Sarijaya Case : Short cut will burn you
As you may know that Bapepam (Indonesia Capital Market and Financial Institution Supervisory Agency) or Indonesian capital market watch dog has suspended all PT Sarijaya actitivites.as you can read their press release here
Actually Sarijaya is the second bigest local security company in Indonesia with about 9000 cusumer (me included), with such a healthy number of consumers, it is very hard to imagenine that this company is now collapse and looking for new inventor to support its operation.
Why its collapsed?
Sarijaya CEO
Now that is really good questions.. 
here is one of the explanation:
As a company, there probably normal to have somekind of debt, the problem is the owner of Sarijaya (Herman Ramli) try to solve it using a short-cut. What he did was basically “Frying” some stock (low volume and low capitalisation stock) to increase its price significantly and then sell it when the price is already high.
He basically creating few fake account and start buying a lot of “silent” stock to increase its price. If a lot of player is also buying this stock at high price, he will sell / dump all the stock and collect the margin. So if you find one or more “silent” stock suddenly very active and increase significanlty watch out… you may be fried if you buy one of those. This kind of practise is not new other security companies is doing it too for various degree of success.
This time Sarijaya is not that lucky, after he fry some stock, the crisis started, very few followed to buy the stock and soe previous owner of the stock see it as agood time to quit the market. It left Sarijaya with worthless paper. Instead of getting some money, Sarijaya now nose dive to the bankruptcy even faster.
Now he end-up having 250 billion rupiahs debt to its customers, yes it is costumer money that he use to fry the stock. How can this CEO do this without someone from the watch dog noticing it. It because he also the owner of the company, and he also know that the dog are too lazy to run after the naughty cat.
BUMI resources also impacted to Sarijaya Financial Helth, BUMI owned by Bakrie (same person who drowned the whole sidoardjo in the mud) failed to pay Sarijaya Stock REPO. One more reminder for those who want to deal with Bakrie.
What Next Then?
- If you are Sarijaya customer : I hope that you already submit your claim of your stock and money so it can be verified, pray a lot that someone will buy Sarijaya business and pay back your money
- If you are Sarijaya employee : Hang on there a bit more (as long as they pay the salary) and hope that it can resume it trading activity again
- If you are Herman Ramli and some of senior mangement : I hope you enjoy the jail
