House member calls for transparency in PT Kertas Leces auction

25-Nov-2021 Intellasia | AntaraNews | 7:19 AM Print This Post

Member of Commission VI of the House of Representatives (DPR), Achmad Baidowi, has sought transparency in the auction of the assets of state-owned paper company Kertas Leces.

“Commission VI hopes that all the process of auctioning PT Kertas Leces’ assets and other SOEs (state-owned enterprises) that have been declared bankrupt can run well, so as not to make a loss in the state finances,” Baidowi said in a written statement received here on Tuesday.

He made the statement after the Indonesian Waste and Metal Entrepreneurs Association (Apelti) shared its concerns over the auction of the PT Kertas Leces factory in Probolinggo District, East Java, and raised questions on its transparency.

The association found something strange in the implementation of the auction that potentially cost the country billions of rupiah, Baidowi noted.

Hence, the problem needs to be immediately and properly handled by the relevant parties, especially by the Ministry of SOEs, to prevent it from becoming a harmful issue, he said.

“When meeting with Apelti’s board, they presented the findings that there were irregularities in the auction process, potentially causing the country to lose billions of rupiah,” he added.

According to Baidowi, one of the authorities that has clarified the issue is asset management company PT Perusahaan Pengelola Aset (PPA), which has been assigned to ensure asset management runs in accordance with the existing rules.

In this case, PT PPA must proactively follow up on all reports and findings that develop in the field, including those from Apelti, he said.

In addition, he also asked the government’s Development Finance Comptroller (BPKP) to conduct an investigative audit of the auction because it concerns state wealth.

Not only that, but law enforcement officials also need to intervene to shed light on the problem, he remarked.

PT Kertas Leces is a state paper mill established in 1939 that encountered difficulties since 2014 after a lawsuit was filed against it for delaying debt payment obligations (PKPU).


Category: Indonesia

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