Bank Mandiri Ensures Assets From Non-performing Loans Auctioned Up To Rp1 Trillion, Physically Eligible And Complete Documents

JAKARTA – PT Bank Mandiri Tbk (BMRI) is cleaning its assets from non-performing loans. One of them is by holding a simultaneous auction of bad credit collateral which is carried out electronically (e-auction) with the Directorate General of State Assets (DJKN) of the Ministry of Finance.

Bank Mandiri Director of Risk Management Ahmad Siddik Badruddin ensured that the condition of the assets was eligible for auction, both physically and with the completeness of supporting documents.

“Despite the restrictions on social activities, auction participants can still have access to find the best assets according to their needs due to the integration of the Bank Mandiri auction portal into the DJKN Auction Portal. This integration also helps the auction process to be carried out virtually without a physical presence," said Siddik in a press statement on Tuesday, February 22.

Furthermore, Siddik reminded all his staff to always make efforts to educate customers in order to produce a maximum auction success rate.

"Since January 2022, Bank Mandiri has managed to record very good asset returns with auction and pre-auction values reaching more than Rp. 100 billion," he said.

Bank Mandiri Deputy President Director Alexandra Askandar said this strategy was a form of innovation in asset management to optimize the resulting return.

"These assets are managed by all wholesale and retail segment debtors who have been declared non-performing or even bankrupt," he said

According to Alexandra, the simultaneous auction initiative is also an effort to improve the quality of the best assets to support the company's business development in a sustainable manner.

“The mortgage auction and the fiduciary guarantee execution auction are an important part in maintaining financial health in the banking sector, especially in handling non-performing loans. For this reason, the auction process needs to be carried out properly, quickly, efficiently and accountably," he said.

To note, a total of 834 collateralized assets with a limit of more than IDR 1 trillion will be auctioned at the State Property and Auction Service Offices (KPKNL) throughout Indonesia through the Indonesian auction site auction.go.id and on the official Bank Mandiri auction website at auction.bankmandiri. co.id.

"The implementation of this simultaneous auction has received recognition from the Indonesian World Record Museum (MURI) as the largest simultaneous auction event ever carried out," concluded Siddik.