PKPU's lawsuit against textile issuer PT Pan Brothers Tbk. (PBRX) was rejected by the panel of judges. This issuer has previously received a moratorium decision from the Singapore Court.

On July 26, 2021, PT Pan Brothers Tbk has attended a follow-up hearing on the Application for Suspension of Debt Payment Obligations (PKPU) by PT Bank Maybank Indonesia Tbk (Maybank Indonesia) with the agenda of Reading the Decision.

The Chairperson of the Panel of Judges, Saifudin Zuhri, read out the verdict in full rejecting the Petitioner's PKPU Application. In addition, punishing the PKPU Petitioner to pay court fees.

In essence, the legal considerations in the decision are that the Panel of Judges agrees with the argument put forward by the Company that the PKPU application in Indonesia is submitted to the same debtor as the process in Singapore, so that in this case Maybank Indonesia has no legal basis for submitting this PKPU Application.

The Panel of Judges refused to examine the case in order to avoid the overlapping of the 2 legal jurisdictions of case settlement. On 28 June 2021, the Company and its Subsidiaries received a moratorium from the Singapore High Court until 28 December 2021.

"Based on the results of the PKPU decision in Indonesia and the Moratorium in Singapore, all of the Company's creditors do not have legal standing to apply for a PKPU or other legal action and are subject to the Singapore Moratorium Decision until the stipulated date," explained Iswardeni, Pan Brothers Corporate Secretary.

On the other hand, the company will focus on completing the ongoing restructuring process and hopes that the agreement with all creditors can be realized as soon as possible.

Until now, PBRX's operational activities are still running normally without any reduction in production or reduction of employees/layoffs.