INDONESIAN transportation minister Haryanto Dhanutirto has reportedly ordered the removal of Merpati Airlines president Ridwan Fatarudin, after he refused to lease 16 new Industri Pesawat Terbang Nusantara (IPTN) CN-235-220s. The first eight aircraft were due for delivery in 1996/97.

Ridwan instead had asked the Government to purchase the aircraft on behalf of the state-owned domestic carrier, arguing that Merpati could not afford the $110,000 per aircraft monthly leasing charge being demanded by leasing company PT Arthanusa.

His refusal to take the aircraft was politically risky. The Government is keen to support production of the CN-235: with IPTN's president Dr Bacharudin Habibie also serving as Minister of Research and Technology.

Source: Flight International