OREANDA-NEWS. October 07, 2009. BTA Bank's subsidiary BTA Ipoteka (Almaty), bonds of which are listed on Kazakhstan Stock Exchange (KASE), provided KASE with a press release, reported the press-centre of KASE:

On October 2, 2009 the Agency of the Republic of Kazakhstan on Regulation and Supervision of Financial Market and Financial Organizations (AFS) on suspended license of Mortgage company BTA Ipoteka (the Company), after the Company had failed to comply with prudential norms regarding sufficiency of own capital.
 
In this regard we announce that license suspension is a three-month measure for and the Company will take steps to improve the situation.

The measure will allow for stabilizing Company operation, revising a number of operational issues and implementing certain projects related to future operation of the Company after the shareholder acquired a major stake in the bank and economical situation changed slowing growth of credits granted.

The spension of the license restricts the Company in terms of issue of loans, therewith, due to low current crediting volumes will barely affect current operation in terms of servicing clients.

The Company will do its best to comply with its obligations in the future.

BTA Ipoteka is operating normally servicing borrowers and receiving payments for loans according to credit agreements. Accordingly, in case clients fail to redeem mortgage loans timely, the Company will act according to the Kazakhstan legislation and credit and mortgage agreements.

Shareholders and managers of the company intend to retain leading positions among mortgage operators and further develop the Company.

Mortgage company BTA Ipoteka was established in 2000 and is the first private Kazakhstan-based mortgage company and today the company is a top mortgage operator. The Company services over 35,000 private clients. BTA Ipoteka network comprises 14 offices in all parts of the country.