Allbank Forced Liquidation

The Superintendency of Banks of Panama, through Resolution SBP-0205-2019 of November 8, 2019, ordered the Forced Liquidation of Allbank, Corp.

The order based on Articles 154 and subsequent of Chapter XVIII, Title III of the Banking Law.

This measure was adopted after two months of evaluation performed by the Interim Administrator, as well as the Superintendency of Banks; where they concluded that: due to the financial, operational and corporate governance situation of Allbank, Corp., neither a reorganization or sale of the bank will be viable.

The official press release state that “Allbank, Corp. did not present an effective short-term solution, or adequate financial proposals” also from the communication “repeated evasion, deadlines, and unfeasible conditions demonstrated the risk of the Bank’s operation and its unsustainability due to its exhausted business model.”

Mr. Rafael Moscarella Valladares was appointed as the Official Liquidator to perform the Forced Liquidation process per the Panamanian Banking Law.

On the Allbank website, Mr. Rafael Moscarella (the liquidator) publish the following statement.

In summary, the statement communicates the following.

For account holders with 10,000 USD or less, all funds will be paid.

For account holders with funds over 10,000 USD, they must send the documentation that accredits them as clients to be included in the settlement report.

The liquidator will prepare a preliminary report within not less than 20 days or more than 60 days starting from November 18, 2019.

Once the report has been prepared and submitted to the Superintendence, a list of debtors and creditors will be published in a Panamanian newspaper for 3 days, creditors will have a period of 30 days to request clarification or file objections to the report.