Practice question
During conservatorship the Monetary Board determines that continued business would probably cause loss to depositors or creditors. Management insists conservatorship must run the entire year before section 30 can apply. Which is correct?
- The year is an obligatory waiting period
- Section 29 directs termination and application of section 30 on that finding; conservatorship is not a required precondition to receivership
- Receivership can never follow conservatorship
- Only shareholders may end intervention
- A conservator can veto the Monetary Board permanently
Legal references
- https://lawphil.net/statutes/repacts/ra1993/ra_7653_1993.html — RA 7653, section 29
- https://lawphil.net/statutes/repacts/ra2019/ra_11211_2019.html — RA 11211, section 13 amending section 30
- https://lawphil.net/judjuris/juri1996/jan1996/gr_115849_1996.html — First Philippine International Bank v. Court of Appeals, G.R. No. 115849, January 24, 1996, main opinion
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