MORNBFI Vol. 1 - Planters Development Bank

APP. Q-5611.31.12such creditor, debtor, stockholder, director,officer of the institution under receivership;d. The person has a direct or indirectinterest in the institution under receivershipor any of its creditors; ore. Other cases analogous to theforegoing or where there is a clear showingof a conflict of interest, as may bedetermined by the MB.The applicant-receiver shall disclosewhether he/she/it possesses any of theforegoing conflict of interest.V. Powers, Duties and Responsibilities ofthe Receiver. The receiver has thefollowing principal responsibilities:a. Take charge of the institution’s assetsand liabilities as provided in theReceivership Procedures;b. As expeditiously as possible, collectand gather all the assets and administer thesame for the benefit of its creditors andexercise the general powers of a receiverunder the Revised Rules of Court but shallnot, with the exception of administrativeexpenditures, pay or commit any act thatwill involve the transfer or disposition of anyasset of the institution;c. Determine as soon as possible, butnot later than ninety (90) days fromtakeover, whether the institution may berehabilitated or otherwise placed in such acondition so that it may be permitted toresume business with safety to its clients,creditors and the general public; andd. Evaluate and propose rehabilitationplan that may be submitted and make arecommendation to the MB whether theinstitution should be rehabilitated orliquidated.e. Upon approval by the MB of thereceiver’s recommendation for liquidation,the receiver shall proceed with theliquidation without prejudice to theprerogative of the MB to select a liquidator.The receiver, in the performance of his/her/its duties, shall observe due diligenceas required under the circumstances,reasonable skill, sound discretion and goodfaith.VI. Designation of Deputy Receiver/s. Thereceiver may appoint as many deputies asmay be necessary to accomplish theobjectives of receivership. The appointeddeputies should possess the samequalifications required of a receiver.VII. Term of Receivership. Unlessotherwise provided by competent court, thereceiver shall determine within ninety (90)days from takeover, whether the institutionmay be rehabilitated or liquidated. The saiddetermination to rehabilitate or liquidate theinstitution shall be subject to prior approvalof the MB. The receivership may beterminated either upon receipt of the orderof the MB authorizing the institution toresume its operation or order placing itunder liquidation.VIII. Remuneration of the Receiver. TheReceiver and the Deputy Receivers shallreceive remunerations not more than theamount to be fixed by the MB.All expenses attendant to thereceivership, including the above, shall beborne by or chargeable to the institutionconcerned.PART IIGUIDELINES ON LIQUIDATIONPROCEEDINGS OF NBQBS/ TRUSTENTITIES1. Introduction. Liquidation is the processby which all the assets of an NBQB/TrustEntity are converted into liquid assets (cash)in order to pay for all the claims ofcreditors of the NBQBs, and the remainingbalance, if any, is to be distributed to thestockholders of the corporation. Aliquidation proceeding is a proceeding inAppendix Q-56 - Page 4Manual of Regulations for Non-Banks Financial Institutions