Indonesia’s Lion Air dodges two bankruptcy lawsuits

The District Court of Central Jakarta dismissed on November 20 two bankruptcy lawsuits against Lion Air Group filed by two individuals, Budi Santoso and Rolas Budiman Sitinjak, regarding alleged “overdue payment of debt obligations” (a procedure known in Indonesia as Penundaan Kewajiban Pembayaran Utang – PKPU). “The court has rejected the PKPU request in its entirety. We welcome the court’s decision,” declared Danang Mandala Prihantoro, the Lion Air (JT, Jakarta Soekarno-Hatta) parent’s head of strategic corporate communications, as quoted by the newspaper Suara Merdeka. Prihantoro explained that the lawsuit had been rejected because Lion Air had completed its obligations to the applicants and other creditors by entrusting the issue to the court. The decision was executed on consignment and accepted by the panel of judges. “In its operations, Lion Air obeys and complies with applicable regulations,” he underlined. As previously reported, Santoso sued Lion Air Group on October 22, according to local media.