Practice question
A bank insider discloses information about a private customer’s nondeposit valuables held in bank custody to an unauthorized outsider. No court order, consent or other lawful exception or authority is shown. The insider says the information cannot be protected because it is not a bank deposit. Which is correct?
- Only deposits can ever be protected under any banking rule
- Every outsider is automatically authorized
- Custody of noncash property eliminates all confidentiality
- Section 55.1(b) expressly addresses funds or properties in bank custody; the stipulated nondeposit status alone is no exemption.
- The insider’s title creates unlimited disclosure authority
Legal references
- General Banking Law, RA 8791, Sections 3, 55, 87-88 and 92-93: https://lawphil.net/statutes/repacts/ra2000/ra_8791_2000.html
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