- OJK revokes TaniFund’s license over equity, compliance issues.
- The P2P lender faces liquidation amid bad loans, customer complaints.
- TaniHub’s agritech struggles intensify with layoffs, executive exits.
Agritech woes: when the harvest fails
In a move to safeguard the financial sector, Indonesia’s Otoritas Jasa Keuangan (OJK) has revoked the business license of TaniFund, a peer-to-peer lending platform under the agritech company TaniHub.
Despite progressive administrative sanctions and consistent communication, TaniFund failed to meet the minimum equity requirements and implement OJK’s supervisory recommendations.
Consequently, TaniFund faces mandatory liquidation and must establish a center for information and public complaint services.
This decision comes amid the platform’s struggles with bad credit, with its 90-day repayment success rate plummeting from 50% in October 2022 to a mere 36% by early 2023.
P2P platform plows into pitfalls
The situation escalated further as OJK received 29 customer complaints against TaniFund by the end of 2022, with a group of lenders reporting losses amounting to 14 billion rupiah (US$872,900) across 129 investors.
As the agritech sector grapples with challenges, TaniHub itself has endured multiple rounds of layoffs and the departure of several C-level executives amidst allegations of misused VC funds.
To read the original article: https://www.techinasia.com/tanifunds-license-revoked-asked-liquidate-ojk
