The Bangko Sentral ng Pilipinas (BSP) has introduced new penalties and sanctions for participants in the Peso Real-Time Gross Settlement (RTGS) Payment System under Section 621 of the updated rules.
The BSP said the penalties will depend on the severity of violations, ranging from fines to the suspension or termination of a participant’s access to the RTGS system. Repeat offenders will face stricter penalties.
Monetary fines will apply to various violations, including poor liquidity management, delays in settlement, and non-compliance with reporting standards.
For instance, universal and Islamic banks will face fines of up to PHP 75,000 for managing liquidity positions improperly.
Digital and thrift banks will face smaller penalties, while rural banks and non-bank participants will be charged lower amounts.
The rules also address violations like late or erroneous reports and failures to meet business continuity and system enhancement requirements.
Fines for unsubmitted reports could reach PHP 30,000 for universal and Islamic banks, while penalties for habitual settlement delays or breaches of messaging standards have also been outlined.
Participants must justify any violations within 15 calendar days of receiving a notice from the BSP.
The central bank’s decision will become final and executory after this period unless a motion for reconsideration is filed.
Featured image credit: Edited from Freepik
