Section 4Sec./Art. 4

Section 6, subsections (a) and (h), of the same Act is hereby amended to read as follows:

"(a) The assessment rate shall be determined by the Board of Directors:Provided,That the assessment rate shall not exceed one fifth (1/5) of oneper centum(1%)per annum. The semi-annual assessment for each insured bank shall be in the amount of the product of one half (1/2) the assessment rate multiplied by the assessment base but it no case shall it be less than the amount of Two hundred fifty pesos (P250.00). The assessment base shall be the amount of the liability of the bank for deposits according to the definition of the term 'deposit' in and pursuant to subsection (f) of Section 3 without any deduction for indebtedness of depositors.

"The semi-annual assessment base for one semi-annual period shall be the average of the assessment base of the bank as of the close of business on March thirty-one and June thirty and the semi-annual assessment base for the other semi-annual period shall be the average of the assessment base of the bank as of the close of business on September thirty and December thirty-one:Provided,That when any of said days is a non-business day or legal holiday, either national or provincial, the preceding business day shall be used. The certified statements required to be filed with the Corporation under subsections (b) and (c) of this Section shall be in such form and set forth such supporting information as the Board of Directors shall prescribe.

The assessment payments required from the insured banks under subsections (b) and (c) of this Section shall be made in such manner and at such time or times as the Board of Directors shall prescribe, provided the time or times so prescribed shall not be later than sixty (60) days after filing the certified statement setting forth the amount of assessment."

"(h) Should any insured bank fail or refuse to pay any assessment required to be paid by such bank under any provision of this Act, and should the bank not correct such failure or refusal within thirty (30) days after written notice has been given by the corporation to an officer of the bank citing this subsection, and stating that the bank has failed or refused to pay as required by law the insured status of such bank shall be terminated by the Board of Directors:Provided,That, after the lapse of thirty (30) days from the date when the written notice has been sent by registered mail, whether or not such notice has been actually received by the bank, the Corporation shall terminate the insured status of the bank.

The bank shall give written notice of such termination to each of the depositors at his last address of record on the books of the bank and the Corporation shall publish the notice of such termination, less all subsequent withdrawals from any deposits of such depositor, shall continue to be insured for a period of ninety (90) days. No additions to any such deposits and no new deposits in such bank after the date of such termination shall be insured by the Corporation, and the bank shall not advertise or hold itself out as having insured deposits unless the same connection shall also state with equal prominence that such additions to deposits and new deposits made after such date are not so insured.

In the event that such bank shall be closed on account of insolvency within the period of ninety (90) days, the Corporation shall have the same powers and rights with respect to such bank as in the case of an insured bank."