Tuesday, September 12 - 2000
Four Ongko Group firms finally declared bankrupt
JAKARTA (IO)— The Indonesian Bank Restructuring Agency (IBRA) has
announced that four uncooperative debtors belonging to the Ongko Group
have been ruled bankrupt by the supreme court, which rejected an appeal by
the company.
A. Adhi R Faiz, AMC litigation group head told the press yesterday that
the court rejected an appeal lodged by the Ongko Group.
Four companies belonging to the group were later declared bankrupt. The
four companies are PT Indoland, PT Citra Mahkota Abadi, PT Mustika
Niagatama Nusantara, PT Landasan Terus Sentosa.
Faiz said the declaration indicated the lack of cooperation between the
Ongko Group, as a debtor, and the government.
He said that PT Indoland was taken to the commercial court over failure
to repay Rp265 billion to IBRA. Similarly, PT Landasan Terus Sentosa,
another Ongko company, also wound up in court for failing to repay debts
of Rp349 billion.
The remaining two companies, PT Mustika Niagatama Nusantara, and PT Citra
Mahkota Abadi, also owed Rp82 billion and Rp306 billion respectively to
the agency.
Faiz added that the Ongko Group submitted its last proposal on March 9,
2000 under which it said it would provide additional guarantees, supported
by collateral in the form of shares, land and buildings valued at over
Rp61billion.
However total assets pledged fell far short of the Rp750 billion owed to
creditors.
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