BKPM Investigates Method of J&T Express Nominees Borrowing Names of RI Tech Citizens – 30 minutes ago

Jakarta, CNBC Indonesia – J&T Express uses the method of using someone else’s name to be able to do business in Indonesia. The Ministry of Investment/BKPM revealed that they would deepen the “tactics” known as nominees.

“In logistics and courier practices there is an agency and cooperation system, but not in the form of share ownership,” said Deputy for Investment Climate Development at the Ministry of Investment/BKPM, Yuliot Tanjung, to CNBC Indonesia via short message, Tuesday (31/10/ 2023).

J&T Express is known to have listed its initial shares on the Hong Kong stock exchange. The IPO was carried out last Friday (27/10/2023).

However, the problem is that J&T Express is likely to be involved in problems related to regulatory violations. The company violated the negative investment list (DNI) regulations which impose foreign entity ownership of courier companies at only 49%.

In its prospectus, J&T Global reveals how they can get around this. Namely by registering PT Global Jet Express (company name J&T Indonesia) as a domestic capital company (PMDN).

PT Global Jet Express is indeed registered as a PMDN in the records of the Directorate General of General Legal Administration (AHU) of the Ministry of Law and Human Rights.

“We conduct our business through affiliated entities in Indonesia, parent companies in Indonesia and their subsidiaries. We have contracts with parent companies in Indonesia, shareholders in Indonesia, both corporations and individuals,” wrote J&T’s prospectus.

In this way, J&T Global has control over affiliated consolidated entities in Indonesia. Including getting all benefits from within the country and having the option to buy all shares in Indonesian companies if legally permitted.

In the prospectus it is also stated that PT Global Jet Express is wholly owned by Winner Star Holding Ltd. The company is listed as being owned by Onwing Global Limited which is under J&T Global Express Limited.

Meanwhile, it was also reported that Jet Jie Lie, the founder of J&T, acted as controlling shareholder in J&T Global Express.

[Gambas:Video CNBC]