Deutsche Bank is appealing against a Singapore High Court decision not to appoint judicial managers to take over the running of indebted Indonesian conglomerate Asia Pulp & Paper (APP). Yesterday's filing came on the final day that an appeal was permitted. Deutsche Bank's original petition, which was filed together with BNP Paribas in June, was rejected on August 22 and left the Widjaja family at the helm of the largest debtor in emerging markets. The Deutsche Bank appeal comes just days ahead of a preliminary debt-workout deal between APP and the Indonesian Bank Restructuring Agency (Ibra) - expected to be concluded in Jakarta next week. In its ruling the Singapore High Court said it wanted an agreement worked out between Singapore-based APP and its creditors by the end of the month. The same date had been separately identified by Ibra, which is owed about US$1 billion by the paper and pulp manufacturer, and its parent, Sinar Mas Group. In March last year, APP defaulted on US$13.9 billion in obligations. Deutsche Bank and BNP have said they were owed a combined US$213 million, before interest. In June, they said they wanted a judicial manager appointed as the Widjaja-family management was dragging out the restructuring process and, possibly, diverting cash from APP into other family-controlled units. It was unclear yesterday whether BNP was also a party to the appeal. There was no response yesterday from APP officials to the fresh legal challenge. But chief executive Teguh Widjaja had denounced the original action. Earlier this week APP signalled that Ibra was set to agree a deal on work-out terms before the end of the month. Reuters reported APP executive Gandhi Sulistyanto saying on Thursday: 'Next week we hope Ibra's chairman Syafruddin Tumenggung will lead the signing of the memorandum of understanding of the term sheet of APP's debt-restructuring plan.' A term sheet sets out the basic details of an agreement. In recent months, Ibra has become increasingly assertive in the debt-workout talks. In July - just after the Deutsche Bank/BNP petition was filed - it concluded an initial deal with APP to appoint officers to oversee the company's main operations. That agreement was also signed by export credit agencies from Japan, Germany and the United States. APP's combined creditors' steering committee said it was pleased with the development. APP has also said it would pay US$100 million into a Ibra-controlled escrow account as a sign of good faith. APP is a holding company based in Singapore. It was listed in New York before the default. Its cash-generating subsidiaries are based mostly in Indonesia and China. During the initial hearing, lawyers for Deutsche Bank and BNP said judicial managers were essential as the Widjajas could not be trusted to lead the workout talks. In reply, APP lawyers said the company would collapse if judicial managers were installed. In her decision, Justice Lai Sui Chui said APP deserved 'a last chance' to agree a consensual debt-workout deal.