Rules of Procedure on Corporate Rehabilitation

Section 1

If any provision or section of these Rules is held invalid, the other provisions or sections shall not be affected thereby.

Section 2

Unless the court orders otherwise to prevent manifest injustice, any pending petition for rehabilitation that has not undergone the initial hearing prescribed under the Interim Rules of Procedure for Corporate Rehabilitation at the time of the effectivity of these Rules shall be governed by these rules.

Section 3

These Rules shall take effect on 16 January 2009 following its publication in two (2) newspapers of general circulation in the Philippines. (1) Are you an officer of the debtor referred to in these proceedings? (2) What is your full name and what position do you hold in the debtor? (3) What is the full name of the debtor and what is the address of its head office? (4) When was it formed or incorporated? (5) When did the debtor commence business? (6) What is the nature of its business? What is the market share of the debtor in the industry in which it is engaged? (7) Who are the parties, members, or stockholders? How many employees? (8) What is the capital of the debtor? (9) What is the capital contribution and what is the amount of the capital, paid and unpaid, of each of the partners or shareholders? (10) Do any of these people hold the shares in trust for others? (11) Who are the directors and officers of the debtors? (12) Has the debtor any subsidiary corporation? If so, give particulars? (13) Has the debtor properly maintained its books and are they updated? (14) Were the books audited annually? (15) If so, what is the name of the auditor and when was the last audited statement drawn up? (16) Have all proper returns been made to the various government agencies requiring same? (17) When did the debtor first become aware of its problems? (18) Has the debtor within the twelve months preceding the filing of the petition: (a) made any payments, returned any goods or delivered any property to any of its creditors, except in the normal course of business? (b) executed any mortgage, pledge, or security over any of its properties in favor of any creditor? (c) transferred or disposed of any of its properties in payment of any debt? (d) sold, disposed of, or removed any of its property except in the ordinary course of business? (e) sold any merchandise at less than fair market value or purchased merchandise or services at more than fair market value? (f) made or been a party to any settlement of property in favor of any person? If, so, give particulars. (19) Has the debtor recorded all sales or dispositions of assets? (20) What were the sales for the last three years and what percentage of the sales represented the profit or markup? (21) What were the profits or losses for the debtor for the last three years? (22) What are the causes of the problems of the debtor? Please provide particulars? (23) When did you first notice these problems and what actions did the debtor take to rectify them? (24) How much do you estimate is needed to rehabilitate the debtor? (25) Has any person expressed interest in investing new money into the debtor? (26) Are there any pending and threatened legal actions against the debtor? If so, please provide particulars. (27) Has the debtor discussed any restructuring or repayment plan with any of the creditors? Please provide status and details. (28) Has any creditor expressed interest in restructuring the debts of the debtor? If so, please give particulars. (29) Have employees' wages and salaries been kept current? If not, how much are in arrears and what time period do the arrears represent? (30) Have obligation to the government and its agencies been kept current? If not, how much are in arrears and what time period do the arrears represent?