PDIC reviewing BDO proposal to rehabilitate closed bank

[ong76win2]

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PDIC reviewing BDO proposal to rehabilitate closed bank

Wednesday, May 9, 2012

STATE-RUN Philippine Deposit Insurance Corp. (PDIC) is reviewing the proposal of BDO Unibank, Inc. to rehabilitate the Export & Industry Bank (EIB), which is currently under receivership.

PDIC, in a statement, said that the Sy family-led bank has submitted a proposal to rehabilitate EIB with certain conditions.

"PDIC is reviewing the legal and economic viabilities of said proposal. Some of the conditions as proposed are not within the authority of PDIC," the state deposit insurer said Wednesday.

PDIC said that as a receiver, it has 90 days to determine the rehabilitation proposal that is most advantageous to depositors, creditors and taxpayers.

The agency said it intends to come up with a terms of reference for all interested parties to consider as well as engage the services of a financial auditor to help PDIC determine the valuation of EIB. These will be submitted to the PDIC Board and the Monetary Board that will ultimately approve the rehabilitation proposal.

BDO is the Philippines' largest lender with reported assets of over P1 trillion.

PDIC said its immediate concern is to take stock of the deposit liabilities of EIB and conduct payout for all valid insured deposits as soon as possible.

Payment for accounts with balances of P10,000 and below will start by the end of the month. Holders of these accounts who have no outstanding loans and who have updated their addresses in the bank in the past year, need not file deposit insurance claims.

Claims servicing operations for accounts of over P10,000 are expected to commence no later than end of June 2012.

EIB was ordered closed by the Bangko Sentral ng Pilipinas (BSP) last April 26 after it failed to cover its liabilities.
(SDR/Sunnex)

Source: PDIC reviewing Banco de Oro proposal to rehabilitate closed bank | Sun.Star

[crossramz]

More bank colonization on the go.. Time will come when we'll realize that our industry was run only by two family's the cojuangco and sy..

[elvandesantos]

More bank colonization on the go.. Time will come when we'll realize that our industry was run only by two family's the cojuangco and sy..

if its run good.. why not?

[Joseph20102011]

More bank colonization on the go.. Time will come when we'll realize that our industry was run only by two family's the cojuangco and sy..

That is the one of the reasons on why we should allow 100% FDI participation in banking industry whether commercial, rural, or investment. By achieving this is to have a constitutional amendment to abolish the 60/40 equity restrictions against foreign individuals and corporations. By allowing 100% FDI participation, more foreign banks would enter in our country man more foreign banks to enter means more foreign capital to enter in our country.

[jeremiahjay]

Maayo unta kay among account naapil did to sa Export Bank...

OT BTW unsaon namo pagkuha amo kwarta sa PDIC...please share..

[lhorenzoo]

need other investors in the banking industry not monoply. monopoly is not good. look at pldt now.

[COMCAM]

Maayo unta kay among account naapil did to sa Export Bank...

OT BTW unsaon namo pagkuha amo kwarta sa PDIC...please share..

on your OT, you have to read the instructions posted by PDIC on that bank.

[ong76win2]

need other investors in the banking industry not monoply. monopoly is not good. look at pldt now.

I agree with you on that and regarding PLDT. The more competition we have, the better for the consumer.

[crossramz]

You can base this actual events on our telco's company. Run only by globe and pldt.. LoL.. We are not even getting the service service on them..

[crossramz]

if its run good.. why not?

how can we expect a good service if there is no competition.. I mean real competion.

That is the one of the reasons on why we should allow 100% FDI participation in banking industry whether commercial, rural, or investment. By achieving this is to have a constitutional amendment to abolish the 60/40 equity restrictions against foreign individuals and corporations. By allowing 100% FDI participation, more foreign banks would enter in our country man more foreign banks to enter means more foreign capital to enter in our country.

This is one of the main reason I am pro charter change.. Too many amendments and laws need to be revised.

need other investors in the banking industry not monoply. monopoly is not good. look at pldt now.

Green bank just got monopolized by eastwest recently.