Where Did the Rp 6.76 Trillion Bank Century Bailout Money Go?

Based on a letter from the Governor of Bank Indonesia to the Minister of Finance on November 20, 2008, and a KKSK consultation meeting on November 21, 2008, it was stated that a temporary capital injection (PMS) to increase Bank Century's capital adequacy ratio (CAR) to 8% amounted to Rp 632 billion. This figure was based on the financial position as of October 31, 2008. However, the bailout fund swelled to Rp 6.76 trillion as the condition of the bank, a merger of Bank Danpac, Bank Pikko, and Bank CIC, worsened.

The securities owned by Bank Century turned out to be largely unpaid, and some were still controlled by former owners, causing the bailout fund to further inflate. Furthermore, the deteriorating global economic conditions made saving the bank, now J Trust Bank, increasingly expensive.

According to the Follow-up Investigative Audit Report on Bank Century, as included in the book entitled "Mengejar Fajar," the largest portion of the Bank Century bailout funds was allocated to the payment of non-affiliated third-party funds (DPK) amounting to Rp 2.84 trillion. This was followed by fund placements at Bank Indonesia (Rp 1.56 trillion), repayment of Bank Indonesia's Short-Term Loan Facility (FPJP) and its interest (Rp 706.2 billion), the purchase of State Bonds (SUN) (Rp 631.97 billion), and the repayment of DPK from SOEs, regional-owned enterprises (BUMD), and foundations (Rp 554.48 billion). Payments to affiliated DPK amounted to Rp 80.7 billion, as shown in the graph below.