Probosutedjo proceeds with lawsuit against govt

Probosutedjo proceeds with lawsuit against govt

JAKARTA (JP): Businessman Probosutedjo, the owner of Bank
Jakarta liquidated on Nov. 1 by the government, went ahead
yesterday with his lawsuit against the minister of finance and
the central bank governor, his lawyers said.

The lawyers, however, said they were headed toward an out-of-
court settlement.

Probosutedjo, President Soeharto's half brother, had his first
hearing at the Jakarta State Administrative Court yesterday. He
is suing Minister of Finance Mar'ie Muhammad and Bank Indonesia
Governor Soedradjat Djiwandono for the closure of his bank.

"As of this moment Probosutedjo is continuing with his
lawsuit," the bank's lawyer Abdul Fickar Hadjar said.

But Hadjar said that following an initiative from the court's
chief judge Lintong Oloan Siahaan, lawyers for the two sides will
meet before the next hearing Tuesday to discuss a possible
out-of-court settlement.

"(This) morning we will meet with the lawyers (of Mar'ie and
Soedradjat)," Hadjar said, adding that Siahaan will mediate in
the meeting.

Siahaan confirmed the lawyer's remarks, and said a peaceful
settlement would be more in line with the nation's interests.

Probosutedjo was among two bank owners who filed a suit
against the government for the closure of their banks.
Probosutedjo filed the lawsuit on Nov. 7.

Bambang Trihatmodjo, Soeharto's son, withdrew his lawsuit last
week citing "national interest" as the reason.

The closure of the 16 ailing banks was part of an economic
reform package demanded by the International Monetary Fund in
exchange for its US$23 billion bailout to help the troubled
Indonesian economy recover. (10)