MORNBFI Vol. 1 - Planters Development Bank

§§ 4143Q.5 - 4145Q09.12.31trust and/or violation of banking lawbecomes final and executory, in which casethe director/trustee/officer/employee isrelisted to Watchlist - Disqualification File“A” (Permanent); and(c) Upon favorable decision orclearance by the appropriate body, i.e.,court, NBI, BSP, bank, QB, trust entity orsuch other agency/body where theconcerned individual had derogatory record.Directors/trustees/officers/employeesdelisted from the Watchlist- Disqualification File “B” other thanthose upgraded to Watchlist- Disqualification File “A” shall beeligible for re-employment with any bank,QB or trust entity.(As amended by CL-2007-001 dated 04 January 2007 andCL-2006-046 dated 21 December 2006)§ 4143Q.6 Prohibition against foreignofficers/employees of financingcompanies. Except in the case of technicalpersonnel whose employment may bespecifically authorized by the Secretary ofJustice, foreigners cannot be officers oremployees of financing companies.Sec. 4144Q (2008 - 4146Q) MonetaryBoard Confirmation of Directors/Trusteesand Senior Officers. The election/appointment of directors/trustees andofficers with the rank of senior vice-presidentand up shall require confirmation by theMonetary Board.The election/appointment of thedirectors/trustees and such officers shall bedeemed to have been confirmed by theMonetary Board if after sixty (60) businessdays from receipt of the reports required inAppendix Q-3 by the BSP, no advice againstsaid election/appointment has been receivedby the QB concerned.If the Monetary Board finds grounds fordisqualification, the director/trustee/officerso elected/appointed may be removedfrom office even if he/she has assumed theposition to which he/she was electedappointed pursuant to Section 9-A ofR.A. No. 337, as amended.Sec. 4145Q (2008 - 4144Q) InterlockingDirectorships and/or Officerships. Inorder to safeguard against the excessiveconcentration of economic power, unfaircompetitive advantage or conflict ofinterest situations to the detriment ofothers through the exercise by the sameperson or group of persons of undueinfluence over the policy-making and/ormanagement functions of similar FIs whileat the same time allowing banks, QBs andNBFIs without quasi-banking functions tobenefit from organizational synergy oreconomies of scale and effective sharingof managerial and technical expertise, thefollowing regulations shall governinterlocking directorships and/orofficerships within the financial systemconsisting of banks, QBs and NBFIs.For purposes of this Section, QBs shallrefer to IHs, finance companies, trust entitiesand all other NBFIs with quasi-bankingfunctions while NBFIs shall refer to IHs,finance companies, trust entities, insurancecompanies, securities dealers/brokers, creditcard companies, NSSLAs, holdingcompanies, investment companies,government NBFIs, asset managementcompanies, insurance agencies/brokers,venture capital corporations, FX dealers,money changers (MCs), lending investors,pawnshops, fund managers, mutual buildingand loan associations, remittance agents andall other NBFIs without quasi-bankingfunctions.a. Interlocking directorshipsWhile concurrent directorship may be theleast prejudicial of the various relationshipscited in this Section to the interests of theFIs involved, certain measures are stillnecessary to safeguard against theQ RegulationsPart I - Page 40Manual of Regulations for Non-Bank Financial Institutions