BSP Governor Benjamin Diokno said that of the total amount, P7.2 million was levied on directors, trustees, officers/employees of the erring banks or financial institutions.
“Top violations include non-compliance with BSP issuances on mandatory credit and other BSP regulatory requirements,” he said.
To ensure the stability of the banking industry, the BSP has expanded the monetary penalty system to include all supervised financial institutions and their directors or trustees, officers and employees.
“Reinforcing responsible and ethical behavior, through a more stringent penalty system, is critical in risk awareness, risk-taking activities, and risk management of BSFIs,” Diokno said.
“These guidelines provide more teeth to hold financial institutions and their directors, trustees, officers and employees accountable for their conduct, deter the future commission of violations, and sustain discipline in engaging in safe and sound banking practices,” he pointed out.
Based on the new guidelines, the BSP can impose a maximum penalty of P1 million for each transactional violation and P100,000 per calendar day for a continuing violation.
Regulators may also impose a fine of no more than three times the profit gained or loss avoided due to the violation.