The Bangko Sentral ng Pilipinas (BSP) revealed yesterday that the assistance committed by Tan and Sy have more than doubled since last month after Tan announced that he has deposited P1 billion into the bank.
BSP Governor Rafael Buenaventura said Tan and Sy’s assistance would help provide the stability to PBCom even as rumors continued to circulate that the bank is still in the midst of a bank run.
"I find it rather unfortunate that rumors are still being spread around about PBCom," Buenaventura said, visibly irritated by the incident. "It doesn’t benefit anyone, it does nothing but harm to the entire banking sector."
According to Buenaventura, Tan and Sy have committed the amount that would help PBCom’s cash position.
Last month, Tan himself announced that he had deposited P1 billion into the beleaguered bank in an effort to show support and stave off a possible bank run that could collapse the country’s 16th largest bank.
In a statement, Tan announced that his bank, Allied Bank, is also willing to encash all PBCom checks as a sign of support for the bank which is partly owned by his ‘balae,’ Enrique Luy.
Tan said Allied Bank is "willing to encash all legitimate checks and other financial transactions of PBCom" as an expression of his "continuing trust and confidence" in the bank.
Banking sources said Tan also deposited P1 billion into PBCom as part of his assistance although monetary officials ruled out the possibility that Tan might buy into the bank.
"Mr. Tan needs PBCom like he needs a hole in the head," said a source from the Monetary Board who spoke on condition of anonymity. "He already has the Philippine National Bank to think about."
According to the source, Tan is helping PBCom purely on a personal interest since the Luys are his in-laws. "In this respect, he really is just helping," said the source, adding that the BSP was in no way involved in Tan’s plan.
According to another government official, PBCom was never in trouble except for the in-fighting at the board of directors that led to leaks in various newspapers (not The STAR) reporting that the bank was being urged to seek assistance from the BSP.
The official revealed that although PBCom’s non-performing loans were high, it was not one of the banks being monitored for "possible risks".
Tan’s support to PBCom was followed by a statement from the Federation of Filipino Chinese Chamber of Commerce and Industry that it is in full support of the bank.