OREANDA-NEWS. By its Order No. OD-787, dated 13 April 2015, the Bank of Russia revoked the banking licence from the Moscow-based credit institution closed joint-stock company IpoTek Bank, CJSC IpoTek Bank, (registration No. 2794) from 13 April 2015.

The Bank of Russia took such an extreme measure - revocation of the banking licence - because of the CJSC IpoTek Bank's failure to comply with federal banking laws and Bank of Russia regulations as well as application of measures envisaged by the Federal Law 'On the Central Bank of the Russian Federation' (Bank of Russia).

CJSC IpoTek Bank implemented high-risk credit policy and failed to build loan loss provisions adequate to the risks taken. Meanwhile, this credit institution turned out to be a transit unit in a chain of dubious operations performed by its clients with taking substantial funds out of the country being their final goal. Both management and owners of the credit institution failed to take any effective measures to counter the legalisation (laundering) of criminally obtained incomes and the financing of terrorism.

In pursuance of Bank of Russia Order No. OD-788, dated 13 April 2915, a provisional administration has been appointed to the CJSC IpoTek Bank for a term until the appointment of a receiver in accordance with the Federal Law 'On the Insolvency (Bankruptcy)' or a liquidator in accordance with Article 23.1 of the Federal Law 'On Banks and Banking Activities'. In compliance with federal laws the powers of the credit institution's executive bodies have been suspended.

CJSC IpoTek Bank is a participant in the deposit insurance system.

The revocation of the banking licence is recognised as an insured event stipulated by Federal Law No. 177-FZ 'On Insurance of Household Deposits in Russian Banks' with regard to the bank's obligations to household deposits identified in accordance with the procedure established by law.

According to financial statements, as of 1 March 2015 CJSC IpoTek Bank ranked 622nd by assets in the Russian banking system.