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View all search resultsLapindo urged to settle payment by year end
Cabinet secretary Andi Widjajanto has called on PT Minarak Lapindo Jaya to immediately pay the Rp 781 billion (US$63
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C
abinet secretary Andi Widjajanto has called on PT Minarak Lapindo Jaya to immediately pay the Rp 781 billion (US$63.55 million) compensation arrears to the Sidoarjo mud victims. Lapindo was given next year as a deadline.
The statement was the result of a meeting between Andi and the Sidoarjo Mudflow Mitigation Agency (BPLS) chief Sunarso in Jakarta on Thursday.
Andi acknowledged that the government also had the obligation to pay the mudflow victims Rp 300 billion. However, he added, the payment would be made possible once Lapindo had settled its payment.
The government had committed to give compensation to residents who lived outside the mudflow-affected area, while victims who lived within the affected area were Lapindo's responsibility.
'We are now seeking ways to settle the payment. Of course, Lapindo is expected to be able to fulfill its responsibility,' he said, as quoted by kompas.com.
He said among the feasible ways been mulled over by the government was to sell Lapindo assets to pay the mudflow victims.
PT Minarak Lapindo Jaya has paid Rp 3.6 trillion to compensate the mudflow victims. The company has, however, failed to pay Rp 781 billion due to financial difficulties.(dic)(+++)
