OJK Revokes BPR Wijaya Kusuma's Business License, This Is The Reason

OJK (photo: dock. Antara)

JAKARTA - The Financial Services Authority (OJK) has decided to revoke the business license for the Wijaya Kusuma People's Credit Bank (BPR) (BPR Wijaya Kusuma) cooperative.

The decision is contained in the Decree of the OJK Board of Commissioners Number KEP-1/D.03/2024 dated January 4, 2024. BPR Wijaya Kusuma which is located at Jalan Cokroaminoto No.45, Kekeron, Kec. Taman, Madiun City.

The Head of OJK Kediri Bambang Supriyanto said that the OJK had determined the BPR Wijaya Kusuma in the Bank's surveillance status in Restructuring with a period of 12 months on July 18, 2023. At that time, the consideration was not meeting the level of capital and the level of health as stipulated.

Then on December 13, 2023, the OJK determined BPR Wijaya Kusuma in the Bank's supervisory status In Resolution with the consideration that the OJK had given sufficient time to Shareholders, the Board of Commissioners, and the Board of Directors of BPR to make restructuring efforts.

"As stipulated in POJK Number 19/POJK.03/2017 concerning the Determination of the Status and Follow-up to Supervision of BPR and BPRS as amended by POJK Number 32/POJK.03/2019 concerning Amendments to POJK Number 19/POJK.03/2017 concerning the Determination of the Status and Follow-up to Supervision of BPR and BPRS, however, BPR Shareholders cannot make BPR healthy," said Bambang in an official statement, quoted on Friday, January 5.

Furthermore, based on the Decree of the Board of Commissioners for the Bank Deposit and Resolution Guarantee Program Number 29/ADK3/2023 dated 22 December 2023 concerning Bank Settlement in the Resolution of the BPR Wijaya Kusuma Cooperative, the Deposit Insurance Corporation (LPS) decided not to make rescues and asked the OJK to revoke the BPR business license.

Taking action against the LPS request, OJK based on Article 38 POJK above, revoked the BPR business license Wijaya Kusuma. With the revocation of this business license, LPS will carry out the guarantee function and carry out the liquidation process in accordance with the Law of the Republic of Indonesia Number 24 of 2004 concerning the Deposit Insurance Corporation and Law Number 4 of 2023 concerning the Development and Strengthening of the Financial Sector.

However, OJK emphasized that the condition of national banking is in a stable condition with a maintained risk profile. The revocation of BPR business license Wijaya Kusuma is part of the OJK supervision process in accordance with applicable regulations to continue to build a healthy, strong banking industry and protect consumers.

"OJK urges BPR customers to remain calm because public funds at Perbankan including BPR are guaranteed by LPS in accordance with applicable regulations," he concluded.