Article 101. Capital Requirements of Cooperative Banks. —
A cooperative bank shall have a minimum paid-up capital in such amount as may be required by the BSP.
The BSP may prescribe rules and regulations on the types of shares a cooperative bank may issue, including the terms thereof and rights appurtenant thereto to determine compliance with laws and regulations governing capital and equity structure of banks: Provided, That cooperative banks shall issue par value shares only.
The Barrio Savings Fund (BSF) and Barrio Guarantee Fund (BGF) collected/deducted by various banks throughout the country from the loan proceeds of farmer-borrowers who were members of cooperatives and Samahang Nayon in compliance with Presidential Decree No. 175 and accompanying letters of instruction, which are still floating and outstanding either as active or dormant deposit accounts in the books of those banks, shall be deposited to the cooperative bank located in the province where the depository banks of the BSF and BGF are located, or if there is no cooperative bank in the province, to the cooperative bank nearest to the province. The BSP, in coordination with the Authority, shall come up with the implementing guidelines on how to credit the owners of the funds. Those funds whose owners could not be located or identified shall be subject to escheat.