The Czech national Bank (CNB) on Monday, October 24, announced the withdrawal of the licence of the European-Russian Bank (ERB). The reason for the revocation of licenses were serious shortcomings in the management of credit risk and liquidity risk, threatening the stability of the Bank should be the message of the Czech Central Bank.
In the message of the CNB noted that ERB did not have appropriately functioning system of counteraction to legalization of proceeds of crime by means, financing of terrorism and adhering to international sanctions.
“The decision to revoke the license came into force on 24 October 2016. From this day, who / Europe can carry out only those actions necessary to repay its obligations and requirements”, — stated in the message of the Czech national Bank.
In March, the CNB has restricted the activities of who / Europe, forbidding him to provide loans and to purchase other assets, except those that have zero risk, and certain assets “necessary for normal functioning Bank”.
In early October, who / Europe has ceased to make payments to customers that the Bank itself explained a temporary solution to the state authorities and assured that he has enough liquid funds to meet customers ‘ requirements.
On 20 October, the Czech System of guarantees of the financial market started to pay compensation to depositors who / Europe. For a full refund of your funds can count those whose contribution did not exceed €100 thousand, or 2,702 million CZK. Within compensation about 5.5 thousand depositors will be paid 3.53 billion kronor.
“Among the clients who / Europe in comparison with the earlier cases paid a relatively high share of foreign physical or legal persons, 22% of clients. Most foreign clients have Russian citizenship”, — said the Executive Director of the safeguards System of the financial market Renata Kadlecova.
/ Europe — the first Bank with private Russian capital, received a new banking license in the European Union, which allows a wide range of banking operations, as well as in the notification procedure to open branches in any EU country, to information on the Bank’s website. In the annual report for the year 2015 indicate that the largest shareholder of the ERB is Chairman of the Bank, Roman Popov, who at that time belonged to 92.71% of the share capital of the Bank. More of 7.29% of the shares were owned by OOO “pcrb Bank”, the sole owner and Chairman of the Board of which were priests.
1 July 2016 the First Czech-Russian Bank at that time held the 126-th place in the Russian banking system by total assets, was disbarred. September 15, the Moscow Arbitration court recognized pcrb bankrupt.