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This page features the full text of
Republic Act No. 7906
Thrift
Banks Act of 1995
AN
ACT PROVIDING FOR THE REGULATION OF THE ORGANIZATION AND OPERATIONS OF
THRIFT BANKS, AND FOR OTHER PURPOSES.
REPUBLIC
ACT NO. 7906AN
ACT PROVIDING FOR THE REGULATION OF THE ORGANIZATION AND OPERATIONS OF
THRIFT BANKS, AND FOR OTHER PURPOSES.
CHAPTER
I
DECLARATION
OF POLICY AND DEFINITIONS
Section
1. Title. — This Act shall be
known and cited as the "Thrift Banks Act of 1995."
Sec.
2. Declaration of Policy. — It
is hereby declared the policy of the State to:
(a) Recognize
the indispensable role of the private sector, to encourage private
enterprise,
and to provide incentives to needed investments;
chanrobles virtuallaw libraryred(b) Promote
economic development pursuant to the socioeconomic program of the
government,
to expand industrial and agricultural growth, to encourage the
establishment
of more private thrift banks in order to meet the needs for capital,
personal
and investment credit or medium- and long-term loans for Filipino
entrepreneurs;
(c) Encourage
and assist the establishment of thrift bank system which will promote
agriculture
and industry and at the same time place within easy reach of the people
the medium-and long-term credit facilities at reasonable cost;
(d) Encourage
industry, frugality and the accumulation of savings among the public,
and
the members and stockholders of thrift banks; and
(e) Regulate
and supervise the activities of thrift banks in order to place their
operations
on a sound, stable and efficient basis and to curtail or prevent acts
or
practices which are prejudicial to the public interest.
Sec.
3. Definition of Terms. — For
purposes of implementing this Act, the following definitions shall
apply:chanroblesvirtualawlibrary
(a) "Thrift
banks" shall include savings and mortgage banks, private development
banks,
and stock savings and loans associations organized under existing laws,
and any banking corporation that may be organized for the following
purposes:chanroblesvirtualawlibrary(1) Accumulating
the savings of depositors and investing them, together with capital
loans
secured by bonds, mortgages in real estate and insured improvements
thereon,
chattel mortgage, bonds and other forms of security or in loans for
personal
or household finance, whether secured or unsecured, or in financing for
homebuilding and home development; in readily marketable and debt
securities;
in commercial papers and accounts receivables, drafts, bills of
exchange,
acceptances or notes arising out of commercial transactions; and in
such
other investments and loans which the Monetary Board may determine as
necessary
in the furtherance of national economic objectives;(2) Providing
short-term working capital, medium- and long-term financing, to
businesses
engaged in agriculture, services, industry and housing; and
(3) Providing
diversified financial and allied services for its chosen market and
constituencies
specially for small and medium enterprises and individuals.
(b) "Monetary
Board" shall mean the Monetary Board of the Bangko Sentral ng Pilipinas.
chanrobles virtuallaw libraryred(c) "Bangko
Sentral" shall refer to the Bangko Sentral ng Pilipinas created under
Republic
Act No. 7653.
CHAPTER
II
ORGANIZATION
Sec.
4. Organization. — A thrift bank
shall be organized in the form of stock corporation. The
Monetary Board shall fix the minimum paid-up capital of thrift banks in
such amount as the Board may consider necessary for the safe and sound
operation of thrift banks taking into account the development thrusts
of
this Act and due protection of the general public. No
thrift bank shall be organized without a certificate of authority from
the Monetary Board.
Sec.
5. Establishment of Thrift Banks.
— The articles of incorporation of any bank, or any amendment thereto,
shall not be registered by the Securities and Exchange Commission
unless
accompanied by a certificate of authority issued by the Monetary Board
under its official seal .Such certificate
shall not be issued unless the Monetary Board is satisfied from the
evidence
submitted to it: (a) that all the requirements of the existing laws and
regulations to engage in business for which the applicant is proposed
to
be incorporated have been complied with; (b) that public interest and
the
economic conditions, both general and local, justify the authorization;
and (c) that the amount of capital, the financing organization,
direction
and administration, as well as the integrity and the responsibility of
the organizers and administrators reasonably assure the safety of the
interest
which the public may entrust to them.
The
by-laws of any thrift bank, or any amendment thereto, shall not be
registered
by the Securities and Exchange Commission unless accompanied by a
certificate
of the Monetary Board to the effect that such by-laws or amendments
thereto
are in accordance with law.
Sec.
6. Bank Management. — In order
to maintain the quality of bank management and afford better protection
to
depositors and the public in general, the Monetary Board may pass upon
and review the qualifications of persons who are elected or appointed
bank
directors and officers and disqualify those unfit. The
Monetary Board shall prescribe the qualifications of bank directors and
officers for purposes of this Section.
Sec.
7. Directors and Officers. —
At least a majority of the members of the board of directors of any
thrift
bank which may be established after the effectivity of this Act shall
be
citizens of the Philippines: Provided, however, That no
appointive
or elective official, whether full-time or part-time, shall at the same
time serve as officer of any thrift bank, except in cases where such
service
is incident to financial assistance provided by the government or a
government-owned
or -controlled corporation to the bank: Provided, further, That
in the case of merger or consolidation duly approved by the Monetary
Board,
the limitation on the number of directors in a corporation, as provided
in Section 14 of the Corporation
Code of the Philippines, shall not be applied so that membership in
the new board may include up to the total number of directors provided
for in the respective articles of incorporation of the merging or
consolidating
banks.
CHAPTER
III
OWNERSHIP
AND CAPITAL REQUIREMENTS
Sec.
8. Ownership. — At least forty
percent (40%) of the voting stock of a thrift bank which may be
established
after the approval of this Act shall be owned by citizens of the
Philippines,
except where a new bank may be established as a result of a merger or
consolidation
of existing thrift banks with foreign holdings in which case, the
resulting
foreign holdings shall not be increased but may be reduced and, once
reduced,
shall not be increased thereafter beyond sixty percent (60%) of the
voting
stock of thrift banks. The
percentage of the foreign-owned voting stocks shall be determined by
the
citizenship of individual stockholders and in case of corporations
owning
shares, by the citizenship of each stockholder in the said corporations.
Any
provision of existing laws to the contrary notwithstanding,
stockholdings
in a thrift bank shall be exempt from any ownership ceiling for a
period
of ten (10) years from the effectivity of this Act.
Sec.
9. Combined Capital Accounts
of Thrift Banks. — The combined capital accounts of each thrift bank
shall
not be less than an amount equal to ten percent (10%) of its risk
assets
which is defined as its total assets minus the following assets:
(a) Cash
on hand;chanrobles virtuallaw libraryred(b) Amounts
from the Bangko Sentral;
(c) Evidences
of indebtedness of the Republic of the Philippines and of the Bangko
Sentral,
and any other evidences of indebtedness or obligations the servicing
and
repayment of which are fully guaranteed by the Republic of the
Philippines;
(d) Loans
to the extent covered by hold-out on, or assignment of deposits
maintained
in the lending bank and held in the Philippines; and
(e) Other
non-risk items as the Monetary Board may, from time to time, authorize
to be deducted from total assets.
The
Monetary Board shall prescribe the manner of determining the total
assets
of banking institutions for purposes of this Section.
Whenever
the capital accounts of a bank are deficient with respect to the
requirements
of the preceding paragraph, the Monetary Board, after considering the
report
of the appropriate supervising department on the state of solvency of
the
institution, shall limit or prohibit the distribution of net profits
and
shall require that part or all of net profits be used to increase the
capital
accounts of the institution until the minimum requirement has been met.The
Monetary Board may, after considering the aforesaid report of the
appropriate
supervising department and if the amount of the deficiency justifies
it,
restrict or prohibit the making of new investments of any sort by the
bank,
with the exception of purchases of evidences of indebtedness included
under
subsection (c) of this Section, until the minimum required capital
ratio
has been restored.
Where
in the process of a bank merger or consolidation, the merged or
constituent
bank may not be able to comply fully with the net worth to risk asset
ratio
herein prescribed, the Monetary Board may, at its discretion,
temporarily
relieve the bank from full compliance with this requirement under such
conditions it may prescribe.
CHAPTER
IV
POWERS
Sec.
10. Powers of Thrift Banks. —
In addition to powers granted it by this Act and existing laws, any
thrift
bank may:
(a) Accept
savings and time deposits;chanrobles virtuallaw libraryred(b) Open
current or checking accounts: Provided, That the thrift bank has net
assets
of at least Twenty million pesos (P20,000,000) subject to such
guidelines
as may be established by the Monetary Board; and shall be allowed to
directly
clear its demand deposit operations with the Bangko Sentral and the
Philippine
Clearing House Corporation;
(c) Act
as correspondent for other financial institutions;
(d) Act
as collection agent for government entities, including but not limited
to, the Bureau of Internal Revenue, Social Security System, and the
Bureau
of Customs;
(e) Act
as official depository of national agencies and of municipal, city or
provincial
funds in the municipality, city or province where the thrift bank is
located,
subject to such guidelines as may be established by the Monetary Board;
(f) Rediscount
paper with the Philippine National Bank, the Land Bank of the
Philippines,
the Development Bank of the Philippines, and other government-owned or
-controlled corporations.Said institutions
shall specify the nature of paper deemed acceptable for rediscount, as
well as rediscounting rate to be charged by any of these institutions;
and
(g) Issue
mortgage and chattel mortgage certificates, buy and sell them for its
own
account or for the account of others, or accept and receive them in
payment
or as amortization of its loan.
Such
mortgage and chattel mortgage certificates shall be issued exclusively
in national currency and exclusively for the financing of equipment
loans,
mortgage loans for the acquisition of machinery and other fixed
installations,
conservation, enlargement or improvement of productive properties and
real
estate mortgage loans for: (1) the construction, acquisition, expansion
or improvement of rural and urban properties; (2) the refinancing of
similar
loans and mortgages; and (3) such other purposes as may be authorized
by
the Monetary Board.chanrobles virtuallaw libraryredA
thrift bank shall coordinate the amounts and maturities of its
certificates
with those of its loans, so as to ensure adequate cash receipts for the
payment of principal and interest at the time they become due.The
bank shall accept its own certificates at least at the actual price of
issue, in any prepayment of loans which mortgage or chattel mortgage
debtors
may wish to make: Provided, That the date of maturity of the
certificates
is not later than the date on which the payment would otherwise become
due, in the absence of the aforesaid prepayment;
(h) Purchase,
hold and convey real estate under the same conditions as those
governing
commercial banks as specified under Section 25 of Republic Act No. 337;chanrobles virtuallaw libraryred(i) Engage
in quasi-banking and money market operations;
(j) Open
domestic letters of credit;
(k) Extend
credit facilities to private and government employees: Provided, That
in the case of a borrower who is a permanent employee or wage earner,
the
treasurer, cashier or paymaster of the office employing him is
authorized,
notwithstanding the provisions of any existing law, rules and
regulations
to the contrary, to make deductions from his salary, wage or income
pursuant
to the terms of his loan, to remit deductions to the thrift bank
concerned,
and collect such reasonable fee for his services;
(l) Extend
credit against the security of jewelry, precious stones and articles of
similar nature, subject to such rules and regulations as the Monetary
Board
may prescribe; and
(m) Offer
other banking services as provided in Section 72 of Republic Act No.
337
and Republic Act No. 6426, as amended.
Thrift
banks may perform the services under subsections (b), (d), (e), (g) and
(i) only upon prior approval of the Monetary Board.
Nothing
in this Section shall be construed as precluding a thrift bank from
performing,
with prior approval of the Monetary Board, commercial banking services,
or from operating under an expanded banking authority, nor from
exercising,
whenever applicable and not inconsistent with the provisions of this
Act
and Bangko Sentral regulations, and such other powers incident to a
corporation.
Sec.
11. Limitations on Lending Authority.
— Except as the Monetary Board may otherwise prescribe, the direct
indebtedness
to thrift banks of any person, company, corporation, or firm, including
the indebtedness of members of a partnership and association, for money
borrowed, excluding: (a) loans secured by obligations of the Bangko
Sentral;
(b) loans fully guaranteed by the government as to the payment of
principal
and interest; (c) loans to the extent covered by the hold-out on, or
assignment
of, deposits maintained in the lending bank and held in the
Philippines;
and (d) other loans or credits as the Monetary Board may, from time to
time, specify as non-risk assets, which shall in no time exceed fifteen
percent (15%) of unimpaired capital and surplus of the bank.
chanrobles virtuallaw libraryred
Notwithstanding
the provisions of the preceding paragraph and subject to such
regulations
as the Monetary Board may prescribe, the total indebtedness of any
borrower
to the bank may amount to a further fifteen percent (15%) of the
unimpaired
capital and surplus of such bank provided the additional indebtedness
is
for the purpose of financing subdivision or housing development,
medium-
and low-income borrowers and agriculture on a fully secured basis.
The
term "indebtedness" as used herein, shall mean the direct
liability
of the maker or acceptor of paper discounted with or sold to such bank
and liability of the indorser, drawer or guarantor who obtains a loan
from
or discounts paper with or sells paper under his guaranty to such bank;
and shall include in the case of liabilities of a partnership or
association
the liabilities of the several members thereof; and shall include in
the
case of liabilities of a corporation, all liabilities of all the
subsidiaries
thereof in which such corporation owns or controls a majority interest:
Provided,
That even if the parent corporation, partnership or association has no
liability to the bank, the Monetary Board may prescribe the combination
of liabilities of subsidiary corporations or members of the partnership
or association under certain circumstances, including but need not be
limited
to any of the following situations: (a) the parent corporation,
partnership
or association guarantees the repayment of liabilities; (b) the
liabilities
were incurred for the accommodation of the parent corporation or
another
subsidiary or of the partnership or association; or (c) the
subsidiaries
through separate entities operate merely as departments or divisions of
a single entity: Provided, further, That the discount of bills
of
exchange drawn in good faith against actually existing values, and the
discount of commercial and business paper actually owned by the person
negotiating the same, shall not be considered as money borrowed for the
purpose of this Section: Provided, finally, That certain types
of
contingent liabilities of borrowers may be included among the total
liabilities
as may be determined by the Monetary Board.
Loan
accommodations granted by thrift banks to any other bank, as well as
deposits
maintained by them in any bank licensed to do business in the
Philippines,
shall be subject to the loan limit of any single borrower as herein
prescribed.
Sec.
12. Investment in Allied Undertakings.
— Subject to such guidelines as may be established by the Monetary
Board,
thrift banks may invest in equities of allied undertakings as
hereinafter
enumerated: Provided, That: (a) the total investments in
equities
shall not exceed twenty-five percent (25%) of the net worth of the
thrift
bank; (b) the equity investment in any single enterprise shall be
limited
to fifteen percent (15%) of the net worth of the thrift bank; (c) the
equity
investment in any single enterprise shall remain a minority holding in
that enterprise; and (d) the equity investment in other banks shall be
subject to the same provisions governing similar investments of
commercial
banks and shall be deducted from the investing bank's net worth for the
purpose of computing of the prescribed ratio as provided in Section 9
hereof:
Provided,
further, That equity investments shall not be permitted in
non-related
activities.Where the allied activity
is a wholly- or majority-owned subsidiary of the thrift bank, the
Bangko
Sentral may subject it to examination.
Investment
in allied undertaking shall include institutions engaged in the
following
activities:
(a) Banking
and financing;chanrobles virtuallaw libraryred(b) Warehousing
and other post-harvesting activities;
(c) Fertilizer
and agricultural chemical and pesticides distribution;
(d) Farm
equipment distribution;
(e) Trucking
and transportation of agricultural products;
(f) Marketing
of agricultural products;
(g) Leasing;
and
(h) Other
undertakings as may be determined by the Monetary Board.
CHAPTER
V
SUPERVISION
Sec.
13. Supervisory Powers of the
Monetary Board. — The power to supervise the operation of any thrift
bank
by the Monetary Board shall consist in placing limits to the maximum
credit
allowed to any individual borrower; in indicating the manner in which
technical
assistance shall be extended to thrift banks; in imposing a uniform
accounting
system and manner of keeping the accounts and records of thrift banks;
in instituting periodic surveys of loans and lending procedures,
audits,
test-check of cash and other transactions of the thrift banks; in
conducting
training courses for personnel of thrift banks; and, in general, in
supervising
the business operations of the thrift banks.
The
Bangko Sentral shall have the power to enforce the laws, orders,
instructions,
rules and regulations promulgated by the Monetary Board applicable to
thrift
banks; to require thrift banks, their directors, officers and agents to
conduct and manage the affairs of the thrift bank in a lawful and
orderly
manner; and upon proof that the thrift bank or its board of directors
or
officers are conducting and managing the affairs of the bank in a
manner
contrary to laws, orders, instructions, rules and regulations
promulgated
by the Monetary Board or in a manner substantially prejudicial to the
interest
of the government, depositors, creditors, or the general public, to
appoint
a conservator pursuant to Section 29 of Republic Act No. 7653 without
prejudice
to the prosecution of persons responsible for such violations under the
provisions of Sections 36 and 37 of Republic Act No. 7653.
The
director and examiners of the department of Bangko Sentral charged with
the supervision of thrift banks are hereby authorized to administer
oaths
to any director, officer or employee of any thrift bank or to any
voluntary
witness and to compel the presentation of all books, documents, papers
or records necessary in his or their judgment to ascertain the facts
relative
to the true conditions of any thrift bank or to any loan.
CHAPTER
VI
INCENTIVES
Sec.
14. Reserve Requirement Differential.
— Reserve requirement imposed on thrift banks by the Monetary Board
shall
enjoy equitable preferential terms over those imposed on commercial
banks:
Provided,
That the Monetary Board may change reserve differentials for the
purpose
of stimulating economic growth in the countryside, thereby promoting
national
economic development.
Sec.
15. Liberalized Branching Rules.
— Thrift banks shall have unrestricted branching right within the
region,
free from any assessment or surcharges required in setting up a branch,
but under coordination with the Bangko Sentral which will have to
assess
that there are qualified personnel, control and procedures to operate
the
branch.
Sec.
16. Notices of Statement of Condition.
— Subject to Monetary Board approval, a thrift bank may publish its
statement
of condition in a newspaper of general circulation, or post it in the
most
conspicuous area of its premises, municipal building, municipal public
market, barangay hall and barangay public market if there be any, where
the thrift bank concerned is located.
CHAPTER
VII
EXEMPTIONS
Sec.
17. Tax Exemptions. — All thrift
banks, whether created or organized under this Act or in operation as
of
the date of effectivity of this Act, shall be exempt from payment of
all
taxes, fees and charges of whatever nature and description, except the
corporate income taxes and local taxes, fees and charges for a period
of
five (5) years, counted from the date of commencement of operations for
thrift banks created under this Act and from the date of the
effectivity
of this Act for existing thrift banks.
Sec.
18. Exemption from Publication
Requirement. — The foreclosure of mortgage covering loans granted by
thrift
banks and executions of judgments thereon involving real properties and
levied upon by a sheriff shall be exempt from publication requirements
where the total amount of the loan, excluding interest due and unpaid,
does not exceed One hundred thousand pesos (P100,000) or such amount as
the Monetary Board may prescribe, as may be warranted by the prevailing
economic conditions and by the nature of service of customers served by
each category of the thrift bank. It
shall be sufficient publication in such cases if the notice of
foreclosure
and execution of judgment are posted in the conspicuous area of a
thrift
bank's premises, municipal building, the municipal public market, the
barangay
hall, and the barangay public market, if there be any, where the land
mortgaged
is situated within a period of sixty (60) days immediately preceding
the
public auction of the execution of judgment. Proof
of publication as required herein shall be accomplished by an affidavit
of the sheriff or officer conducting the foreclosure sale or execution
of judgment and shall be attached with the records of the case.
A
thrift bank shall be allowed to foreclose lands mortgaged to it;
Provided,
That said lands shall be covered under Republic Act No. 6657.
Sec.
19. Exemption from Notarial Charges.
— Any metropolitan, municipal, or municipal circuit trial court judge
in
his capacity as notary public ex officio shall administer the oath to
or
acknowledge the instrument of any thrift bank and its borrowers or
mortgagor
free from all charges, fees and documentary stamp tax, collectible
under
existing laws, relative to any loan or transaction not exceeding Fifty
pesos (P50.00) or such amount as the Secretary of Finance, upon
recommendation
of the Monetary Board, may prescribe as may be necessary to promote and
expand the economy.
Sec.
20. Exemption from Registration
Fees. — Any register of deeds shall accept from any thrift bank and its
borrowers and mortgagors for registration, free from all charges, fees
and documentary stamp tax, collectible under existing laws, any
instrument,
whether voluntary or involuntary, relating to loans or transactions
extended
by any thrift bank in an amount not exceeding Fifty thousand pesos
(P50,000):
Provided,
however, That charges, if any, shall be collectible on the amount
in
excess of Fifty thousand pesos (P50,000); and that an instrument
related
to assignments of several mortgages consolidated in a single deed, if
any,
shall be levied only on the amount in excess of Fifty thousand pesos
(P50,000)
of the consideration in the assignment of each mortgage, or such amount
as the Secretary of Finance, upon recommendation of the Monetary Board,
may prescribe as may be necessary to promote and expand the economy.
CHAPTER
VIII
PROHIBITIONS
Sec.
21. Prohibited Acts. — Without
prejudice to any prosecution under any law which may have been
violated,
a fine of not more than Ten thousand pesos (P10,000) or imprisonment
for
not less than six (6) months but not more than ten (10) years, or both,
at the discretion of the court, shall be imposed upon:
(a) Any
officer, employee, or agent of a thrift bank who shall:chanroblesvirtualawlibrary(1) Make
false entries in any bank report or statement thereby affecting the
financial
interest of, or causing damage to, the bank or any person; orchanrobles virtuallaw libraryred(2) Without
order of a court of competent jurisdiction, disclose any information
relative
to the funds or properties in the custody of the bank belonging to
private
individuals, corporations, or any other entity; or
(3) Accept
gifts, fees or commissions or any other form of remuneration in
connection
with the approval of a loan from said bank; or
(4) Overvalue
or aid in the overvaluing any security for the purpose of influencing
in
any way the action of the bank on any loan; or
(5) Appear
and sign as guarantor, indorser, or surety for loans granted; or
(6) Violate
any provision of this Act.
(b) Any
applicant for a loan from, or borrower of a thrift bank who shall:chanroblesvirtualawlibrary(1) Misuse,
misapply or divert the proceeds of the loan obtained by him from its
declared
purpose; orchanrobles virtuallaw libraryred(2) Fraudulently
overvalue property offered as security for a loan from said bank; or
(3) Give
out or furnish false or willful misinterpretation of material facts for
the purpose of obtaining, renewing, or increasing a loan extending the
period thereof; or
(4) Attempt
to defraud the said bank in the event of court action to recover the
loan;
or
(5) Offer
any officer, employee or agent of a thrift bank a gift, fee, commission
or other forms of compensation in order to influence such bank
personnel
into approving a loan application; or
(6) Dispose
or encumber the property offered as security for the loan.
(c) Any
examiner, or officer or employee of the Bangko Sentral or of any
department,
bureau, office, branch, or agency of the government who is assigned to
examine, supervise, assist or render technical service to thrift banks
and who shall connive or aid in the commission of the same.chanrobles virtuallaw libraryred(d) Any
metropolitan, municipal, or municipal circuit trial court judge or
register
of deeds who shall demand or accept, directly or indirectly, any gift,
fee, commission, or any other form of compensation in connection with
the
service, or shall arbitrarily and without reasonable cause delay the
acknowledgment
or administration of oath or the registration of documents required to
be performed by said judge or by said register of deeds shall be
punished
with a fine of not more than One (1) thousand pesos (P1,000) or by
imprisonment
of not more than one (1) year, or both, at the discretion of the court.
(e) Any
bank not organized under this Act and any person, association, or
corporation
doing the business of banking, not authorized under this Act or
existing
laws which shall use the words "Development Bank," "Savings Bank,"
"Mortgage
Bank," "Savings and Mortgage Bank," or "Savings and Loan Association,"
as part of the name or title of such bank or of such person,
association,
or corporation, shall be punished by a fine of not less than One
hundred
pesos (P100), but in no case to exceed Thirty thousand pesos (P30,000),
for each day during which the said words are so used.
CHAPTER
IX
GENERAL
PROVISIONS
Sec.
22. Minors as Depositors. — Minors
in their own rights and in their own names may make deposits and
withdraw
the same, and may receive dividends and interest: Provided, however,
That, if any guardian shall give notice in writing to any thrift bank
not
to make payments of deposits, dividends, or interest to the minor of
whom
he is the guardian, then such payment shall be made only to the
guardian.
Sec.
23. Return of Deposits. — Deposits
shall be returned to the depositors or to their legal representatives
in
the manner and at the time and under the conditions which shall be
determined
by the board of directors and stipulated in regulations which shall be
in conformity with laws and with such regulations as the Monetary Board
may prescribe.
Sec.
24. Deposit Insurance. — Deposit
in thrift banks shall be eligible for insurance coverage under Republic
Act No. 3591, as amended.
Sec.
25. Annual Fees. — Consistent
with the provisions of Section 28 of Republic Act No. 7653, any thrift
bank organized under this Act may, pursuant to regulations promulgated
for the purpose by the Monetary Board, be required to contribute to the
Bangko Sentral an annual fee in an amount to be determined by the
Monetary
Board.
Sec.
26. Implementation. — For the
purpose of carrying the objectives of this Act, the Bangko Sentral is
authorized
to require the services and facilities of any department or
instrumentality
of the government or any officer or employee of any such department or
government instrumentality.
Sec.
27. Annual Report. — The Monetary
Board shall submit a report to the Congress of the Philippines at the
end
of each calendar year of all the rules and regulations promulgated by
it
in accordance with the provisions of this Act, as well as its other
actuations
in connection with thrift banks together with an explanation of its
reasons
therefor and recommendations on legislative actions.
Sec.
28. Parity Clause Under Same
Circumstances. — The incentives granted shall be enjoyed by financial
institutions
giving the same services for countryside lending and development under
such terms as may be equitable and as may be defined by the Monetary
Board.
Sec.
29. Separability Clause. — If
any provision of this Act or the application thereof to any person or
circumstances
is held invalid, the other provisions of this Act and the application
of
such provisions to other persons and circumstances, shall not be
affected
thereby.
Sec.
30. Repealing Clause. — Republic
Act No. 4093, Republic Act No. 3779 to the extent that it applies to
thrift
banks, and Chapter 5 of Republic Act No. 337 are hereby repealed.Any
law or parts of any law inconsistent with the provisions of this Act
are
hereby repealed.In all matters
affecting the price stability of the peso, the provisions of Republic
Act
No. 7653 shall prevail.
Sec.
31. Applicability of Other Laws.
— The provisions of Republic Act No. 7653 and Republic Act No. 337, as
amended, insofar as they are applicable and not in conflict with any
provision
of this Act, shall apply to thrift banks organized hereunder.
Sec.
32. Effectivity. — This Act shall
take effect fifteen (15) days following the completion of its
publication
in the Official Gazette or in two (2) national newspapers of general
circulation.
Approved:
February
23, 1995
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