PT Semen Padang reshuffle opposed

PT Semen Padang reshuffle opposed

Kasparman, The Jakarta Post, Padang

The people of West Sumatra have reacted strongly to an
instruction by State Minister of State Enterprise Laksamana
Sukardi directing PT Semen Gresik to replace the boards of
directors of PT Semen Padang and PT Semen Tonasa.

Members of a local social organization named West Sumatra
Forum to Defend PT Semen Padang met at the provincial legislative
council building on Friday to discuss the minister's letter of
instruction to PT Semen Gresik instructing it to replace Semen
Padang's board of directors.

The meeting, which lasted about two hours, was attended by the
forum's secretary, Hasril Chaniago, North Sumatra's Muhammadiyah
chairman Sofwan Karim Elha, PT Semen Padang's lawyer Tasman and
all chairmen of factions and commissions of the legislative
council.

Led by the council's deputy speaker, Titi Nazif Lubuk, the
meeting participants agreed to pressure Laksamana to withdraw the
instruction, which he issued on March 28.

Titi said the council would send a letter to the state
minister to ask him to withdraw the instruction. Copies of the
letter will also be sent to President Megawati and Vice President
Hamzah Haz.

According to Titi, during the meeting the possibility of
asking West Sumatra Governor Zainal Bakar to urge the minister to
clarify his instruction was also discussed.

"It is because the governor is the holder of a mandate given
by the West Sumatra people last November to take over Semen
Padang," he said.

Following PT Semen Gresik's decision to sell 25 percent of its
shares to Mexican cement producer Cemex SA last year, the certain
members of the West Sumatra public urged the government to spin
off Semen Padang from Semen Gresik as they opposed the entrance
of the foreign company.

Semen Gresik owns 100 percent of the shares of PT Semen Padang
and PT Semen Tonasa in Tonasa, South Sulawesi, where local people
also opposed the divestment plan.

Titi warned that if Laksamana did not change his instruction
then the legislative council would install a different board of
directors.

"If Laksamana installs his own management, we will also
install ours," she said.