LBC Development Bank now under receivership

CEBU, Philippines - The Philippine Deposit Insurance Corporation (PDIC) announced that the Bangko Sentral Ng Pilipinas (BSP), through the Monetary Board (MB) has placed the LBC Development Bank under receivership.

Based on MB Resolution No. 1354, as Receiver , PDIC took over the bank on September 9, 2011.

PDIC shall gather, verify and validate all bank records and administer and preserve its assets for the benefit of all creditors.

On the other hand, PDIC assured depositors of LBC Development Bank that all valid accounts and deposit insurance claims will be paid as soon as possible.

In a statement, PDIC said that updates will be issued as soon as examination and validation of accounts are completed.

The state deposit insurer will conduct a series of Depositors Forums (DF) in the localities where branches of LBC Development Bank are located.

The schedules of the DF will be announced as soon as possible in the bank premises and in the PDIC website, www.pdic.gov.ph.

During the DF, PDIC representatives will explain the requirements and procedures in filing deposit insurance claims. PDIC advised the depositors to await announcements on the schedules of the DF.

LBC Development Bank is a 20-unit thrift bank. Its head office is located at 809 J. P. Rizal St., Poblacion, Makati City. Its 19 branches are located nationwide.

Latest available records show that as of June 30, 2011, LBC Development Bank had estimated total deposit liabilities of P6.09 billion comprising one tenth of one percent of the total deposits in the Philippine banking system.

Insured deposits amount to P3.73 billion. Number of accounts totalled to 321,516 and 99.4 percent of the said total number of accounts are fully covered by deposit insurance. (FREEMAN)