Indonesia tycoon to top up Garuda's capital after restructuring

Billionaire Indonesian businessman Chairul Tanjung said on Tuesday he will lift his investment in struggling flag carrier Garuda Indonesia after the airline completes a court-led debt restructuring. The announcement came as the government asked prosecutors to begin a graft investigation into some of Garuda's plane leasing contracts. Garuda, which has been battered by the plunge in air travel during the COVID-19 pandemic, is undergoing a court-led debt restructuring over unpaid liabilities. "We hope the (court) process will be finished soon," Tanjung told a news conference broadcast by one of his media outlets. "Once it's done, our plan is to increase capital to strengthen (Garuda)," he said, without elaborating. The businessman is Garuda's second-biggest shareholder after the government, holding a 28.3% stake through PT Trans Airways. Garuda said it has total outstanding liabilities of $9.8b. State news agency Antara reported the court had received $13.8b of claims that it will verify by Jan. 19. Separately, state-owned enterprises minister, Erick Thohir, on Tuesday brought to the Attorney General's Office audit documents that he said indicated wrongdoing in Garuda's lease contracts for ATR 72-600 planes. "We know based on valid data that in the procurement process for airplanes, leasing, there are corruption indications with various brands," Erick said.<br/>