[OPINION] Delay in the payment of depositors continues as BSP sets roadblocks to AMA Bank reopening

After the Supreme Court affirmed ‘with finality’ the Court of Appeals judgment declaring unlawful the Bangko Sentral ng Pilipinas’ closure of AMA Bank in November 2019, the BSP recently took steps that would inevitably delay the re-opening of the bank.

BSP filed a second Motion for Reconsideration asking the Supreme Court to reverse its final ruling on the illegality of MB Resolution No. 1705.D, the BSP resolution that ordered the closure of AMA Bank. BSP also opposed the Motion for Execution that AMA Bank filed with the Court of Appeals.

Under the Supreme Court’s internal rules, a second Motion for Reconsideration is a prohibited motion. It is allowed only in certain exceptional circumstances, but before the judgment becomes final. In the case of AMA Bank, the judgment became final on May 28, 2024 as stated in the resolutions and Entry of Judgment issued by the Supreme Court. BSP filed its second Motion for Reconsideration in early August 2024, or more than two months later.

In response to BSP’s actions, AMA Bank filed a motion to expunge BSP’s second Motion for Reconsideration and to declare BSP in contempt of court anew for defying the Supreme Court’s previous declaration that it would no longer entertain any further pleadings or motions. The BSP and its officials were earlier adjudged liable for indirect contempt of court by the Court of Appeals for acting in bad faith and complicating the simple process of complying with the order to immediately re-open AMA Bank.

AMA Bank also replied to BSP’s opposition to the Motion for Execution and sought a directive from the Court of Appeals requiring BSP to re-open the bank within five days and PDIC to promptly return in full the cash assets it seized from AMA Bank in November 2019.

Given the circumstances, it is apparent that the depositors of AMA Bank, who have patiently waited for five years to regain access to their deposit accounts, may have to wait longer and stretch their patience further.

* * *

Editor's Note: This statement was provided by AMA Bank. The views expressed in this piece are those of AMA Bank and do not reflect the opinions of PhilSTAR L!fe, its parent company and affiliates, or its staff.