Urban Bank ( PSE: UBI), also known by its initials (and

ticker symbol A ticker symbol or stock symbol is an abbreviation used to uniquely identify publicly traded Share (finance), shares of a particular stock or Security (finance), security on a particular stock exchange. Ticker symbols are arrangements of symbols ...

) UBI, was a middle-sized

bank A bank is a financial institution that accepts Deposit account, deposits from the public and creates a demand deposit while simultaneously making loans. Lending activities can be directly performed by the bank or indirectly through capital m ...

in the

Philippines The Philippines, officially the Republic of the Philippines, is an Archipelagic state, archipelagic country in Southeast Asia. Located in the western Pacific Ocean, it consists of List of islands of the Philippines, 7,641 islands, with a tot ...

. The bank, along with its two subsidiaries, declared a voluntary bank holiday for failing to meet withdrawals and was consequently closed by the Bangko Sentral ng Pilipinas and put under the mandatory receivership of the Philippine Deposit Insurance Corporation on April 26, 2000. It merged with Export and Industry Bank in 2001.

History

Urban Bank was incorporated on July 8, 1980, as a private

development bank Development finance institution (DFI), also known as a Development bank, is a financial institution that provides risk capital for economic development projects on a non-commercial basis. DFIs are often established and owned by governments or ...

. Later that year, the bank opened as a one-branch thrift bank in what is today

Pasig Pasig, officially the City of Pasig (), is a highly-urbanized city in the National Capital Region of the Philippines. According to the 2020 census, it has a population of 803,159 people. It is located along the eastern border of Metro Mani ...

. In 1987 it became the first non-commercial bank to list on the Manila Stock Exchange and the Makati Stock Exchange (now the

Philippine Stock Exchange The Philippine Stock Exchange, Inc. (; ) is the national stock exchange of the Philippines. The exchange was created in 1992 from the merger of the Manila Stock Exchange and the Makati Stock Exchange. Including previous forms, the exchange has ...

) under the ticker symbol UBI. After its closure and subsequent merger with Export and Industry Bank, Urban Bank shares were re-listed on the PSE under Exportbank's ticker symbol
EIB
In 1995 it became the first Philippine bank to issue SEC-registered asset-backed-securities. In early 2000 it nearly concluded a merger with a smaller rival, Panasia Bank, only to fail after the BSP set new requirements on bank mergers. On April 25, 2000, the bank declared a bank holiday to put a stop to panic withdrawals. Less than twenty-four hours after the declaration of a voluntary bank holiday, and as a legal consequence of this, the BSP's Monetary Board ordered the summary closure of the bank. After failed merger negotiations with the Bank of Commerce, in August 2001 Urban Bank shareholders approved a merger of Urban Bank and Urbancorp Investments with Export and Industry Bank that left Exportbank as the surviving entity.

The charges

Investigation Slip No. 1217

Investigation Slip No. 1436

Investigation Slip No. 1512

The judge, Zeus Abrogar, dismissed the charges against two of the defendants, Arsenio Bartolome III and Corazon Bejasa, who had been chairman and company secretary respectively, but found

probable cause In United States criminal law, probable cause is the legal standard by which police authorities have reason to obtain a warrant for the arrest of a suspected criminal and for a court's issuing of a search warrant. One definition of the standar ...

against the remaining respondents.

Supreme Court final ruling

On April 18, 2008, the

Supreme Court of the Philippines The Supreme Court (; colloquially referred to as the ' (also used in formal writing), is the highest court in the Philippines. It was established by the Taft Commission on June 11, 1901, through the enactment of Act No. 136, which abolished th ...

2nd Division the reinstatement of a PHP 4.5 billion (US$109 million) estafa case against executives of the bank including Nida S. Santos, Milagros Santiago, Rowena Punzalan, Chulla Formanes, Loida O. Payonga and Amalia Ordas.Gmanews.tv
"Supreme Court upholds litigation for P4.5-B bank estafa case"

External links

Urban Bank

References

{{Reflist Companies based in Makati Defunct banks of the Philippines Bank failures Banks established in 1980 1980 establishments in the Philippines Banks disestablished in 2001 2001 disestablishments in the Philippines