Latest news with #CentralJava-based
Business Times
22-05-2025
- Business
- Business Times
Indonesia's collapsed textile giant Sritex faces delisting as former executive named suspect in bank loan scandal
[JAKARTA] Indonesia's collapsed textile giant Sri Rejeki Isman (Sritex) is facing potential delisting from the Indonesia Stock Exchange (IDX) after the Attorney General's Office (AGO) named a former executive as a suspect in a corruption case involving the alleged misuse of bank loan facilities. IDX director I Gede Nyoman Yetna said on Thursday (May 22) that Sritex shares, which have been suspended from trading since 2021, now meet the criteria for delisting and reverting to private status. However, he did not specify when the delisting would take place, saying the exchange is currently coordinating with the Financial Services Authority and a curator on the process. 'Given that Sritex has been officially declared bankrupt, management responsibilities have now been transferred to the court-appointed curator,' Nyoman said in a statement. 'Late (on) Wednesday (May 13), the Attorney General's Office named Iwan Setiawan Lukminto, who served as president director of Sritex from 2014 to 2023, as a suspect in a corruption case involving approximately 693 billion rupiah (S$54.7 million) in unsecured loans issued to the company,' said AGO spokesperson Harli Siregar. Two other suspects were also named: Zainuddin Mappa, former chief executive officer at Bank DKI, and Dicky Syahbandinata, a former executive at Bank BJB. Bank DKI is a regional lender owned by the Jakarta provincial government, while Bank BJB is owned by the West Java and Banten provincial governments. Abdul Qohar, director of investigation at the AGO, said corruption occurred in the disbursement of loans from several state-owned banks to Sritex, with total outstanding debt reaching 3.6 trillion rupiah as at October 2024. He said executives at the regional banks failed to conduct sufficient analysis, and did not comply with procedures and requirements. A NEWSLETTER FOR YOU Friday, 8.30 am Asean Business Business insights centering on South-east Asia's fast-growing economies. Sign Up Sign Up He noted that unsecured loans should only be granted to companies or debtors with an A credit rating, whereas Sritex had been rated BB- by Moody's. Once a textile powerhouse in South-east Asia known for supplying global fashion giants like H&M and Zara, as well as producing uniforms for Nato, Sritex began to unravel during the pandemic. Plummeting orders pushed the company into a spiral of debt and financial distress. The company was declared bankrupt by a court last year after failing to repay debts totalling US$1.6 billion. The Sukoharjo, Central Java-based company halted operations on Mar 1, leading to the dismissal of over 10,000 workers, after rescue efforts initiated by President Prabowo Subianto's administration failed to yield results. The court-appointed curator is reportedly exploring opportunities to attract investors interested in leasing Sritex's assets, as part of ongoing efforts to manage the bankrupt company's remaining resources and potentially revive its operations. Sritex made its stock market debut on IDX in 2013, riding high on its reputation as a textile titan. The Lukminto family, which owns the company, were once among Indonesia's 50 richest, with a fortune estimated at US$515 million on Forbes' 2020 list. Although Sritex shares have been suspended since 2021, they remain priced at 146 rupiah, giving the company a market valuation of nearly three trillion rupiah, with close to 40 per cent held by public investors.
The Star
19-05-2025
- Sport
- The Star
Kim Swee will Persis in his duty after fulfilling mission
We can do more: Ong Kim Swee (left) with his assistant Juan Torres Garrido during a Persis Solo training session. — Persis Solo PETALING JAYA: Datuk Ong Kim Swee has fulfilled his mission of keeping Persis Solo in Indonesia's Liga 1 and now, the Malaysian coach is hoping to remain at the helm of the Central Java-based club. When Kim Swee took charge in November 2024, Persis were languishing in 16th place and in real danger of relegation. Fast forward to May 2025, and they sit 13th in the table with 36 points, five clear of the drop zone with one game remaining, effectively securing their top-flight status. But it hasn't been smooth sailing. In Kim Swee's first seven matches, Persis failed to register a single win, managing only three draws. But the tide turned after a 2-1 win over PSIS Semarang on Jan 20. Since then, they have recorded seven wins and five draws from 15 games, a significant turnaround. Reflecting on the club's revival, Kim Swee credited the team's resilience and the impact of key signings made during the mid-season transfer window. 'When I took over, the main objective was clear - avoid relegation. I am glad we've managed that,' said the former Malaysian national team coach. 'Some may think it was an easy job, but securing survival after nearly six months shows just how competitive this league is. 'We brought in four players during the second transfer window, and they made a huge difference.' Those signings included Argentinian midfielder Lautaro Belleggia, Brazilian centreback Clelyton Santos, dynamic winger Jhon Cley, and Dutch wingback Jordy Tutuarima - all of whom played crucial roles in helping Kim Swee steady the ship. With his contract expiring at the end of May, Kim Swee is set to meet the club management to discuss his future. While nothing has been confirmed yet, he's optimistic about extending his stay. 'I have not signed anything yet, but discussions will begin soon. Personally, I would love another season here,' he said. 'If all goes well, I'll be able to bring in players I have in mind, some of them Malaysians, depending on the club's budget.' Persis will close their campaign against newly crowned champions Persib Bandung at the Gelora Bandung Lautan Api Stadium on May 24, a match that will see Kim Swee reunited with Bojan Hodak, a fellow Malaysian football stalwart now managing the champions.
