(Bloomberg) -- A Singaporean court adjourned hearing on a suit filed by Ares Management Corp. and other lenders against Indonesian businessman David Salim over contempt-of-court allegations, the latest turn in their long-running legal battle over a $200 million loan.  

Justice Chua Lee Ming of Singapore’s Supreme Court said in a Friday hearing that the adjournment to no earlier than April 19 would give Salim more time to file his response.

The lenders, which also include funds from Tor Investment Management, are alleging in their request for a committal order that Salim, as the sponsor of the borrowing companies, continues to defy the court’s anti-suit injunction to stop suing them over the loan. 

The case illustrates risks for global private credit lenders in chasing high returns in unfamiliar legal jurisdictions in emerging markets. 

Salim hasn’t done anything to participate in the court process until 10 days ago, Danny Ong of Setia Law, who represents the lenders, said at the hearing. Salim’s request for additional time to file affidavit is the latest effort to delay the proceedings, Ong said.

Salim has also filed a separate petition to ask the Singapore court to set aside the anti-suit injunction. But the request is “still pending determination of the court,” according to an emailed statement from Salim’s legal representative in a response to Bloomberg. 

Salim’s companies tapped the loan in 2020, according to Indonesian court filings. Half of the $200 million loan came from Ares, while the other half was from Tor’s funds.

When the companies allegedly failed to pay when it came due the following year, the lenders filed a petition in an Indonesian court to ask for debt restructuring, according to filings. The lenders lost when an Indonesian court rejected their petition, the filings showed.

Last year, the lenders eventually won a ruling from an arbitration court in Singapore to be repaid, according to Indonesian court filings that referenced the Singapore proceedings. Salim has since filed at least two lawsuits against the lenders, filings showed.

The case number is HC/SUM 387/2024. 

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