Buried in its Own Hole

Rajawali is entrapped in a non-performing loan because of agreement violations. The government has already been requested to clarify the legal situation.

November 6, 2007

THE proposal certainly raised the eyebrows of officials from the Subsidiary Loans Management Directorate at the Department of Finance. Sent by PT Rajawali Nusantara Indonesia (RNI) in mid-July this year, it proposed that this company's debt from investment fund bank accounts (RDIs) be converted into state-owned shares.

The debt that Rajawali wants to have converted has now reached a total of Rp1.7 trillion. This originated as loans that the governm

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