Bali Discovery Tours: Homepage
Bali Hotels, Bali Villas and Bali News from
Home Bali Contact Bali Practicalities Bali News Bali Services Bali Transportation Bali Sports Bali Excursions Bali Villas Bali Hotels
Home · News · Bank Dagang Bali Closed by Government
Bali Hotels, Bali Villas and Bali News from
Bali Hotels
Bali Villas
Special Deals!
MICE Handling
Bali Excursions
Culinary - Dining
Guided Tour
Bali Spas
Bali Sports
Bali Transportation
Car Rental - Selft Drive
Private Jet Charter
Bali News
Bali Services
Bali Practicalities
Bali Contact
Bali Career
Bali Update
Subscribe to our free weekly newsletter!
PATA header
PATA Gold Award 2007
Bali Update
PATA Gold Award Winner 2007
Bali Contact
Bali Discovery Tours
Komplek Pertokoan
Sanur Raya No. 27
Jl. By Pass Ngurah Rai,
Sanur, Bali, Indonesia

++62 361 286 283

++62 361 286 284

U.S.A. Fax:(toll free)

U.K. Fax:

Australian Fax:

++62 812 3819724

Bali Discovery

Bali News

Bank Dagang Bali Closed by Government

Bali-Owned Bank Declared Insolvent by Bank Indonesia.

Bali News:
Click Image to Enlarge


On Thursday, April 8, 2004, Bank Indonesia formally withdrew the operating licenses of PT Bank Dagang Bali (BDB) and PT Bank Asiatic. Both banks are now in the process of liquidation after having failed to meet minimal liquidity ratios and other requirements established by the Government.

According to Bank Indonesia officials, the closure of the two banks was the "final step" after the directors and shareholders of the two banks failed to heed official warnings to shore-up their ailing balance sheets. The owners and directors of the banks were reportedly asked by Bank Indonesia to increase the capitalization of the banks, enhance the quality of their productive assets, resolve various credit transactions deemed to be fictive in nature, and replace its current directors.

BDB's closure is apparently the final chapter in the banking saga of a local business legend, Mr. I Gusti Made Oka, who labored over 5 decades to create a bank that initially got its start via small personal loans made by Oka, then a local tailor, to business associates. When the son of BDB's Oka's, married the daughter of Mr. Tong Muk Keung, the Owner of PT Bank Asiatic, a series of financial transactions commenced between the two banks that eventually led to the official closure. BDB loaned funds to PT Bank Asiatic in the form of Negotiable Certificates of Deposit that exceeded the maximum amounts allowed in inter-bank loans.

Local press reports indicate that depositors at both banks will have their funds guaranteed under a special provisionary account set up for that purpose by Bank Indonesia. According to reports in the Indonesian-language Bisnis Indonesia the Government will have to meet obligations amounting to Rp. 2.39 trillion (approximately US$ 281.2 million).

BDB operates 31 offices employing 632 employees. Meanwhile, Bank Asiatic has only 150 employees working from 16 offices.

© Bali Discovery Tours. Articles may be quoted and reproduced if attributed to


Bali News by Bali Update
Subscribe to the Bali Update
Receive the latest news from Bali by email!

Our [Privacy Statement] explains how we handle the data you are providing.

Bali News by Bali Update
Explore the Archive of the Bali Update
Find related articles in our news archive!

or try to use Google Search :

Home · Bali Hotels · Bali Villas · Bali Excursions · Bali Sports · Bali News · Site Map · RSS

Bali News: More News
Infrastructure First: Seaports and Airport
Transportation Minister Says Baliís Airports, Seaports, and Passenger Terminals Must be Enhanced to Support Growing Passenger Numbers
Another Renovation for Baliís Airport?
Minister of Transportation Wants Carrying Capacity of Baliís Airport Increased to 35 Million Passengers per Year
Move Underway to Trump Chinese Tourists?
DPR-RI Vice Chairman Seeks Repeal of Wide-Ranging Visa Free Status for Indonesian Visitors
Departure, No Return
Garuda Accused of Incorrect Procedures in Death of Passenger Flying from Jakarta to Melbourne
Infrastructure First!
New Hotel Projects Set for Nusa Penida in Dire Need of Water and Electricity Support
Bali Welcomes 3 Millionth Visitor
Bali by the Numbers: BPS Says 43.3% More Foreign Visitors to Bali in August 2016, Passing the Year-to-Date Mark of 3 Million
In Need of a Designated Driver
European Couple Die in Motorcycle Mishap After a Night of Partying on Pererenan Beach in Bali
Bad Smells from the Kitchens?
Drainage Ditch at Bali Airport Filled with Foul-Smelling Pollutants Suspected to Come for Airline Catering Building
Cherishing the Children
St. Regis Resort Bali and Laguna Resort & Spa Raises More than $20,000 for UNICEF at Lavish Beachside Moonlight Dinner
Itís a Bali Holiday
Official National Holidays and Shared Holidays in Indonesia for 2017
Me and My Guitar
West Bali Police Send Home 18 Punkers on a Personal Sojourn in Bali
Passport to a Clean Bureaucracy
Indonesian Immigration Service Joins the Anti-Corruption Campaign
All [News]!