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Attorney General steps up pressure on debtors

Source
Jakarta Post - June 3, 2006

Jakarta – The Attorney General's Office (AGO) plans to summon all the debtors to the Bank Indonesia's Liquidity Support Scheme (BLBI) to ensure they pay back their debts by the government's December deadline.

It also plans to arrest one of the debtors who is wanted for a lending scam worth trillions of rupiah.

According to a statement by Finance Minister Sri Mulyani Indrawati published in The Jakarta Post on March 18, the indebted ex-bankers are Ulung Bursah (Bank Lautan Berlian), Atang Latief (Bank Indonesia Raya), Omar Putirai (Bank Tamara), Lidia Muchtar (Bank Tamara), Marimutu Sinivasan (Bank Putra Multi Karsa), Agus Anwar (Bank Pelita and Bank Istimarat), James Januardi and Adissaputra Januardi (Bank Namura Internusa).

All are believed to have signed sworn statements to the government agreeing to pay back their BLBI debts in return for immunity from prosecution.

"All BLBI debtors will be summoned. At least three of them will be summoned ahead of the others," Attorney General Abdul Rahman Saleh said Friday.

Speaking on behalf of Abdul Rahman, AGO deputy of special crimes Hendarman Supandji said the three former bankers were those who authorities had the most problems dealing with in the past.

He would only identify the three by their initials as LM, MS and AA; the last who he said was a Singaporean. He said one of the three was wanted for involvement in a bank lending scam worth trillions of rupiah.

Hendarman said he had been coordinating with the police to capture the former banker. "I cannot tell you the name, because I'm afraid that the person will escape us," he said.

"I can only tell you that he is one of the debtors of the BLBI aid program and that his debt is around Rp 3 trillion (US$33 billion)," he said.

The BLBI program was created by the government in the 1990s to bail out banks during the Asian financial crisis. It was abused by many bankers who stole trillions of rupiah in public money.

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