Proceeds from the sale of closed banks’ properties are added to the pool of liquid assets of these banks for distribution.

The Philippine Deposit Insurance Corp. (PDIC) is selling the assets owned by the shuttered LBC Development Bank.

According to the deposit insurer, a bulk sale through a public bidding on an as is where-is basis, will be conducted on the bank’s 150 residential lots located in Leticia Heights Subdivision, Barangay Baras, Canaman, Camarines Sur.

The public bidding will be held on 24 October 2019 in Makati City. The residential lots have an estimated total area of 23,448 square meters, to which the PDIC eyes to raise an aggregate minimum disposal price of P57.4 million.

“The expeditious conversion and resolution of assets are among the strategic directions outlined in PDIC’s Roadmap. PDIC, as liquidator of closed banks, holds various asset disposal initiatives such as biddings, auctions and negotiated sale,” PDIC said.

“Proceeds from the sale of closed banks’ properties are added to the pool of liquid assets of these banks for distribution to uninsured depositors and other creditors in accordance with the rules on concurrence and preference of credits. The disposal of these assets increases the chances of recovery of uninsured depositors and creditors of their trapped funds,” it added.

The agency urged interested bidders to physically inspect the properties as well as examine and verify the titles and other evidence of ownership of the lots.

Also, the PDIC advised bidders to determine any unpaid taxes, fees, charges and/or expenses for such properties before submitting their offers.