By Earl Jed Roque/PNA
MANILA — Malacañang on Tuesday said it welcomes comments from citizens on the issue involving state-owned Land Bank of the Philippines (LandBank) and the loan it extended to Hanjin Heavy Industries and Construction Philippines (HHIC-Phil), a debt-ridden Korean company hit by a slowdown in global demand that sought court-assisted rehabilitation.
“We welcome any letter coming from any citizen. And we will always take action,” Presidential Spokesperson Salvador Panelo said when sought for reaction on the Philippine Maize Federation’s (PhilMaize) call for President Duterte to investigate the USD85-million loan extended by the LandBank to Hanjin.
Panelo said he will also ask LandBank regarding the loan’s status before reporting to President Rodrigo R. Duterte for his appropriate action.
LandBank and four other banks can be assured that they will not lose over Hanjin’s troubles as Chinese and Filipino firms are willing to take over the company, Panelo said.
“Ang pagkabasa ko, kulang ang (From what I’ve read, there’s lacking in) collateral but I also read that the assets there are over and above the combined loans of these five banks. So kumbaga hindi rin malulugi ang mga bangko, nandiyan pa rin (Banks will not lose, assets are still there). In fact, they have grouped together and they will not be… anyone of them will not on its own kunin iyong mga assets (get the assets),” he said.
Other local banks that have exposure to Hanjin, which has a USD1.6 billion-shipyard in Subic Bay Freeport Zone (SBFZ), as state-owned Land Bank of the Philippines (Landbank), Yuchengco-led Rizal Commercial Banking Corporation (RCBC), Ty-led Metropolitan Bank & Trust Company (Metrobank), Ayala-led Bank of the Philippine Islands (BPI) and Sy-led Banco de Oro Unibank (BDO).
The BSP earlier said policy enhancements on banks’ capital, risk management systems and good governance, among others, will protect exposed local banks from any headwinds that may arise from the bankruptcy announcement of Hanjin.
Hanjin earlier filed for corporate rehabilitation at the Olongapo Regional Trial Court, seeking protection from its creditors.
