This case has been cited 1 times or more.
|
2007-02-08 |
SANDOVAL-GUTIERREZ, J. |
||||
| x x x. We did not prohibit however acts such as receiving collectibles and receivables or paying off creditors' claims and other transactions pertaining to the normal operations of a bank. There is no doubt that that the prosecution of suits for collection and the foreclosure of mortgages against debtors of the bank by the liquidator are among the usual and ordinary transactions pertaining to the administration of a bank. x x x. Likewise, in Banco Filipino Savings and Mortgage Bank vs. Ybañez, [14] where one of the issues was whether respondent bank can collect interest on its loans during its period of liquidation and closure, this Court held:In Banco Filipino Savings and Mortgage Bank v. Monetary Board, the validity of the closure and receivership of Banco Filipino was put in issue. But the pendency of the case did not diminish the authority of the designated liquidator to administer and continue the bank's transactions. The Court allowed the bank liquidator to continue receiving collectibles and receivables or paying off creditor's claims and other transactions pertaining to normal operations of a bank. Among these transactions were the prosecution of suits against debtors for collection and for foreclosure of mortgages. The bank was allowed to collect interests on its loans while under liquidation, provided that the interests were legal. In fine, we hold that the interest rate on the loan agreed upon between the parties is not excessive or unconscionable; and that during the closure of respondent bank, it could still function as a bonding institution, hence, could continue collecting interests from petitioners. | |||||