🔺 What to do when markets are at an all-time high? Find smart bargains, like these.See Undervalued Shares

Indonesia to strip licence from Bali ferry company after five drown

Published 06/03/2016, 13:42
Updated 06/03/2016, 13:50
© Reuters. Search and rescue boats search for survivors from the Rafelia II ferry that sank in the Bali Strait, near Banyuwangi, East Java, Indonesia

JAKARTA (Reuters) - Indonesia's transportation ministry will revoke the operating licence of a ferry company whose vessel sunk in the Bali Strait on Friday, killing five of the 81 people on board including a mother and her infant child.

Indonesia relies heavily on ferry services to connect the main islands in the archipelago, the world's largest. But accidents are common, largely due to years of under-investment in infrastructure and a tendency to overload ferries.

The Rafelia II ferry was serving the popular crossing between Banyuwangi on the eastern tip of Java Island and Gilimanuk on the tourist resort island of Bali, when it sank just after 1 p.m. on Friday, around 1 km from the Java shore, domestic media reports said.

"Starting on Monday the operating licence ... will be revoked," Transportation Ministry spokesman J.A. Barata told Reuters on Sunday, referring to ferry operator PT Darma Bahari Utama, which only had a licence for one vessel.

Barata said investigators from the National Transportation Safety Committee (KNKT) and transportation ministry officials were looking into the cause. At the time it capsized the vessel was carrying dozens of heavy trucks, Barata said.

Under Indonesian law, the company would be required to salvage the sunken vessel, he said.

According to National Search and Rescue Agency (Basarnas) chief Bambang Soelistyo, all who were travelling on the Rafelia II at the time it sunk were now accounted for.

"We have evacuated 81 victims and they match with the number of passengers in the manifest," Soelistyo said. 

© Reuters. Search and rescue boats search for survivors from the Rafelia II ferry that sank in the Bali Strait, near Banyuwangi, East Java, Indonesia

Those who died had become trapped in the sinking ferry, he said.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.