Waiting for a Personal Guarantee

Despite the fact that the deadline set by the DPR has passed, Eka Tjipta Widjaya still has not guaranteed the US$1.3 billion debt that Sinar Mas incurred at Bank Internasional Indonesia. Why?

May 8, 2001

April 30, the date the House set as the deadline for the Indonesian Bank Restructuring Agency (IBRA) to obtain a personal guarantee from Eka Tjipta Widjaya, the Sinar Mas Group boss has passed without the stipulated agreement. This guarantee is to be added to the collateral against the US$1.3 billion (Rp14.3 trillion at Rp11,000 to the dollar) debt which Sinar Mas has incurred at the Bank Internasional Indonesia (BII). By the end of last week IBR...

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