Industry WIKI

The Bank Bali scandal occurred in Indonesia in 1999 when Golkar Party officials colluded with the Indonesian Bank Restructuring Agency (IBRA) to coerce Bank Bali chief Rudy Ramli to pay an illegal commission of Rp546 billion (then equivalent to about US$80 million) to private company Era Giat Prima in order to collect Rp904.6 billion owed by two banks taken over by IBRA.

The establishment of the Indonesian Bank Restructuring Agency (IBRA) (Indonesian: Badan Penyehatan Perbankan Nasional, BPPN), lit. "National Banking Revitalization Agency") in early 1998 was one of a series of steps taken by the Indonesian government, in agreement with the International Monetary Fund on 15 January 1998, in response to the banking and economic crisis which emerged followi