Business

BI tells Citibank to stop
processing new credit card
applications

Bank Indonesia has told embattled Citibank to stop processing new credit card applications pending the investigation into the death of Irzen Octa, an alleged victim of violence by Citibank debt collectors.

Citibank Indonesia vice president for customer care, Hotman Simbolon, told The Jakarta Post on Thursday that the ruling was a sanction in addition to another sanction handed down on Wednesday to freeze new Citigold service applications.

“These are the sanctions imposed by BI on Citibank so far,” Hotman said.

The freezing of Citigold is related to the alleged embezzlement of at least Rp 17 billion (US$2 million) in client funds implicating its senior relationship manager Inong Malinda aka Malinda Dee.

Hotman, however, assured that other Citibank banking operations would continue including services for existing Citibank credit card holders.

Citibank is scheduled to meet the House of Representatives on Friday at 2 p.m. to hear recommendations from the House following its recent probes into the case.

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