By its May 21 order the Bank of Russia revoked banking licenses from Creditsoyuzcombank and Krasbank, the PR department of CBR reported. The licenses were revoked as the lending institutions failed to follow the federal laws that regulate banking activities and CBR statutory acts; violated on numerous occasions during the year the requirements provided for by Article 7 of the Federal Law «On Counteracting Legalization (Laundering) of Income Derived Using Criminal Means and Financing of Terrorism» and also given the implementation during the year of the measures specified by the Federal Law «On the Central Bank of the Russian Federation (Bank of Russia)».
Specifically, Creditsoyuzcombank failed to meet the deadline to forward to Rosfinmonitoring data about operations that are subject to mandatory control and failed to meet the requirements of the directives made by the Bank of Russia. The lending institution’s internal control department failed to properly perform official duties.
Krasbank did not meet the deadline to forward to Rosfinmonitoring data about operations that are subject to mandatory control and also failed to conduct proper client identification. Furthermore, the lending institution failed to make timely calculations on client accounts and provided unreliable information to the Bank of Russia.
In accordance with the CBR order, provisional administration teams were appointed for both lending institutions for a term until a bankruptcy manager or a receiver is appointed according to the Federal Law «On Insolvency (Bankruptcy) of Lending Institutions».
