PDIC takes over The Palawan Bank

ORDERED CLOSED. The Monetary Board of the Bangko Sentral ng Pilipinas, in a resolution dated May 6, ordered the Philippine Deposit Insurance Corp. to take over The Palawan Bank. (PHOTO FROM THE PHILIPPINE DEPOSIT INSURANCE CORP.)

THE Philippine Deposit Insurance Corp. (PDIC) took over as receiver of The Palawan Bank (Palawan Development Bank) Inc. on May 6 after the Monetary Board (MB) of the Bangko Sentral ng Pilipinas issued Resolution 660-A, directing it to take over the bank and proceed with liquidation of the bank’s assets.

The Palawan Bank, which was was established in Puerto Princesa City in 1984, is a 10-unit thrift bank. It has nine branches: five in Palawan (Brooke’s Point, Narra, Quezon, Roxas and Taytay) and four in Cebu (Carcar, Liloan, Minglanilla and City of Naga).

Latest available records show that as of Dec. 31, The Palawan Bank had 19,857 deposit accounts with total deposit liabilities of P503 million, of which 81 percent or P408.0 million are insured deposits.

PDIC assured depositors that all valid deposits and claims will be paid up to the maximum deposit insurance coverage of P500,000.

Individual account holders of valid deposits with balances of P100,000 and below do not need to file deposit insurance claims, provided they have no outstanding obligations or have not acted as co-makers of obligations with The Palawan Bank. These individual depositors must ensure that they have complete and updated addresses with the bank.

PDIC representatives will be distributing mailing address update forms at the bank premises and depositors may submit the forms until May 21.

For business entities and all other depositors who are required to file claims for deposit insurance, the schedule for filing of claims will be announced through posters in the bank premises and in other public places, the PDIC website and PDIC’s official Facebook account.

PDIC also reminded borrowers to continue paying their loan obligations to The Palawan Bank and to transact only with designated PDIC representatives at the bank premises.

For more information on the requirements and procedures for filing of claims for deposit insurance and settlement of loan obligations, all depositors and borrowers of the bank are enjoined to attend the Depositors-Borrowers’ Forum on May 27. Details will be posted in the bank premises and in other public places.

The PDIC also reminded borrowers of the bank that they are still obliged to pay their loans. PDIC advised borrowers to transact only with authorized PDIC representatives, emphasizing that it has not engaged any person, agent or agency to collect the loan payments for and in behalf of the bank.

PDIC advised borrowers to always secure copies of official receipts issued by the PDIC, as liquidator of The Palawan Bank.

Deposits of borrowers who have past due loans with the bank are automatically applied to their loans, by operation of law. If the loans are on current status, the borrowers may opt to apply their deposits against their loans, to avoid paying interest on their loans.

Borrowers of The Palawan Bank may pay their loans and other obligations by paying directly at any Philippine National Bank (PNB) branch. Payment should be for the account name, PDIC FAO BURL--The Palawan Bank (Palawan Development Bank) Inc. Borrowers are advised to indicate their assigned account reference numbers on the PNB payment slips and keep copies of the same to ensure proper recording of their payments. They may also pay through postal money order or check payable to PDIC FAO BURL--The Palawan Bank (Palawan Development Bank) Inc. Payment should be directly sent via mail to the PDIC Loans Management Department III, 5th Floor, SSS Bldg., Ayala Avenue corner V.A. Rufino St., Makati City. Borrowers can also pay directly at the PDIC Public Assistance Center located on the 3rd Floor, SSS Bldg., Ayala Ave. corner VA Rufino St., Makati City.

PDIC, as receiver, will issue official receipts for all payments received upon verification and will send the official receipts to the borrowers through mail.

Borrowers who do not receive their official receipts are advised to send by mail, e-mail or fax a copy of their PNB deposit or payment slips to Fortunato A. Nicolas, deputy receiver for loans, at the PDIC central office. (MEA FROM PR)


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