Date: 2 months ago   Category: Finance

The Central Bank has revoked the license from the Central European bank — Rambler News Service


Photo: Ilya of Pitalev/RIA Novosti the Central Bank of Russia has revoked the license for banking operations from Central European Bank the order of August 24, the press service of the regulator has reported. "Due to the non-execution by credit institution … the federal laws regulating bank activity and also regulations of the Bank of Russia, considering numerous application within one year of the measures provided by the federal law … in view of existence of real threat to the interests of creditors and investors …, I order to revoke since August 24, 2018 the license for banking operations from credit institution of CB Central European Bank" — it is said in the statement of the Central Bank. According to the regulator, the bank has given guarantees for the sum of 6,5 billion rubles that in nine times more his own means. Finally actions of the management have led to growth of the losses connected with execution of guarantee certificates. Because of risky credit policy of the organization on her balance the essential volume of low-quality assets was formed. As a result assessment of activity of bank has revealed that in the near future it is threatened by bankruptcy. The Bank of Russia four times within a year applied to the organization of a measure of supervising influence, however the management of bank didn't normalize his activity. In this regard the regulator has decided to revoke the license and to appoint temporary administration in bank. Central European Bank took the 322nd place in a banking system of Russia and was a participant of a deposit insurance system.

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