Bank Bukopin (BBKP), which suffered liquidity issue in the past few months, has issued a fresh prospectus for the issuance of 4.66 billion new shares at Rp180 per share this morning. That means Bukopin will get fresh capital of Rp838.8 billion. Is it enough to restore public confidence in the bank, which is still controlled by Bosowa Group?

Bank Bukopin has reportedly settled issues with some depositors who failed to get their funds released from the bank due to liquidity problem. It is not entirely clear of what kind of settlement with the depositors, but the bank pointed to ‘technical assistance’ from Bank Rakyat Indonesia (BBRI) as one of key factors contributing to the improvement.

Connections and power politics matter! Some politicians campaign for ‘bail-out’ of Bank Bukopin (BBKP) using the government’s National Economic Recovery (PEN) funds because the bank is considered a bank for small-medium enterprises (SMEs). If you followed our series of articles, Bukopin is bank for ‘big boys’ to place funds (cash and time deposits).

We have earlier pointed to huge funds placed by State agencies and major state companies, especially electricity provider PT Perusahaan Listrik Negara (PLN), in Bank Bukopin, a bank controlled by Bosowa Group—-owned by the family of Aksa Mahmud, brother-in-law of former vice president Jusuf Kalla.

Relationship and politics matter! Two state agencies under ministry of finance placed Rp15 trillion of funds in Bank Bukopin (BBKP). We have no idea when the funds were placed there, but it is understandable in the context of the government as minority shareholder in the bank, which suffered liquidity issue for quite sometime now.

State-owned enterprises minister Erick Thohir has appointed some retired high-ranking military and police officers as commissioners in some major state companies. Major General (ret) Dody Usodo Hargo, for example, is appointed chairman of PT Adhi Karya Tbk (ADHI), state EPC firm tasked to build the Greater Jakarta light-rail transit (LRT).

Former ICT minister Rudiantara has been appointed chairman of PT Semen Indonesia Tbk (SMGR) Tbk, the largest cement producer in the country. Interestingly Hendi Prio Santoso is maintained as chief executive officer (CEO) of the company. The decision from Erick Thohir, minister of state-owned enterprises, triggered speculations.

President Joko “Jokowi” Widodo has made Setia Untung Arimuladi the new vice attorney general to replace Arminsyah, who died in a car accident earlier this month. Untung will take his oath in an inauguration ceremony to be held at the headquarters of the Attorney General Office (AGO) next Monday (May 4).

Businessman Tjeng Pik Tjong has passed away on March 23 at 98 years old. He left behind four children and five adopted children. Two of his children are involved in the property business with major residential and high-rise developments. His grandchildren are married to members of wealthy families in the country.

PT Urban Jakarta Propertindo Tbk (URBN), a company controlled by Yongky Wijaya and Robert Soeharsono, decided to acquire 51.01% shares in PT Jakarta River City (JRC) from PT Ciptaruang Persada Property (CPP) for Rp576.88 billion. This is an affiliated transaction because CPP is indirectly controlled by Yongky and Robert.