BSP, AMA Bank reach compromise

The Bangko Sentral ng Pilipinas (BSP) said it has reached a compromise agreement with AMA Rural Bank of Mandaluyong Inc., ending years of legal disputes stemming from the bank's controversial closure in 2019 and paving the way for the settlement of depositor claims.

- By KEISHA TA-ASAN

In a statement, the BSP said they "have mutually and amicably resolved all of their disputes fully and comprehensively" and agreed to enter into a compromise agreement "for the protection of the interests of the depositors and bank clients" of the rural lender.

Under the agreement, depositors, creditors and other bank clients were advised to submit their claims for payment directly to AMA Bank and to address all related inquiries to the bank.

The BSP added that, in accordance with the compromise agreement, AMA Bank would remain under the central bank's regulatory jurisdiction to ensure the proper implementation of the settlement.