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On the heels of Wall Street's Bernard Madoff scandal where US$50 billion in hedge-fund investments seem to have vanished into thin air; over in the Philippines, Celso (Boss Boy) delos Angeles, a former banker with a checkered past and lots of friends in "high places" will end up forcing the Filipino taxpayer to pony up a staggering PhP14 billion for the failure of his 12 rural banks and related financial businesses scattered throughout the country. Most of his banks offered unsophisticated, sometimes greedy investors a "double your money" scheme that equated to a 20 percent yield on their money. There was also an unspoken rule among those investors that each bank account they opened not exceed PhP250,000 in deposits as that is the maximum amount the PDIC (Philippine Deposit Insurance Corporation) would reimburse if the bank failed. Now unlike Bernie Madoff's investors who were left holding the bag, Celso delos Angeles' investors will get reimbursed by the government—it will be the Filipino taxpayers who will be left holding the bag.
Texas Banks , Oregon Banks
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S.E.C. Report Details Lapses i
