me to report to Kwik about the Lippo e-Net
investigation, of course I would do that," he said adding that
Bambang was well aware that the investigation was still underway
and it still needed time to complete.
Equity analysts charge Herwidayatmo with discriminatory
actions, arguing that he had been taking prompt and stern
measures against violators of capital market regulations, but
failed to do so with Lippo e-Net.
"There is a huge curiosity in the market about why Bapepam is
so harsh with all the other companies, but not with those related
with Lippo Group," one analyst told The Jakarta Post on the basis
of anonymity.
Bapepam recently imposed a total of Rp 4.2 billion in fines on
nine companies for not disclosing important information to the
public and for undertaking business actions which harmed the
interests of minority shareholders.
"Bapepam is quick to take actions against violations made by
certain companies, but not so against certain others," an analyst
with a state owned securities company said.
Still another analyst claimed that Bapepam should impose the
fines on the people who manage the company, instead of the
company as an institution.
"The management are the parties who breach the regulation,
usually for the sake and benefit of the majority shareholders.
Imposing fines on the company would just bring more disadvantages
to minority shareholders," he said. (udi)