PT Cipta Jaya Raya wins land case

JAKARTA: The Rantau Prapat district court in North Sumatra has accepted PT Cipta Jaya Raya's lawsuit against PT Indo Sepadan Jaya and declared its title to the 1,300 hectares of land in Labuhan Batu legally valid.

The team of judges, headed by Rosmidar Hutagalung, ordered PT Indo Sepadan to return the portion of the land covered by the Right of Land Exploitation No.2/1994, which it had illegally cultivated, to PT Cipta Jaya.

The court also ordered the defendant to pay the plaintiff Rp 785.2 million (US$334 million) in damages, according to a copy of the verdict made available here yesterday.

PT Cipta Jaya had earlier sued PT Indo Sepadan, accusing the latter of illegally cultivating about 800 hectares of land which actually was part of the 1,300 hectare estate concession covered by its land-title.

The court based its decree partly on the letters from the agrarian minister dated Dec.22, 1995 and July 22, 1996 which confirm that the land-title held by PT Cipta Jaya is valid.

The defendant immediately decided to appeal to the higher court. (vin)