Monday, November 18, 2013
CDA REGULATORY RELIEF TO CO-OPS IN 'YOLANDA'-STRICKEN AREAS?
Is the Cooperative Development Authority (CDA) even thinking about granting one?
I mean some regulatory relief to cooperatives whose offices and members suffered from the destruction of 'Yolanda'?
In some areas really badly hit, the survivors almost lost everything, their homes, their livelihood, their loved ones, etc. How can members of these cooperatives ever pay their loans? What of cooperatives whose buildings were destroyed, their records lost in the floods/typhoon surge?
This could be a first for CDA and to cooperatives. But then, again, Yolanda is an historic first, in strength and destruction.
Who is taking stock of the extent of losses by these cooperatives? How much of their loan exposures are in danger of not getting paid? Are the cooperative members who perished covered by insurance? So many questions that need answers.
One thing more, the year is ending. Soon, these cooperatives are required by law and regulations to submit mandatory/compliance reports to the CDA, like Cooperative Annual Performance Report; Performance Audit; Social Audit reports, etc. Delays in submission of these merit monetary penalties from the CDA. What now?
During calamites, and as matter of course, a similar regulatory agency, like the Bangko Sentral ng Pilipinas, grants "regulatory relief" to the banks the BSP supervises. Among such reliefs granted, for example, is the waiver of monetary penalties in the submission by banks to the BSP of supervisory reports.
Exclusion of existing borrowers in affected areas from the computation of past due loan rations, is another.
Among the regions covered by such BSP regulatory relief were Region IV-A; Region IV-B; Region V; Region VI; Region VII; Region X; Region XI; and Region XII.
Cooperatives alone in the two hardest-hit areas of Region VI (Aklan, Antique, Capiz, Guimaras, Iloilo and Negros Occidental) total to1,388, with corresponding combined assets of P11.63-billion.
On the other hand, there are a total of 1,611 cooperatives registered with the CDA in Region VII (Biliran, Eastern Samar, Leyte, Northern Samar, Samar, Southern Leyte) , whose combined assets amount to P20.65-billion, according to CDA data, as of Dec. 31, 2012.
Will CDA, instead grant relief to individual cooperatives who will apply for it, by exemption - by justifying why they deserve such regulatory relief?
Granting these cooperatives some forms of regulatory relief is worth thinking about. How about it, CDA? (END).