OBSERVER: CASE OF BANK CENTURY TURNED INTO POLITICS

Jakarta, Sept 30 (ANTARA) - Banking observer Aviliani said here on Wednesday that the case of Bank Century had turned into politics.

"It has been drawn into politics. The results of audit may not even settle the case and this could make depositors of Bank Century to run," she said to ANTARA.

She hoped efforts aimed at seeking parties involved in the legal case should not lead to damaging the bank's image which had already improved now after the bank changed its name into Bank Mutiara.

"They must not damage the bank's reputation when seeking to make arrests. If it happens it would not be impossible the government's bail-out funds could not be recovered as no investor would come," she said.

The observer from the Institute for Development of Economics and Finance said that the decision to bail out Bank Century in November 2008 was correct.

"If it was not bailed out it would trigger a rush in a number of banks. So the decision was right," she said.

Aviliani asked why politicians had only questioned the decision now. "Why did not they do it from the beginning. Why they did it now," she said.

Capital market observer Harry Kurniawan shared her view. He said "The problem of Bank Century has already settled with regard to the market and the bank's performance has started to be positive."
He also said that the question of Bank Century was now more political than its true settlement. So, "I am tired to comment on it. It's already turned political," he said