BoS seen to reopen in a month’s time

Acting Gov. Diego T. Benavente yesterday said embattled Bank of Saipan is anticipated to resume regular business operations in a month’s time, brushing aside fears of disgruntled depositors whose assets remain trapped in the bank.

Benavente, in a public statement issued to all media organizations in the CNMI, said appointed receiver Randall Fennell has been working out an arrangement to reopen the bank as soon as possible.

“The bank should be open and fully functioning in a month or less. The CNMI government has full confidence that the bank’s services to customers will be fully restored within a reasonable time,” Benavente emphasized.

He added that the CNMI government will continue to closely monitor the situation as well as extend all assistance needed by the receiver to protect the assets of the bank and to expedite its opening.

He assured the community that the Bank of Saipan is solvent and all assets are accounted for, adding that it has sufficient assets to cover all deposits.

“Bank officials are working under the direction of the receiver to make all necessary funds available to depositors. The receivership of the BoS is proceeding in an orderly manner,” Benavente stressed.

In addition, the acting governor instructed the Department of Commerce to ensure that all bank customers are fully informed of the steps being taken to secure deposits and to reopen the Bank as quickly as possible.

“In order to assist depositors, I have asked the commerce department to ensure that all bank customers are fully informed of the steps being taken. This information will also be made available in Chinese, Bengali, and Korea. Anyone who would like more information should call the commerce department directly,” Benavente said.

The move gained the support of Banking Division Director Fermin Atalig, who stressed that the government is confident that all necessary steps are being taken to protect the assets of the government and all other depositors held by the BoS.

He said the government will continue to closely monitor the situation in order to protect the assets of the CNMI and ensure all depositors are treated fairly.

The Superior Court earlier tasked Fennel to manage the withdrawal of deposits; take possession of assets, liabilities, books, records, papers and files of every description belonging to the bank; collect all loans, fees and claims of the bank; manage the daily operations of the respondent as a fiduciary to the depositors including the CNMI government and its agencies; and take all measures to generate revenue, collect sums owed to respondent, and other means to re-establish respondent’s solvency and ensure its continued operations.

Fennell is a 23-year CNMI resident and was once court-appointed as the receiver for the now defunct Commonwealth Bank of the NMI Inc. for seven years.