The over 30 thousand depositors of Banco Davao (which was taken over by All Asia Bank when it closed down) are questioning the sale by auction of the foreclosed assets of the bank amounting to P94 million.
The auction sale is expected to take place today at the Bangko Sentral ng Pilipinas unless the depositors manage to get a temporary restraining order from the court.
Financial consultant Myrna Valdez said the foreclosure of the land, all of which are prime lands, is questionable considering that the landowners who used their properties as collateral were still paying the amortizations. If a total loan of P94 million were approved by the bank for these lands, Valdez said, it is safe to assume that the value of these properties could be triple that amount.
She said it is also highly questionable for Philippine Deposit Insurance Corporation to sell these properties when they have not submitted their financial statements for the past years.
