LOAN applicants who will submit fraudulent or forged documents to avail of the financial assistance under the Bayanihan Cares program will face disqualification, blacklisting, and prosecution.
The Small Business Corporation (SB Corp.), the financing arm of the Department of Trade and Industry, issued this warning, saying that it will exercise due diligence in the processing of loan applications under the Bayanihan Cares program.
The Bayanihan Cares program is an interest-free and collateral-free financing program of SB Corp., which aims to assist micro, small, and medium enterprises (MSMEs) recover from the adverse effects of the pandemic.
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The borrower will only need to pay a one-time service fee, which is set at a maximum of eight percent for a 4-year loan term. MSMEs operating for one year can avail of the loanable amount ranging from P10,000 to P5 million.
SB Corp. is cooperating with other government agencies, including the Bureau of Internal Revenue (BIR), to verify documents submitted by loan applicants.
According to the statement, “loan applicants are thus warned against submission of spurious, fake, fictitious or forged documents, such as but not limited to income tax returns, BIR-filed documents, business permits, and falsely declared assets in your financial statements during loan application.”
SB Corp. said that any type of pretenses or fraudulent acts during loan application will be considered swindling and will result in the automatic disqualification of application, blacklisting to any of their lending facilities, and prosecution.
“Fraudulent acts will not be tolerated and SB Corp. will not hesitate to file criminal cases against erring borrowers, such as estafa under Article 315 and falsification of public documents under Article 172 of the Revised Penal Code and/or violation of the National Internal Revenue Code,” said SB Corp. (NRC)