PDIC takes over All Asia Bank

The Philippine Deposit Insurance Corp. has taken over the Mindanao-based All Asia Bank, the thrift bank owned by investment group, All Asia Capital and Trust Corp.

PDIC announced yesterday that it has been directed by the Monetary Board of the Bangko Sentral ng Pilipinas (BSP) to place the bank under receivership after it decided that the thrift bank could not continue operating without incurring probable losses for its depositors.

BSP Deputy Governor Alberto Reyes said the bank turned over its license to the BSP on Wednesday last week and the MB decided to shut it down when it met on Thursday after its books were examined.

All Asiabank was found insolvent and its capital was less than the minimum level required by the BSP for thrift banks.

All Asiabank’s head office is located in Davao City with branches in the Buhangin district; Digos City in Davao del Sur, Tagum City in Davao del Norte; Coronadal South Cotabato and General Santos City also in South Cotabato.

As of June 30, PDIC said the bank had estimated deposit liabilities of P712.84 million and about 35,000 accounts.

According to the PDIC, the bank is now conducting an examination of the books to determine the amount of insured deposits. Depositors could file their settlement claims after the examination has been completed.

The PDIC said the examination would depend on the bank’s record-keeping, adding that it would not be able to say when this review would be completed.

Under the law, PDIC insures up to P100,000 per depositor.

All Asia Bank, the former Banco Davao owned by the family of the late congressman Lorenzo Sarmiento of Davao City, had six branches all over the Davao provinces.

The bank’s clientele represented mostly Davao’s large business firms as well as local branches of companies with national operations. – Des Ferriols