Jakarta. The Indonesia Stock Exchange (IDX) on Thursday urged bankrupt textile company Sri Rejeki Isman (Sritex) to formally delist from the bourse, citing its prolonged stock suspension and ongoing legal and financial troubles.

Sritex (SRIL) was declared bankrupt in October 2024, and its former CEO, Iwan Setiawan Lukminto, was arrested earlier this week for allegedly embezzling state bank loans.

A court-appointed curator is currently managing the company’s affairs following a Supreme Court ruling that upheld the bankruptcy decision.

IDX Corporate Assessment Director I Gede Nyoman Yetna said the company meets the criteria for delisting.

“Due to the bankruptcy ruling and the fact that SRIL shares have been suspended for over two years, the requirements for delisting have been fulfilled,” Nyoman said on Thursday.

He added that the IDX has formally requested the curator to initiate the delisting process and is coordinating with the Financial Services Authority (OJK) to finalize the move.

Legal Fallout and Shutdown
On Wednesday, the Attorney General’s Office (AGO) announced the arrest of Iwan along with two senior bankers from Bank DKI and West Java and Banten Bank (BJB). All three face charges related to the embezzlement of Rp 692 billion ($42.3 million) in loans disbursed to Sritex.

The AGO alleges Iwan used the funds for personal expenses, even as the company struggled to repay debts totaling Rp 3.6 trillion ($220 million) owed to various state-owned banks.

Once a leading player in Indonesia’s textile industry, Central Java-based Sritex officially ceased operations in March 2025, laying off over 11,000 workers and marking the end of nearly six decades of business.