The Monetary Board (MB) placed Rural Bank of Caba (La Union), Inc. under the receivership of the Philippine Deposit Insurance Corporation (PDIC) by virtue of MB Resolution No. 2004 dated December 10, 2015. As Receiver, PDIC took over the bank on December 11, 2015.

Rural Bank of Caba, Inc. is a single unit rural bank located in Poblacion Sur, Caba, La Union. Based on the Bank Information Sheet filed by the bank with the PDIC as of June 30, 2015, Rural Bank of Caba, Inc. is owned by Enrique A. Sobrepeña, Jr. (35.30%), Rose L. Sobrepeña (34.17%), Rockshed Management Inc. (7.07%), Juan Miguel P. Sobrepeña (6.08%), Robert John L. Sobrepeña (5.00%), William Russell L. Sobrepeña (5.00%) and Enrique L. Sobrepeña III (5.00%). The Bank's President is Juan Miguel P. Sobrepeña and its Chairman is Enrique A. Sobrepeña, Jr.

Latest available records show that as of September 30, 2015, Rural Bank of Caba, Inc. had 1,057 accounts with total deposit liabilities of PHP18.3 million. Total insured deposits amounted to PHP18.0 million or 98.2% of total deposits.

PDIC said that during the takeover, all bank records shall be gathered, verified and validated. The state deposit insurer assured depositors that all valid deposits shall be paid up to the maximum deposit insurance coverage of PHP500,000.00.

Depositors with valid deposit accounts with balances of PHP100,000.00 and below shall be eligible for early payment and need not file deposit insurance claims, except accounts maintained by business entities, or when they have outstanding obligations with Rural Bank of Caba, Inc. or acted as co-makers of these obligations. Depositors have to ensure that they have complete and updated addresses with the bank. PDIC targets to start mailing payments to these depositors at their addresses recorded in the bank no later than the first week of January 2016.

Depositors may update their addresses until December 18, 2015 using the Mailing Address Update Forms to be distributed by PDIC representatives at the bank premises.

For depositors that are required to file deposit insurance claims, the PDIC targets to start claims settlement operations for these accounts by the second week of January 2016.

The PDIC also announced that it will conduct Depositors-Borrowers Forums on December 18, 2015 and January 5, 2016. It enjoins all depositors to attend the two Forums. In the first forum, the requirements and procedures for filing deposit insurance claims will be discussed, and the important dates such as the payout schedules will be discussed in the second forum so that depositors will be able to verify with PDIC representatives if they are eligible for early payment. The time and venue of the Forum will be posted in the bank's premises and announced in the PDIC website, www.pdic.gov.ph Likewise, the schedule of the claims settlement operations, as well as the requirements and procedures for filing claims will be announced through notices to be posted in the bank premises, other public places and the PDIC website.

For more information, depositors may communicate with PDIC Public Assistance personnel stationed at the bank premises. They may also call the PDIC Toll Free Hotline at 1-800-1-888-PDIC (7342), the PDIC Public Assistance Hotlines at (02) 841-4630 to (02) 841-4631, or send their e-mail to pad@pdic.gov.ph.

* * * * *

The Philippine Deposit Insurance Corporation (PDIC) was established on June 22, 1963 by Republic Act 3591 to provide depositor protection and help maintain stability in the financial system by providing permanent and continuing deposit insurance. Effective June 1, 2009, the maximum deposit insurance coverage is P500,000 per depositor. All deposit accounts by a depositor in a closed bank maintained in the same right and capacity shall be added together. A joint account shall be insured separately from any individually-owned deposit account.

PDIC news/press releases and other information are available at the website, www.pdic.gov.ph.