This Is The Reason Erick Thohir Chooses To Disband 7 SOEs

SOE Minister Erick Thohir (photo: between)

JAKARTA - The Ministry of SOEs has officially disbanded seven state-owned companies as part of the BUMN cleaning program. The reason for the disbandment of state-owned companies is because they are no longer feasible from the business and financial side.

Deputy Minister of SOEs Kartika Wirjoatmodjo or Tiko said the dissolution of seven SOEs was a transformation commitment carried out by SOE Minister Erick Thohir since 2019. Where Erick wants to cut the number of SOEs currently available.

Furthermore, Tiko said that the seven SOEs were disbanded because from a business and financial perspective it was not feasible. Therefore, he continued, it could not be maintained.

"For SOEs that are no longer feasible in terms of business or finance, it is impossible to maintain. The option is disbandment," he said at a press conference at Danareksa Tower, Jakarta, Friday, December 29.

Tiko said that BUMN is also a PT where its disbandment follows the Bankruptcy Law. Tiko said the disbandment was carried out after various efforts including the restructuring failed.

"Because of PT, the disbandment process through bankruptcy is carried out by PPA if the restru fails, if it is not feasible to enter into the dissolution of the implementation through the bankruptcy law. SOEs are not different from other open companies," he explained.

Meanwhile, PPA President Director M Teguh Wirahadikusumah said that the process of disbanding seven SOEs was through the court, some were through the issuance of Government Regulations (PP).

The six SOEs have received disbandment PP such as PT Iglas, PT Industri Sandang Nusantara, PT Istaka Karya, PT Kertas Kraft Aceh, PT Kertas Leces, and PT Merpati Nusantara Airlines. Meanwhile, PT Pembiayaan Armada Niaga Nasional (PANN) is currently waiting for PP to disband.

Of these seven, the process is through the court, there is a disbandment, six SOEs have been obtained PP disbandment in April 2023. For one more SOE is still discussing the next process," he explained.