ON HANJIN BANKRUPTCY | SEC, BSP, DOLE must probe the case – House committee chair

2 months ago

January 12, 2018 – The chairman of the House Committee on Banks and Financial Intermediaries is urging several government agencies to step into the bankruptcy situation of Hanjin Heavy Industries and Construction Philippines.

Leyte Rep. Henry Ong said the Securities and Exchange Commission (SEC), Bangko Sentral ng Pilipinas (BSP) and Department of Labor and Employment (DOLE) should jointly intervene in the case to ensure that the interests of all stakeholders are protected.

“According to media reports, some banks did not have collateral protection when they gave loans to Hanjin’s Philippines unit. The pay and benefits of the 23,000 Hanjin workers must be among the priorities during the aftermath,” Ong said.

“I want verification from the BSP and SEC that the banks, their shareholders, and depositors will not be adversely affected because of the Hanjin bankruptcy,” he added.

The case should be handled methodically and delicately, he continued. “The Hanjin workers and the government must not be left out of the decision-making process because this case is imbued with national public interest.”

Although Ong said a congressional probe is not yet necessary, he assured that the House will closely monitor the case.

Hanjin filed for a voluntary rehabilitation after struggling to pay $412 million in loans from five Philippine banks.