KS Energy in tax court over import duty row

By Alexander Ginting

SGX-listed oil and gas services company KS Energy is contensting decision by the Director General of Customs and Excise (DCE) that has imposed "heavy" fine for the company's jack-up rig importation to Indonesia.

According to the company's Annual Report filed with the SGX on Thursday the DCE issued a notice and alleged that the importation of its jack-up rig KS Java Star was not in accordance with certain terms of the importation permit and customs duty exemption facility and therefore not exempted from import duty.

"A very large fine was consequently imposed. Under the advice of our tax advisors, we are currently contesting the decision of the DGC by filing an appeal at the Indonesian tax court," the company said.

KS Energy is controlled by Indonesian businessman Chris Taenar Wiluan.

Editing by Reiner Simanjuntak