Thu, 15 Sep 1994

Senen traders protest against intimidation

JAKARTA (JP): Seventeen traders from block I and II of Senen Market in Central Jakarta went to the City Council on Tuesday in protest of the lease from PT Pembangunan Jaya and alleged threats made by the management of the company.

"We are representing around 450 fellow traders to complain about PT Pembangunan Jaya's use of intimidation to force us to sign a new contract which is not fair to us," Zainal Abidin, leader of the traders told Commission B which oversees economic affairs.

He said that the traders had refused to sign the new 1994-1999 lease because there are numerous clauses in it which are quite unfair. "The contract contains provisions that put us at a disadvantage. Officials of the company then intimidated us into signing the contract," Zainal said.

"At first we were not allowed to read the lease before signing it. When we refused to sign they allowed us to see it but would not allow us to change the contents," he added.

Zainal said that the contract was different from the old one, including the leasing period which has been changed from 10 years to five years.

He alleged that the company often took high-handed actions which halts business.

"Recently, one shop was sealed up because the owner was only one day behind schedule in paying the rent and there was no warning issued beforehand," he added.

The delegation also questioned the status of traders who have been operating there since 1966, when the building was first built. At that time the city required them to pay various fees which presumably entitled them to certain rights.

From the documents presented by the delegation, a trader named Umar Sjatha paid Rp 167.53 million in 1966, equivalent to about US$76,781 today, to meet the requirements to buy a shop in the complex.

History

Senen Market was built in 1966 by the municipality from funds collected from the sale of land in Slipi, Sentiong, Senen, Cempaka Putih and Gatot Subroto.

At that time the Badan Pemerintah Harian appointed PT Pembangunan Jaya as the developer. Forty percent of its shares are owned by the City administration while the rest belong to prominent businessmen, including Ciputra the real estate tycoon.

It was burned down in 1974 after the Malari riots and then was rebuilt. The traders were given 10 year leases which expired in 1984, with an option to renew for another 10 years.

The delegation has questioned the ownership of the building complex, whether the municipality or PT Pembangunan Jaya hold the title. The company has claimed that it owns the building and therefore can make any changes it wants at the expense of the traders.

"I think they want to sell the plots to other traders who are willing to pay higher rents because of its strategic position," said Irwan, another trader.

The commission, headed by Amarullah Asbah, deplored the action taken by the company and promised the traders that it will hold talks about the matter with the PT Pembangunan Jaya management.

"We agree that the contract provision should be changed back to 10 years from five," Amarullah said.(yns)