The Rural Bank of Paranaque Inc. (RBPI), which declared a bank holiday on Monday, December 8, 2008 has been placed under receivership by the Monetary Board of the Bangko Sentral ng Pilipinas (BSP). The Monetary Board, the policy-making body of the BSP, issued MB Resolution No. 1616 dated December 9, 2008 placing RBPI under receivership on the basis of the voluntary closure by its owners last Monday and the findings of Bangko Sentral examiners confirming the existence of the grounds for receivership under the law.

The Monetary Board designated the Philippine Deposit Insurance Corporation as receiver. As such, PDIC is mandated to gather and preserve the assets and liabilities of the bank, as well as control, manage, and administer its affairs. This is done for the benefit of both depositors and creditors of the bank.

As the state deposit insurer, PDIC is also tasked to promote and safeguard the interests of the depositing public by providing deposit insurance. In this connection, PDIC President Jose C. Nograles assured that the corporation will pay all valid claims of depositors of RBPI. He also said that PDIC aims to promptly pay all valid claims. He stressed that the speed of payout will depend on the availability and state of bank records and the completeness of documentary and other requirements submitted by the claimants.

PDIC conducts standard examination procedures prior to payout. The Corporation has deployed a sizeable number of personnel on field to speed up operations. However, since RBPI has over 37,000 deposit accounts, the examination and payout process may take some time.

PDIC personnel will make an initial evaluation and will subsequently make announcements on the schedule for distribution of claim forms, submission of claims, and payout.

RBPI is a five-unit bank with head office located at the Super Palengke ng Paranaque, Quirino Ave., Paranaque City, and four branches in Las Pinas City, Marikina City, Pasig City, and Masinag. As of September 30, 2008, RBPI had deposit liabilities amounting to P5.43 billion.