MORNBFI Vol. 1 - Planters Development Bank

APP. Q-5611.31.12case before a court or administrative bodyfor any offense involving dishonesty orbreach of trust such as, but not limited to,estafa, embezzlement, extortion, forgery,malversation, swindling, theft, robbery,falsification, bribery, violation of B.P. Blg.22, violation of anti-graft and corruptpractices act and prohibited acts andtransactions under Section 7 of R.A. No.6713 (Code of Conduct and EthicalStandards for Public Officials andEmployees), violation of banking laws, rulesand regulations; andj. Must not have been sentenced bya court to serve a maximum term ofimprisonment of more than six years,which conviction has become final andexecutory.A juridical person may serve as a receiver:Provided, that it must designate asits representative/s natural person/s whopossess/ess all of the above qualifications.Such juridical entity and therepresentative/s are solidarily accountablefor all the liabilities of the receiver.The Receiver shall be appointed by theMB and may be replaced at anytime uponwritten notice by the MB.The BSP may maintain a pool ofqualified receivers who shall be subjectedto the following selection process:(i) The SES shall send invitations citingthe minimum requirements for the position,together with a copy of the terms ofreference (TOR), to specific persons withreputable track record in handlingcorporate recoveries, rehabilitation,receivership, liquidation, banking andfinance or supervision and regulation offinancial institutions.(ii) Interested parties shall submit anapplication for appointment as receiver ofan entity, together with the statement thatthe applicant is agreeable to the TORprescribed by the BSP. The applicant shallalso submit his/her/its proposedcompensation and other fees.(iii) The SES shall evaluate thequalifications submitted by the applicantsand shall prepare a short list of thosequalified. To be included in the short list,candidates must comply strictly with theminimum qualifications.The BSP-accreditation of the receiversmay be renewed every three (3) years. Anyperson pre-qualified to be included in thepool, may be appointed as Receiver of one(1) or more NBQBs/Trust Entities subject tosuch conditions as may be imposed by theMB.The SES, when recommending to the MBthe person who shall be appointed asreceiver, shall consider, among others, thefollowing:(i) Area of expertise of the candidatesvis-à-vis the nature of the business of theentity under receivership;(ii) Amount of assets of the entity underreceivership;(iii) Proposed compensation and otherfees; and(iv) Any information available in thebusiness community and/or inlegal/professional organizations regardingthe candidate.IV. Conflict of Interest. Conflict of interestis a situation wherein a person in a fiduciaryposition has competing professional orpersonal interests that can make it difficultto fulfill his/her duties impartially, whichmay include the following:a. The person is, or was within two(2) years prior to the date the MB placed theinstitution under receivership a director,officer, employee, consultant/adviser,external counsel/auditor, creditor, debtor, orstockholder of the institution underreceivership;b. The person is presently engaged in acompeting line of business as the institutionunder receivership;c. The person is related by consanguinityor affinity within the fourth civil degree toManual of Regulations for Non-Banks Financial InstitutionsAppendix Q-56 - Page 3