Probo approaches Dayak Besar deal with caution
Probo approaches Dayak Besar deal with caution
JAKARTA (JP): Businessman Probosutedjo, a half brother of President Soeharto, expressed caution yesterday about his plan to take over the debt-ridden Dayak Besar Group, a group of timber companies.
"We are still studying how to repay the large amount of debts owed by Dayak Besar," Probosutedjo said after meeting with Minister of Forestry Djamaludin Suryohadikusumo at the latter's office yesterday to discuss the planned takeover.
He said, however, that he will not retreat from the takeover because "my mission is to rescue the government's money from the troubled group."
Dayak Besar, which is partially controlled by businessman Yusuf Hamka, is reportedly Rp 350 (US$158 million) in arrears to the state-owned Bank Rakyat Indonesia and a group of private banks.
According to Djamaludin, Dayak Besar also owes the government a large sum of money, including unpaid reforestation funds.
According to the valuation by PT Maharani Dharma Sakti, an appraisal company owned by the Dharmala Group, the assets of the timber group, excluding logging equipment, are valued at about Rp 240 billion.
Probosutedjo reiterated that the process of the takeover is not been final, saying that it will take his party about two months to study the group.
"I have never had such a debt in my life. The total debts of my companies do not exceed Rp 20 billion. And now, I will be burdened with such a lot of debts that I have to think it over again," said Probosutedjo, chairman of the well-diversified Mercu Buana Group.
Solichin G.P., the chief commissioner of the troubled Dayak Besar and a member of a special team set up by the government to rescue the group, said late last month that it was certain that Probosutedjo would take over the group. He added that the memorandum of understanding would be signed within a week.
Sanction
The Dayak Besar Group case exploded early last month when Minister Djamaludin threatened to impose "harsh sanctions" on the group for violating forestry regulations.
Djamaludin then issued orders forbidding two of the group's subsidiaries, PT Dayak Besar Vincent Timber Co. and PT Gelora Dayak Besar, from transporting their logs and sawn timber from their forest concessions in East Kalimantan. The two companies alone control close to 200,000 hectares of forest concessions.
The group reportedly dismissed its 2,400 workers without prior warning last month.
"I don't want to see such a lot of people suddenly become unemployed," Probosutedjo said. "That's why I don't want to retreat from the takeover plan."
When asked if he could manage a timber business, Probosutedjo said: "It's not a big problem. I'm sure I can handle it."
Djamaludin said that if it is needed, he is ready to supply forestry professionals from state-owned forestry companies to help Probosutedjo manage Dayak Besar.
"No problem at all with forestry professionals. Our main concern is that we can rescue the government's money from the troubled timber group," Djamaludin said after a ceremony to install three new director generals.
In yesterday's ceremony, Djamaludin installed Titus Sarijanto as director general of forest development, replacing Hendarsun Surya Sanusiputra who was transferred into his new position as director general of reforestation and land rehabilitation. He also installed former director general of reforestation and land rehabilitation Sumahadi as director general of forest inventory and land use planning, replacing Titus Sarijanto. (rid)