Anda di halaman 1dari 2

FRIA DIGESTS

G.R. NO. 166197, February 27, 2007 Meanwhile, the contention of the petitioner in their
objection was that, the approval on the rehabilitation
Metropolitan Bank & Trust Company, petitioner
plan will impair the contract entered into by the ASB
vs group of companies with the petitioner.
ASB Holdings, Inc., respondents
ISSUE:

FACTS: Whether or not the approval of rehabilitation plan


impairs contract entered into and prejudiced creditors.

Metropolitan Bank and Trust company is a creditor bank


of respondents corporation collectively known as the HELD:
ASB Group of Companies. ASB group of companies is
owner and developer of condominium and real estate
projects which contracted loans to the petitioner which The Supreme Court were not convinced that the
were secured by real estate mortgages. approval of the rehabilitation plan impair
petitioner bank's lien over the mortgaged properties.
Section 6 (c) of P.D. no. 902-A provides that "upon
Later, ASB group of companies filed with the Securities appointment of a management committee, rehabilitation
and Exchange Commission a petition for rehabilitation receiver, board or body, pursuant to this Decree, all
with prayer for suspension of actions and proceedings actions for claims against corporations, partnership or
against petitioners. However, despite the objection of associations under management or receivership pending
Metropolitan bank and trust company for the before any curt, tribunal, board or body shall be
rehabilitation plan, SEC granted the same. suspended." By that statutory provision, it is clear that
the approval of the rehabilitation plan and the
FRIA DIGESTS

appointment of a rehabilitation reciever merely suspend "to effect a feasible and viable rehabilitation" of ailing
the action for claims against respondent corporations. corporations which affect the public welfare.
Petitioners banks preferred status over the unsecured
creditors relative to the mortgage liens is retained, but the
enforcement of such preference is suspended. the loan
agreement between the parties have not been set aside
and petitioner bank may still enforce its preference when
the assets of ASB Group of companies will be liquidated.
considering that the provisions of the loan agreements
and merely suspends, there is no impairment of
contracts, specifically its lien on the mortgaged
properties.

The court also emphasized that the purpose of


rehabilitating proceedings is to enable the company to
gain new lease on life thereby allows creditors to be paid
their claims from its earnings. rehabilitation contemplates
a continuance of corporate life and activities in an effort
to restore ad reinstate the financially distressed
corporation to its former position of successful operation
and solvency. this is in consonance with the state's
equitable distribution of wealth to protect investments
and the public. The approval of the rehabilitation plan by
the SEC hearing panel, affirmed by both the SEC en banc
and the court of appeals, is precisely in furtherance if the
rationale behind P.D. No. 902-A, as amended which is

Anda mungkin juga menyukai