Scribd Logo
Upload

Welcome to Scribd!

  • 17 views

    Comparative Table

    Uploaded by

    Reah Crezz
    Conservatorship is an attempt to save a bank from bankruptcy through management reforms or capital infusion and lasts 1 year. Receivership involves closing a bank without notice if continued operation risks depositor and creditor loss, and lasts 90 days. Liquidation occurs if rehabilitation fails and determines and pays creditor claims, with no time limit.

    Copyright:

    © All Rights Reserved
    Download as DOC, PDF, TXT or read online from Scribd

    Comparative Table

    Uploaded by

    Reah Crezz
    17 views1 page
    Conservatorship is an attempt to save a bank from bankruptcy through management reforms or capital infusion and lasts 1 year. Receivership involves closing a bank without notice if continued operation risks depositor and creditor loss, and lasts 90 days. Liquidation occurs if rehabilitation fails and determines and pays creditor claims, with no time limit.

    Original Description:

    Comparative Table

    Copyright

    © © All Rights Reserved

    Available Formats

    DOC, PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    Conservatorship is an attempt to save a bank from bankruptcy through management reforms or capital infusion and lasts 1 year. Receivership involves closing a bank without notice if continued operation risks depositor and creditor loss, and lasts 90 days. Liquidation occurs if rehabilitation fails and determines and pays creditor claims, with no time limit.

    Copyright:

    © All Rights Reserved
    Download as DOC, PDF, TXT or read online from Scribd
    Download as doc, pdf, or txt
    17 views1 page

    Comparative Table

    Uploaded by

    Reah Crezz
    Conservatorship is an attempt to save a bank from bankruptcy through management reforms or capital infusion and lasts 1 year. Receivership involves closing a bank without notice if continued operation risks depositor and creditor loss, and lasts 90 days. Liquidation occurs if rehabilitation fails and determines and pays creditor claims, with no time limit.

    Copyright:

    © All Rights Reserved
    Download as DOC, PDF, TXT or read online from Scribd
    Download as doc, pdf, or txt
    of 1

    Definition

    Grounds/Instances

    Duration

    CONSERVATORSHIP
    Attempt to save the bank from
    bankruptcy and ultimate liquidation;
    manner of helping a bank by
    effective management reforms and/or
    infusion of additional capital
    State of inability or unwillingness to
    maintain a condition of liquidity
    deemed adequate to protect the
    interest of its depositors and creditors

    1 year, no extensions

    RECEIVERSHIP
    Summary closure of the bank by the
    BSP without prior notice and hearing
    after a finding that continuance in
    business will involve probable loss to
    its depositors and creditors
    Upon finding of the MB that:
    (1) Unable to pay liabilities
    (2) Insufficient realizable assets to
    meet liabilities
    (3) Cannot continue business without
    involving probable loss to depositors
    and creditors
    (4) Willfully violated cease and desist
    order under Section 37 of the NCBA
    (5) Announce bank holiday
    (6) Unsound and unsafe banking
    principles
    90 days, no extensions

    LIQUIDATION
    No hope in rehabilitating the bank.
    At this point, it determines and pays
    the claims of the banks creditors
    Voluntary liquidation under Section
    68 of the General Banking Law or
    upon finding that bank rehabilitated
    and cannot continue business after
    the 90 day receivership period

    No period specified under the law.


    May take some time depending on
    the determination and payment of
    claims to creditors

    You might also like