One more from Legacy declares "bank holiday"

CEBU - Another rural bank under the Legacy Group declared a bank holiday last Monday amidst the efforts of the federation of rural banks to appease their depositors, who are already starting to panic after the closure of several rural banks.

Lawyer Inocencio De La Cerna, Jr. yesterday said one more member of the Legacy Group went on a holiday in Bacolod City. De La Cerna, who was earlier designated as counsel and official spokesperson of the other Legacy member banks that were placed under the receivership of the Philippine Deposit Insurance Corporation, said that the Nation Rural Bank in Bacolod City also declared a bank holiday on Monday.

De La Cerna said that based on the official report, bank officials were forced to declare a holiday after a foreign depositor went to the bank last Monday brandishing his firearm and threatened the employees.

“Ang official police report kay dunay Amerikano client nag-threaten na pamusilon ang mga empleyado didto mao nga nasamot rason pag-close,” De La Cerna said in a text message.

De La Cerna said bank officials were scheduled to meet him last night.

With the addition of the Nation Rural Bank in Bacolod, a total of eight Legacy-owned rural banks now have declared holiday. Seven of these banks are already under receivership of the PDIC.

These are Pilipino Rural Bank, Bank of East Asia, Philippine Countryside Rural Bank, Rural Bank of Parañaque, Rural Bank of San Jose in Batangas, Rural Bank of Bais and First Interstate Bank.

Amidst the problem of the Legacy-owned rural banks, the Cebu Federation of Rural Banks assured the public that they are still alive and well. Danny Arcenas, federation president, said that the problem of Legacy is isolated and is not reflective of the situation of the rural banking system in the country.

Arcenas tapped the Kapisanan ng mga Brodkaster ng Pilipinas Cebu Chapter to help them explain to the public that there is nothing to worry.

He reiterated that the Legacy-owned banks are only 10 out of the almost 800 rural banks in the entire country and that there are only four out of 40 in Cebu.

“Kadaghanan sa mga among mga members normal ra gyud ang ilang operation. In fact, mas nitaas man gani ang deposits kay sa withdrawal,” Arcenas said.

He added that this is an indication that the banks have regained the trust and confidence of the people.

Arcenas was with officials of the PDIC to answer questions from the media.

Ferdinand Beluan of PDIC said that there is nothing to worry about because they are already taking care of the depositors of the banks affected.

Beluan said they have already started the examination of all the deposits and that after the examination the PDIC will already start the distribution of the claim forms.

He said, the process may take long depending on the availability of the documents.

Aside from the PDIC officials, Deputy Director Alberto Reyes of the Bangko Sentral ng Pilipinas is also expected to arrive today to help explain to the depositors.

Reyes’ coming to Cebu was also arranged by the Rural Bank Federation to ensure that the public are given the accurate information.

In a press statement, the BSP yesterday announced that it has also put under the receivership of the PDIC the Dynamic Bank (Rural Bank of Calatagan) based in Batangas and the San Pablo City Development Bank based in Laguna. – Fred P. Languido/NLQ   (THE FREEMAN)