[SINGAPORE] Keppel said on Monday (Mar 17) that its wholly owned subsidiary, Kepland Investama, is in a civil action over ownership rights for land plots in Jakarta, where the International Financial Centre Jakarta Tower 2 building complex is situated.
The global asset manager said that an individual, Tumpal Hutabarat, has commenced civil action against its subsidiary and others, claiming he is the legal owner of the land plots measuring about 24,500 square metres.
He is seeking a declaration that he is the legal owner of the land plots, compensation of about 2.28 trillion rupiah (S$186.3 million), as well as the return of any unused land plots.
“Kepland denies the claimant’s allegations and will vigorously defend the action,” said Keppel, adding that its subsidiary acquired ownership rights to the land plots on Dec 1, 2000, and holds the land certificates to the plots.
It also noted that Kepland’s Indonesian legal adviser has said that these land certificates are the strongest proof of ownership in accordance with Indonesian Agrarian Law.
Meanwhile, the individual’s claim is premised on his possession of a document known as a “girik”, which is not considered proof of land ownership under the Indonesian Agrarian Law.
BT in your inbox
Start and end each day with the latest news stories and analyses delivered straight to your inbox.
Kepland’s legal adviser also noted that the individual’s claim contains “several legal defects” and he has no legal basis to claim land ownership.
“Kepland will be taking out an application to dismiss the claimant’s claim,” said Keppel.
In 2022, an individual Raden Saleh Abdul Malik commenced a court case against Kepland. He alleged that he acquired the land from Tumpal Hutabarat and also claimed ownership over the land plots.
The court case was ruled inadmissible by the South Jakarta District Court. Upon appeal, the High Court of DKI Jakarta similarly ruled that the lawsuit was inadmissible.
Shares of Keppel closed 0.6 per cent or S$0.04 lower at S$6.66 on Friday.
