181 CONDUCTING BUSINESS IN AN UNSAFE OR UNSOUND BANKING
a. The act or omission has resulted or may result in material loss or damage, or abnormal risk or danger to the safety, stability, liquidity or solvency of the institution;
b. The act or omission has resulted or may result in material loss or damage or abnormal risk to the institution’s depositors, creditors, investors, stockholders, or to the Bangko Sentral, or to the public in general;
c. The act or omission has caused any undue injury, or has given unwarranted benefits, advantage or preference to the bank or any party in the discharge by the director or officer of his duties and responsibilities through manifest partiality, evident bad faith or gross inexcusable negligence; or
d. The act or omission involves entering into any contract or transaction manifestly and grossly disadvantageous to the bank, whether or not the director or officer profited or will profit thereby. The list of activities which may be considered unsafe or unsound is shown in Appendix 49.
(Circular No. 848 dated 08 September 2014)