4.

The Treasurer of the Philippines then NOTIFIES the SOLICITOR-GENERAL

SECURITIES REGULATION 5. Acting on such notification, the Solicitor-General commences ESCHEAT
proceedings before the Regional Trial Court where the bank is located

CODE
A. DESIGNATION OF THE LAW AND DATE OF EFFECTIVITY
Numerically designated as Republic Act No. 3936, this law, referred to as
UNCLAIMED BALANCES LAW, took into effect on January 11, 1933. It underwent
amendment on April 2, 1975, thru Presidential Decree no. 679, issued by the late
President Ferdinand E. Marcos

B. PURPOSE OF THE LAW

To rid from banks such unwanted inactive bank deposits by converting them into
government money through ESCHEAT proceedings.

C. UNCLAIMED BALANCES, definition

Unclaimed balances includes credits, or deposits of money, bullion, security, or
other evidence of indebtedness of any kind and interest and interest thereon with
banks, building and loan associations, and trust companies, in favor of any person
known to be dead or who has not made further deposits or withdrawals during the
preceding ten years or more.

D. BASIC REQUIREMENTS FOR THE LAW TO APPLY

1. Existence of credit or deposit consisting of –
a. Money,
b. Bullion,
c. Security, or
d. Other evidence of indebtedness
2. Such credit or deposit is with –
a. Bank,
b. Building and loan association, or
c. Trust corporation
3. And the credit or deposit is in favor of an individual who is –
a. Known to be DEAD, or
b. Who has not made further deposit or withdrawals during the
PRECEDING TEN YEARS OR MORE

E. PROCEDURE TO BE OBSERVED IN CASE OF UNCLAIMED BALANCES

1. Bank notifies the person in whose name the unclaimed balance is deposited;
2. A SWORN STATEMENT is filed by the bank with the TREASURER OF THE
PHILIPPINES stating such unclaimed balances.
3. A copy of said sworn statement is POSTED in the bank premises