|- Bintang's land is part of collateral for loan by Premium Sun to PT Andara Jaya|
- Bintang's allegations contrary to Premium Sun's rights and Bintang's obligations under agreement
- PT Andara Jaya is in default of loan by Premium Sun
JAKARTA, Feb 20, 2019 - (ACN Newswire) - Premium Sun Limited, a company managed by Hong Kong-based Phoenix Property Investors, today refuted allegations by PT Bintang Mahameru (Bintang Mahameru) that it has improperly held on to the title of a large parcel of land in Jakarta.
Referring to a complaint filed with the Indonesian police by PT Bintang Mahameru on 11 February 2019, and reported in the media, a spokesperson for Premium Sun said the allegations were completely without merit.
Bintang Mahameru has alleged that Premium Sun is improperly withholding the power of attorney over an 11,499 square metres plot of land in Andara, South Jakarta, a part of which is owned by Bintang Mahameru.
Premium Sun said it is not obliged to release the land as the latter is subject to the terms of a 2016 loan facility extended to PT Andara Jaya Properti, a development company that has borrowed money from Premium Sun to buy some 22,000 square metres of the Andara land.
PT Andara Jaya, a subsidiary of PT Asiana Lintas Development helmed by President Director Mrs Loemongga Haoemasan, defaulted on the loan over a year ago and continues to be in default despite several restructuring attempts. Premium Sun has demanded payments from PT Andara Jaya, and its corporate and individual guarantors, including PT Asiana and Mrs Loemongga, respectively.
However, PT Andara Jaya and the guarantors have thus far failed to fulfill their payment obligations under the loan and are in breach of relevant agreements.
Premium Sun said that under the loan agreement, PT Bintang's portion of the land was used as collateral for the loan and that the land had to be sub-divided before the collateral could be released.
"Bintang has been unable to provide evidence that the sub-division has occurred, and under a tripartite agreement between Premium Sun and both Andara Jaya and Bintang, Premium Sun is therefore not obligated to release the Bintang portion of the land from the mortgage," the spokesperson said.
"Bintang Mahameru's claim that we are improperly holding on to their land conveniently ignores our rights under the terms of the loan facility. We are confident that the facts will exonerate us and we reserve our rights to take the necessary legal action to enforce the loan."
The spokesperson added that while Premium Sun is disappointed with the charge filed by PT Bintang, it is grateful and supportive of President Joko Widodo's administration's efforts to maintain and strengthen a conducive investment climate for international investors.
Catherine Ong Associates Pte Ltd
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Topic: Liquidation of Assets
Sectors: Real Estate, Banking, Local Business
From the Asia Corporate News Network
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