“Subok Na Matibay, Subok Na Matatag” (Tested Strong, Proven Stable), the slogan of once well-known and once most popular bank in the Philippines, the Banco Filipino, formerly known as Banco Filipino Savings and Mortgage Bank, but surprisingly, it was closed twice in 1985 and in 2011 in the history of banks in the Philippines.
Banco Filipino started its operation in 1964, founded by Tomas Aguirre and was known as one of the thrift bank. The Aguirre family together with the founder control and manage the aforementioned bank. And In 1965, Banco Filipino innovated and became the first all-woman bank, making it number 1 among the banks back then. Because of its continuous innovation of its services, in 1966 it became…show more content… Banco Filipino also sued Tetangco, the current governor of the Bangko Sentral ng Pilipinas (BSP) and other Monetary Board members for violation of the Anti-Graft and Corrupt Practices. In turn, the BSP filed criminal charges against the directors and officers of Banco Filipino for numerous violations of central bank laws and unsound banking practices. And on October 3, 2011, the Court of Appeals (CA) has nullified the October 28, 2010 order issued by the Makati City Regional Trial Court (RTC) that compelled Bangko Sentral ng Pilipinas (BSP) and the Monetary Board (MB) to release P25 billion worth of financial assistance to the now padlocked Banco Filipino Savings and Mortgage Bank. In addition to what the Supreme Court said, “This ruling sustains the position of the BSP in resolving the issues pertaining to BF. Financial assistance to a bank should not be dictated on the BSP, particularly in the absence of concurrence by the BSP and where is non-compliance with the regulatory requisites for rehabilitation,” said Juan de Zuniga Jr., BSP Deputy Governor and General Counsel. The Court of Appeal’s decision is being objective with regards to its decision especially in the case of Banco Filipino, since BSP is handling and sets out rules and regulations that
