CBR has cancelled banking licenses from commercial bank Intergo and Kurganprombank. Temporary administrations were appointed at the banks until a bankruptcy manager or liquidator is determined. The authority of the lenders’ executive bodies was suspended in accordance with the federal laws, the PR Department of the Bank of Russia reported.
Integro’s license was cancelled as its equity decreased “below the minimal threshold set by the Bank of Russia as of the lending institution’s state registration and also because its capital adequacy ratio dropped below 2%”. “As Integro pursued a risky credit policy in November 2008, it fully lost its equity capital” — the central bank’s department said.
Kurganprombank’s license was annulled “owing to the lending institution’s failure to comply with federal laws that regulate banking activities and the Bank of Russia’s statutory acts, the inability to meet monetary claims of creditors and fulfill the duty of making mandatory payments, and also taking into account the application on numerous occasions within a year of the measures envisaged by the Federal Law “On the Central Bank of the Russian Federation (Bank of Russia)”. “Due to the loss of liquidity Kurganprombank was unable to make timely settlements on client accounts. The bank’s executives and shareholders were unable to restore its financial standing or eliminate reasons obliging the Bank of Russia to cancel the lender’s banking license” — the statement said. The audit of the bank’s financial standing showed “investors had no economic opportunities or interests for the state to prevent the lending institution’s bankruptcy”.
Integro and Kurganprombank are members of the national deposit insurance system.
