MORNBFI Vol. 1 - Planters Development Bank

§ 4160Q.310.12.31(2) Description of ROPA property;(3) Outstanding balance of ROPA at thetime of reclassification;(4) Specific purpose for reclassifyingsaid property to QB premises, furniture,fixture and equipment; and(5) Justification and plan for expansion,in the case of real and other propertyearmarked for future use.Said resolution shall also be madeavailable for inspection by BSP examiners,together with the supporting records anddocuments involving the ROPA account;and(b) Only such acquired asset, or aportion thereof, that will be (i) immediatelyused, or (ii) ready and available for usewithin a two (2)-year period from date ofreclassification (in case of ROPA earmarkedfor future use) may be reclassified to QBpremises, furniture, fixture and equipment;(c) ROPA reclassified to QB Premises,Furniture, Fixture and Equipment shall berecorded at its net carrying amount wherethe amounts booked as cost, accumulateddepreciation and allowances for losses forQB Premises, Furniture, Fixture andEquipment shall correspond to the balanceof these accounts under ROPA at the timeof reclassification. As such, thereclassification shall not give rise to anygains/(losses) being recognized in the QBbooks; and(d) Said reclassification shall not causethe QB to exceed the prescribed ceiling oninvestment in real estate and improvementsthereon, including QB equipment, providedunder Subsec. X160.2.Within five (5) business days from dateof reclassification, the QB shall submit theCertification on Compliance withRegulations on the Reclassification of ROPAto QB Premises, Furniture, Fixture andEquipment (Appendix Q-54) signed by thepresident of the QB or officer of equivalentrank, to the appropriate department of theSES. Said certification shall be accompaniedby the certified true copy of the resolutionof the QB’s board of directors authorizingthe reclassification.Sanctions. The following sanctions shallbe imposed for violations noted:1. On the QBa. Monetary finesA QB which fails to comply with theprovisions of this Subsec. shall besubject to monetary penalties underAppendix Q-39.1) For non-submission of the requiredcertificationA QB which fails to submit the requiredCertification on Compliance withRegulations on the ROPA to QB Premises,Furniture, Fixture and Equipment or thecertified true copy of the resolution of theboard of directors authorizing saidreclassification within the prescribeddeadline shall be subject to monetarypenalties applicable to minor offenses underAppendix Q-39 which shall be reckoned ona daily basis from the day following the duedate of submission until the requiredcertification on compliance or the certifiedtrue copy of the resolution of the board ofdirectors is filed with the BSP.2) For false/misleading statementsA QB which has been found to havewillfully made a false or misleadingstatement in the required Certification onCompliance with Rules and Regulations onthe ROPA to QB Premises, Furniture, Fixtureand Equipment or in the certified true copyof the resolution of the QB board ofdirectors shall be subject to the monetarypenalties applicable to minor offenses underAppendix Q-39 for the willful making of afalse or misleading statement which shallbe reckoned on a daily basis from the dayfollowing the due date of the saidcertification until such time that an amendedManual of Regulations for Non-Bank Financial InstitutionsQ RegulationsPart I - Page 46a