Indonesia arrests CEO of textile giant Sritex
JAKARTA : The president director of bankrupt Indonesian textile giant Sritex has been arrested as part of a corruption investigation, Indonesia's attorney-general's office (AGO) said yesterday.
The AGO confirmed to Reuters that the arrest of Iwan Setiawan Lukminto was due to alleged irregularities related to a bank loan provided to Sritex.
Local media earlier reported the loan was provided by a state bank.
Reuters sought comment from Sritex, but they did not immediately respond.
The AGO did not provide details on the case, the size of the loan or which lender provided it.
Sritex was declared bankrupt at the end of last year as it struggled to service its debts, which reached US$1.6 billion in June.
It stopped operations on March 1 after failing in its appeal against the bankruptcy ruling.
Sritex, which has produced clothes for high street brands like H&M, Rip Curl and Forever 21, as well as military uniforms for the North Atlantic Treaty Organization, has suffered from weak global demand and cheaper imported fashion.
It has been looking for investors to lease its assets to prevent its value from falling.
Following the bankruptcy, about 10,000 Sritex workers were facing layoffs, local media reported at that time.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Malay Mail
2 hours ago
- Malay Mail
Southeast Asia Youth Join Global Innovation Movement at Xiamen University Malaysia
Group photo of the top 5 winning teams with distinguished guests KUALA LUMPUR, MALAYSIA - Media OutReach Newswire - 5 August 2025 - The final competition and award ceremony of the Southeast Asia Division Contest of China International College Students' Innovation Competition (SEA-CICSIC) 2025 and Malaysia-China Youth Innovation Competition (MCYIC) 2025 concluded successfully at Xiamen University Malaysia on 20 July 2025, bringing together young innovators from all over the Southeast Asia region to present and compete with their innovation ideas and the Ministry of Education of China as the main organiser and Xiamen University China and Xiamen University Malaysia as co-organisers, the competition attracted over 1,200 students from 10 Southeast Asian countries (Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand, and Vietnam), with projects covering topics such as sustainable technology, artificial intelligence, biotechnology, and social 50 teams from 7 countries received awards, including 10 First Prize Awards, 15 Second Prize Awards, and 25 Third Prize Awards. These winning teams represented Xiamen University Malaysia, University of Malaya, Sampoerna University, the National University of Singapore, Cambodia University of Technology and Science (CamTech), and various universities across the outstanding projects will be recommended for participation in the 2025 China International College Students' Innovation Competition finals. Minister-Counsellor Chen Youliang from the Embassy of the People's Republic of China in Malaysia attended the ceremony and presented the Sun Yan, Executive President of the Promotion Association for Global Youth Innovation Leaders Community, noted that this was the first time a cross-regional sub-competition of the China International College Students' Innovation Competition was held. She emphasized that this marks a new chapter for the event and addresses the pressing need for enhanced regional Professor Zhang Ying, Vice President of Xiamen University Malaysia, stated that the university has long been committed to fostering students' innovation abilities, and hopes that this event will strengthen people-to-people friendship between China and Southeast Asia, while promoting economic exchange with Southeast Asian Li Cheng, Deputy Director of the Academic Affairs Office at Xiamen University (China), delivered a speech on behalf of the university top management, emphasizing that the main campus and Malaysia campus will continue to deepen educational cooperation under the Belt and Road Initiative, promote science, technology, and talent exchange, and cultivate globally minded and innovative China International College Students' Innovation Competition is one of the world's largest student innovation and entrepreneurship competitions. Since its inception in 2015, the competition has attracted millions of teams and tens of millions of participants from thousands of universities in over 100 countries spanning five China–Malaysia Youth Innovation Competition, first launched in 2019, has now completed four successful editions. The event continues to garner strong participation from Malaysian students and has produced a number of notable launching ceremony of this year's competition took place on 25 April 2025, and was attended by Mr. Zheng Xuefang, Minister of the Chinese Embassy in Malaysia; Dato' Abdul Majid Ahmad Khan, President of the Malaysia-China Friendship Association; Professor Li Cheng, Deputy Director of Academic Affairs at Xiamen University; and Mr. Zhu Lei, Executive President of the Global Youth Innovation Leadership Community Asia Youth Join Global Innovation Movement at XMUMFinal Results of the CompetitionFacebook- Xiamen University MalaysiaInstagram- IEC Xiamen University MalaysiaHashtag: #XiamenUniversityMalaysia The issuer is solely responsible for the content of this announcement.
Free Malaysia Today
5 hours ago
- Free Malaysia Today
US man accused of distributing drugs goes on trial in Bali
William Wallace Molyneaux appeared in a suit at a court in Bali's provincial capital Denpasar today. (AP pic) DENPASAR : An American man accused of drug distribution on Indonesia's popular island of Bali appeared in court today on the opening day of his trial, facing up to 15 years in prison if convicted under the country's tough narcotics laws. William Wallace Molyneaux, 27, was arrested in May, accused of carrying seven packages containing 99 pills of amphetamine, Bali's narcotics agency said. He had multiple charges levelled against him including distributing drugs, which carries the maximum penalty of death by execution. But prosecutors said today they sought a charge of drug distribution of an amount under 5g, which carries a maximum sentence of 15 years. They also sought a lesser, separate charge of possession of under five grams of the drug, which carries a maximum sentence of 12 years in prison. The American national appeared in a suit at a court in Bali's provincial capital Denpasar, speaking to confirm his identity, and that he is a Christian from Florida. A verdict was not expected until a later hearing. The US embassy in Jakarta declined to comment. Indonesia hands out severe punishments for drug smuggling and has previously executed foreigners, but has upheld a moratorium on the death sentence since 2017. Indonesian President Prabowo Subianto's administration has moved in recent months to repatriate several high-profile inmates, all sentenced for drug offences, back to their home countries. Frenchman Serge Atlaoui returned to France in February after Jakarta and Paris agreed a deal to repatriate him on 'humanitarian grounds' because he was ill. In December, Indonesia took Mary Jane Veloso off death row and returned her to the Philippines. It also sent the five remaining members of the 'Bali Nine' drug ring, who were serving heavy prison sentences, back to Australia.
Malay Mail
5 hours ago
- Malay Mail
Bali trial opens for American man accused of drug distribution
DENPASAR, Aug 5 — An American man accused of drug distribution on Indonesia's popular island of Bali appeared in court today on the opening day of his trial, facing up to 15 years in prison if convicted under the country's tough narcotics laws. William Wallace Molyneaux, 27, was arrested in May, accused of carrying seven packages containing 99 pills of amphetamine, Bali's narcotics agency said. He had multiple charges levelled against him including distributing drugs, which carries the maximum penalty of death by execution. But prosecutors said today they sought a charge of drug distribution of an amount under five grams, which carries a maximum sentence of 15 years. They also sought a lesser, separate charge of possession of under five grams of the drug, which carries a maximum sentence of 12 years in prison. The American national appeared in a suit at a court in Bali's provincial capital Denpasar, speaking to confirm his identity, and that he is a Christian from Florida. A verdict was not expected until a later hearing. The US embassy in Jakarta declined to comment. Indonesia hands out severe punishments for drug smuggling and has previously executed foreigners, but has upheld a moratorium on the death sentence since 2017. Indonesian President Prabowo Subianto's administration has moved in recent months to repatriate several high-profile inmates, all sentenced for drug offences, back to their home countries. Frenchman Serge Atlaoui returned to France in February after Jakarta and Paris agreed a deal to repatriate him on 'humanitarian grounds' because he was ill. In December, Indonesia took Mary Jane Veloso off death row and returned her to the Philippines. It also sent the five remaining members of the 'Bali Nine' drug ring, who were serving heavy prison sentences, back to Australia. — AFP
