24.10.2015, 00:48
Bank of Russia Revoked Licence from Greenfieldbank
OREANDA-NEWS. By its Order No. OD-2891, dated 23 October 2015, the Bank of Russia revoked the banking licence of the credit institution Joint-stock commercial bank Greenfield (Joint-stock company) or JSC Greenfieldbank (registration number 2711, the city of Moscow) from 23 October 2015.
The Bank of Russia took such an extreme measure - revocation of the banking licence - due to the credit institution's failure to comply with federal banking laws and Bank of Russia regulations, all capital adequacy ratios being below 2 percent, capital decrease below the authorised capital minimal volume established by the Bank of Russia as of the date of the state registration of the credit institution and the repeated application within a year of measures envisaged by the Federal Law 'On the Central Bank of the Russian Federation (Bank of Russia)'.
JSC Greenfieldbank implemented high-risk lending policy connected with the placement of funds into low-quality assets. As a result of meeting the supervisor's requirements on creating provisions adequate to the risks assumed, the credit institution lost its capital. At the same time the credit institution did not comply with supervisor's restrictions and bans on carrying individual banking operations. Besides, the credit institution was involved in dubious transit transactions in significant amounts carried out by its customers.
Both management and owners of the credit institution did not take any effective measures to bring its activities back to normal. Under these circumstances, the Bank of Russia performed its duty on the revocation of the banking licence of the credit institution in accordance with Article 20 of the Federal Law 'On Banks and Banking Activities'.
By its Order No. OD-2892, dated 23 October 2015, the Bank of Russia has appointed a provisional administration to JSC Greenfieldbank for the period until the appointment of a receiver pursuant to the Federal Law 'On the Insolvency (Bankruptcy)' or a liquidator under Article 23.1 of the Federal Law 'On Banks and Banking Activities'. In accordance with federal laws, the powers of the credit institution's executive bodies are suspended.
JSC Greenfield is a member of the deposit insurance system. The revocation of the banking licence is an insured event as stipulated by Federal Law No. 177-FZ'On the Insurance of Household Deposits with Russian Banks' in respect of the bank's retail deposit obligations, as defined by legislation. The said Federal Law prescribes insurance indemnity to be paid to bank's depositors including individual businessmen in the amount of 100 percent of the remaining balance but not more that 1.4 million rubles overall per depositor.
As of 1 October 2015, JSC Greenfieldbank was ranked 333rd by assets in the Russian banking system
The Bank of Russia took such an extreme measure - revocation of the banking licence - due to the credit institution's failure to comply with federal banking laws and Bank of Russia regulations, all capital adequacy ratios being below 2 percent, capital decrease below the authorised capital minimal volume established by the Bank of Russia as of the date of the state registration of the credit institution and the repeated application within a year of measures envisaged by the Federal Law 'On the Central Bank of the Russian Federation (Bank of Russia)'.
JSC Greenfieldbank implemented high-risk lending policy connected with the placement of funds into low-quality assets. As a result of meeting the supervisor's requirements on creating provisions adequate to the risks assumed, the credit institution lost its capital. At the same time the credit institution did not comply with supervisor's restrictions and bans on carrying individual banking operations. Besides, the credit institution was involved in dubious transit transactions in significant amounts carried out by its customers.
Both management and owners of the credit institution did not take any effective measures to bring its activities back to normal. Under these circumstances, the Bank of Russia performed its duty on the revocation of the banking licence of the credit institution in accordance with Article 20 of the Federal Law 'On Banks and Banking Activities'.
By its Order No. OD-2892, dated 23 October 2015, the Bank of Russia has appointed a provisional administration to JSC Greenfieldbank for the period until the appointment of a receiver pursuant to the Federal Law 'On the Insolvency (Bankruptcy)' or a liquidator under Article 23.1 of the Federal Law 'On Banks and Banking Activities'. In accordance with federal laws, the powers of the credit institution's executive bodies are suspended.
JSC Greenfield is a member of the deposit insurance system. The revocation of the banking licence is an insured event as stipulated by Federal Law No. 177-FZ'On the Insurance of Household Deposits with Russian Banks' in respect of the bank's retail deposit obligations, as defined by legislation. The said Federal Law prescribes insurance indemnity to be paid to bank's depositors including individual businessmen in the amount of 100 percent of the remaining balance but not more that 1.4 million rubles overall per depositor.
As of 1 October 2015, JSC Greenfieldbank was ranked 333rd by assets in the Russian banking system
Комментарии