OJK Revokes Business Permit Of PT BPR Lubuk Raya Mandiri, This Is The Reason

LPS (Photo: dock. Antara)

JAKARTA - The Financial Services Authority (OJK) revoked the business license of PT BPR Lubuk Raya Mandiri which is located at Jalan By. Pass, Km. 6, RT.003, RW.006, Lubuk Begalung Nan XX Lubuk Begalung, Padang City, West Sumatra Province.

This is in accordance with the Decree of the OJK Board of Commissioners Number KEP-56/D.03/2024 dated July 23, 2024 regarding the Revocation of the Business License of PT BPR Lubuk Raya Mandiri.

Head of OJK West Sumatra Province Roni Nazra said that the revocation of the PT BPR Lubuk Raya Mandiri business license was part of the surveillance action taken by the OJK to continue to maintain and strengthen the banking industry and protect consumers.

Roni explained that on October 30, 2023, OJK had determined PT BPR Lubuk Raya Mandiri in its Bank Monitoring status in Restructuring with the consideration of the Minimum Capital Fulfillment Obligation (KPMM) ratio under the provisions and the Health Level (TKS) had an Unhealthy predicate.

Then on July 9, 2024, OJK determined PT BPR Lubuk Raya Mandiri to be under Bank's supervisory status In Resolution with the consideration that OJK had given the Board of Directors, Board of Commissioners and Shareholders of BPR to make restructuring efforts including overcoming capital and liquidity problems.

As stipulated in the Financial Services Authority Regulation Number 28 of 2023 dated December 29, 2023 concerning the Determination of Status and Follow-up to the Supervision of the People's Economy Bank and the Sharia People's Economy Bank.

"However, the Board of Directors and Shareholders of BPR Controllers cannot restore BPR," said Roni in his statement, quoted Wednesday, July 24.

Furthermore, based on a copy of the Decree of the Board of Commissioners for the Bank Deposit and Resolution Guarantee Program Number 97/ADK3/2024 dated July 16, 2024 concerning Bank Resolution in PT BPR Lubuk Raya Mandiri, the Deposit Insurance Corporation (LPS) decided not to rescue PT BPR Lubuk Raya Mandiri and asked the OJK to revoke the BPR business license.

Following up on the LPS request, OJK based on Article 19 of POJK above, revoked the business license of PT BPR Lubuk Raya Mandiri. 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.

"OJK appeals to customers of PT BPR Lubuk Raya Mandiri to remain calm because public funds to banks including BPR are guaranteed by LPS in accordance with applicable regulations," he said.