Practice question
An investor invokes RA6426 solely because an investment-company account references foreign currency. The institution is not a BSP-authorized foreign currency deposit bank, and the facts otherwise match the CFSI coverage issue in Ligot. Which answer is best?
- The currency label alone does not establish RA6426 coverage; the institutional predicate is missing
- Every foreign-currency reference conclusively creates an FCDU deposit
- The investment company can authorize itself as an FCDU by contract
- RA6426 applies to every monetary asset worldwide
- No inquiry into institutional status is legally relevant
Legal references
- Heirs of Ligot v. Republic, GR257827 et al, March5 2025, Dimaampao MAIN: https://lawphil.net/judjuris/juri2025/mar2025/gr_257827_2025.html MAIN CFSI ruling.
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