BSP orders non-banks to report crimes within 10 days

Published December 3, 2020, 6:52 PM

by Lee C. Chipongian

The Bangko Sentral ng Pilipinas (BSP) has instructed non-banks such as pawnshops to report crimes or losses of at least P20,000 or more within 10 days from its initial discovery,

The BSP released a new circular (Circular No. 1104) amending rules on the submission of report on crimes/losses for non-bank financial institutions that includes – besides pawnshops –non-stock savings and loan associations (NSSLAs) and money service businesses (MSBs).

Based on the circular, signed by BSP Governor Benjamin E. Diokno last November 27, pawnshops, NSSLAs and MSBs are to submit electronically within 10 days from knowledge of the crime or losses, the report and notification to the BSP or else face sanctions.

The BSP said these crimes “whether consummated, frustrated or attempted against property/facilities (such as robbery, theft, swindling or estafa, forgery and other deceits) and other crimes involving loss/ destruction of property of the pawnshop when the amount involved in each crime is P20,000 or more” should be reported within 10 days.

This is also true for crimes perpetrated by pawnshop personnel “regardless of amount and whether or not such crimes resulted in the loss/destruction of property of the pawnshop” and should also be reported to the BSP.

Last June, the BSP granted pawnshops a maximum borrowing limit of up to 70 percent from 50 percent as part of a set of temporary relief measures to cope with the impact of the pandemic.

The regulatory reprieve will be implemented until end-2021 to provide pawnshops better access to liquidity during the pandemic.

Pawnshops, along with foreign exchange dealers/money changers and/or remittance agents, are also referred MSBs by the BSP.