By Cheryl M. Arcibal (The Philippine Star)
The Bangko Sentral ng Pilipinas (BSP) has placed listed
Export & Industry Bank (EIB) under receivership, an official said on Friday.
Nestor Espenilla Jr., BSP deputy governor, said in an interview with ABS-CBN News that the Monetary Board decided to place EIB under receivership Thursday evening following information from Juan Victor Tanjuatco, EIB president, that the bank would be unable to service its maturing deposits.
“Based on that information, the MB has decided that the bank has severe liquidity problem and invoked the Section 30 of the BSP Charter and placed the bank under the control of the Philippine Deposit Insurance Corp.,†Espenilla said.
The BSP official said EIB has about 50,000 depositors holding some P14 billion in deposits. He also said EIB has assets worth P25 billion and has 50 branches all over the country, most of which are located in Metro Manila.
“We don’t anticipate a disorder processing of the claims of deposit insurance of depositors from the PDIC,†Espenilla said.
Although the EIB has been having financial problems, the bank was negotiating a rescue package with the Sy-owned Banco de oro Unibank Inc., the country’s largest lender, but the deal fell through.
Espenilla assured the public that the Philippine banking industry remains stable and that EIB is the country’s smallest commercial bank.
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