We – concerned citizens and former senior government officials – wish to publicly express our strong support to the members of the Monetary Board and
to the officers and staff of the Bangko Central ng Pilipinas (BSP), with special mention of Governor Armand Tetangco and Deputy Governor Nestor Espenilla, Jr.
For much too long, we have witnessed the increased boldness and arrogance exhibited by rogue bankers and their political padrinos. These rogue bankers have plagued the banking system and have succeeded in enticing untold numbers of depositors in their quasi –pyramiding schemes characterized by unrealistically high interest rates and tempting mega prizes to depositors.
For much too long, these criminal elements masquerading as bankers have abused the protection scheme afforded bank depositors by the Philippine Deposit Insurance Corporation (PDIC). Exploiting this sanctuary, as it were, to the hilt, they have managed to run up the exposure of PDIC to the banks involved from about P4 billion in 2006 to at least P14 billion in 2009. In the process, they have also defrauded depositors -- large and small - in the same banks. That these banks, located in various parts of the country and mostly belonging to a group associated with a notorious character, failed one after the other point to one inescapable conclusion: that from the start there was intent to subvert the system
and defraud thegovernment and depositors. For much too long, these rogue bankers have been able to fend off sanctions by BSP by resorting to undue interventions in the courts of law and not least, under the protection of powerful and well-entrenched politicians.
It is in this context and in furtherance of good governance that we commend and salute the Monetary Board and the BSP for the forceful exercise of their regulatory powers in the recent closures of those rogue banks involved in unsound and unsafe practices. We enjoin the Regulators to continue their vigilance in safeguarding the banking system and the depositing public and in prosecuting wrong-doers to the full extent of the law, to act as deterrent for others, to hold those responsible accountable for their actions, and to keep people's faith and trust in our banking system.
