BSP shutters rural bank in Cavite

INQUIRER FILE PHOTO

The Bangko Sentral ng Pilipinas (BSP) last week shuttered another rural bank in Cavite, bringing the number of closed countryside lenders so far this year to 18.

In a bulletin, state-run Philippine Deposit Insurance Corp. (PDIC) said the Monetary Board, the BSP’s highest policymaking body, in a Nov. 11 resolution prohibited Rural Bank of Salinas Inc. from doing business.

As designated receiver, the PDIC took over the bank as well as its affairs, assets, branches and records.

The bank’s head office was located at Marseilla Street, Barangay (village) Muzon, Rosario, Cavite.

It had two branches.

“Under Section 13 of Republic Act (RA) No. 3591 (PDIC Charter), as amended by RA 10846, a bank that has been placed under liquidation shall in no case be re-opened and permitted to resume banking business. Furthermore, Section 12 thereof expressly provides that banks closed by the Monetary Board shall no longer be rehabilitated,” the PDIC said.

The 17 other rural banks earlier placed by the BSP under PDIC receivership were Rural Bank of Villaviciosa (Abra) Inc., Lapu-Lapu Rural Bank Inc., Rural Bank of Bayawan (Negros Oriental) Inc., Rural Bank of Basay (Negros Oriental) Inc., Rural Bank of Panay Inc., Koronadal Rural Bank Inc., Rural Bank of Malinao (Aklan) Inc., Surigao City Evergreen Rural Bank Inc., Rural Bank of Amadeo (Cavite) Inc., New Rural Bank of Binalbagan, Rural Bank of Siaton (Siaton, Negros Oriental) Inc., Rural Bank of Alabat (Quezon) Inc., Rural Bank of Cabadbaran (Agusan) Inc., Rural Bank of Claveria (Cagayan) Inc., Rural Bank of Luna (Isabela) Inc., and Sampaguita Savings Bank Inc.

Including thrift bank GSIS Family Bank, the Monetary Board closed down a total of 19 banks thus far in 2016. RAM

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