Pertamina faces land seizure

TANGERANG (JP): Tangerang property tax office has threatened to seize a 33.2 hectare plot of land belonging to state oil and gas company Pertamina in Pondok Cabe Udik, Pamulang, if the firm fails to pay tax arrears of Rp 6.41 billion (US$754,117), an official said on Tuesday.

Djunaidi AB-Ham, who heads the property tax office, said on Monday that Pertamina owed Rp 6.5 billion in unpaid taxes as of April last year.

He said a land broker named Beny Sumampau that paid Rp 81 million of the arrears so that he could proceed with some unspecified administrative procedures at the National Land Agency's Tangerang office.

"As the owner of the land, Pertamina is obliged to pay the remaining Rp 6.41 billion," Djunaidi said.

He said Pertamina failed to respond to several written warnings requesting payment of the arrears.

"We will seize the land and auction it off if Pertamina continues to ignore us," he said. (41/jun)