The Central Bank of Russia has recalled licenses of FUNDAMENT BANK (Moscow) and IBRR BANK (Rostov on Don). According to the CBR, FUNDAMENT BANK violated legislatively prescribed dates and procedures for submitting information about operations subject to mandatory control to ROSFINMONITORING. The bank and its branches systematically transacted operations, linked with the issuance of cash to clients on dubious grounds with the aim of converting cashless funds into cash. Over the past year, their overall volume topped R10 billion. MORTGAGE BANK FOR ERGIONAL DEVELOPMENT (IBRR BANK) lost the license for failing to report regularly to ROSFINMONITORING transactions subject to mandatory control. From October-November 2007, over R29b were credited to accounts of eight non-residents, the bank’s clients, registered in the British Virgin Islands and Hong Kong, from residents under dubious deals with commodities that never crossed Russia’s customs border.
Source: BANKIR.RU, November 15, 2007
