Govt Continues to Collect PT Lapindos Debt
The Government continues to collect the remaining debt of oil and gas company PT Lapindo Brantas Inc (LBI)/Minarak Lapindo Jaya (MLJ) since the debt has exceeded its due date.
“The total outstanding of LBI/MLJ are Rp1,763,724,747,342.44 (including debt interest and penalties),” Ministry of Finances Director General of State Assets Isa Rachmatarwata said in Jakarta, Friday (12/7).
According to Isa, the debt collection is based on a credit agreement between the Ministry and the compamy, adding, that PT Lapindo has proposed the set off (a settlement of mutual debt between a creditor and a debtor) with cost recovery, but the law does not permit such option.
The cost recovery regulations do not allow that option. Cost recovery is only possible for revenue generated by mining work area,” Isa said. (Humas Kemenkeu/ES)
Translated by: Ridwan Ibadurrohman
Edited by: Ersan Pamungkas
