I N D O N E S I A
GARUDA AIRLINES: CEO Claims Airline on Brink of Insolvency
Collusion, corruption and nepotism have brought Garuda to
the brink of bankruptcy, according to the airlines CEO.
“I have ordered all Garuda directors to collect all
relevant data, including the losses suffered by Garuda
resulting from those unhealthy practices,” President
Director of Garuda, Soepardi told Asia Pulse June 10.
One of the irregular practices is that in 1996 PT Angkasa
Bina Wisesa managed to earn profit totalling about $US1
million but only $US40,000 was given to Garuda.
“This is not fair,” he said.
Garuda is now unable to cover its operation costs and to
pay its debts which have fallen due.
PT INTI INDORAYON: Pulp Maker Halts Operations
PT Inti Indorayon Utama, one of Asia’s biggest pulp makers
with production facilities in Porsea, North Sumatra,
temporarily stopped its operations on Tuesday following
calls from thousands of demonstrators, according to a
report in Asia Pulse of June 10.
The demonstrators, including university students and
members of Walhi (Forum for the Living Environment),
demanded that the company stop its operations and account
for the environmental damage and pollution it had caused in
North Tapanuli district.
They also accused the company of having damaged Lake Toba.
Following a dialogue between company representatives and
regional environment officials, the company decided to
temporarily halt the company’s operations to avoid any
The company has been operating for the past ten years and
is currently employing 30,000 workers who mostly hail from
North Tapanuli and Samosir Island.