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December 8, 2022, 09.28 PM

TERNATE, KOMPAS.com - The North Maluku Administration sent a letter to the Indonesian Investment Coordinating Board (BKPM) concerning its request to revoke a permit of Widi Isle management for Leadership Islands Indonesia (LII), a developer of the isle.

Head of the North Maluku Investment Office (DPMPTSP) Bambang Hermawan confirmed here on Thursday, Dec. 8, that the North Maluku provincial government sent the letter requesting revocation of the Widi Isle management permit.

Widi Isle went viral and caused an uproar following a recent report that the small island was up for auction in a global luxury real estate marketplace, Sotheby’s Concierge Auctions. LII, in a recent written statement, denied being involved in the auction.

The permit should be revoked, as the development has breached an MoU between relevant parties, including the North Maluku Administration and the South Halmahera District Administration. Head of the South Halmahera District has also sent a letter on the permit revocation.

Also readIndonesia Never Intends to List Widi Islands for Sale

"It means that if one of the parties has withdrawn, then the MoU is invalidated, and the MoU is no longer valid if one of the parties revokes it. Thus, the terms of cooperation no longer exist," he said.

The local authorities granted permits thrice to use forest areas for tourism in 2015, 2017, and 2018. PT LII had also given a seven-month period to implement it, but no activity so far.

Hence, the North Maluku administration has requested BKPM to revoke the permit on the Widi Isle management granted to PT LII, a foreign investor, he said.

BKPM has the authority to issue or revoke the permit of foreign investors.

The North Maluku investment office's authorities merely provide support, issue recommendation and permits concerning spatial suitability, and tourism utilization permit for its forest area.

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