House Committee on Banks and Financial Intermediaries chair Rep. Henry C. Ong urged the Securities and Exchange Commission, Bangko Sentral ng Pilipinas, and Department of Labor to jointly intervene in the bankruptcy situation of Hanjin Heavy Industries and Construction Philippines.
Ong noted reports that 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, he 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,” Ong said.
He added that “this bankruptcy case must be handled methodically and delicately. The banking and shipping sectors must be protected from any aftershocks.”
“If it makes business sense to continue or resume the operations of Hanjin, then the best course of action must be agreed upon by interested parties. 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,” Ong said.
The responsible government agencies and the banks must be given time to sort everything out, but Congress will be following this case very closely, the Leyte congressman said.