Bank bars city gov't employees from loaning
City government employees, at present, could not apply for a loan before the Philippine Veterans Bank. The reason: a former city councilor failed to settle his debt to the bank.
Majority Floor Leader Eduardo Peñaredondo said the Philippine Veterans Bank will not accept any application for loan from any city government employee after former City Councilor Rolando Dabao declined to pay the loan he incurred in the bank.
Peñaredondo said Dabao availed of some P50,000 loan from the bank sometime in 1998.
The interest grew as high as P129,000 after no payment was made since the loan was granted to him.
Dabao's loan at the Philippine Veterans Bank was discussed in last Wednesday's regular session following an item on the memorandum of agreement between the city government and the ILC Finance Center Corporation.
Mayor Jerry Treñas requested the Sangguniang Panlungsod for an authority to sign in the MOA to be entered into by the city government and the ILC Finance Corporation relative to a loan facility of the second party for the city government employees. The council yielded to the mayor's request. The approval of the resolution allows city government employees to apply for a loan before the finance corporation.
The majority floor leader said they have no other explanations on why the bank denied the employees' application for loan except Dabao's non-payment of his loan. Dabao was not available for comment as of press time.