June 6, 2017

The Philippine Deposit Insurance Corporation (PDIC) generated a total of PHP13.7 million from the sale of nine properties during the public bidding of corporate and closed banks’ assets held on May 16, 2017 at the PDIC Office in Makati City. These properties are located in Valenzuela City, Bulacan, Pangasinan, Nueva Ecija, Ilocos Sur, Cavite, Quezon and Legazpi City.

Total sales accounted for eight closed banks’ properties and one corporate asset sold, ranging from PHP10,500 to PHP2.8 million, for an aggregate value of PHP12.5 million and PHP1.16 million, respectively. These consisted of residential lots, commercial lots, and a generator set. The bidding yielded a premium of PHP3.4 million from the combined minimum disposal price of PHP10.3 million.

Proceeds from the sale of closed banks’ properties are added to the pool of liquid assets of these banks for distribution to creditors and uninsured depositors in accordance with the rules on concurrence and preference of credits. Meanwhile, gains from the sale of corporate assets are added to the Deposit Insurance Fund, PDIC’s fund source mainly for payment of valid deposit insurance claims.

The expeditious liquidation assets is one of the strategic directions of PDIC, as statutory liquidator of closed banks. To help ensure that recoveries from closed banks’ assets are maximized, PDIC sells assets via competitive biddings and auctions. After which, unsold assets may be acquired by interested parties via negotiated sale.

Interested buyers are encouraged to visit the PDIC website at www.pdic.gov.ph and use PDIC’s property finder for information on available inventory of assets for sale. Prospective buyers may also call the Asset Management and Disposal Group at (02) 841-4387 for inquiries on assets for disposal.

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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 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.