The Bank of Russia has revoked as of July 17, 2015 a banking license held by Gelendzhik-Bank (Registration No. 790), the regulator's press service reported.
Holding poor quality assets, Gelendzhik-Bank inadequately assessed its risks and failed to comply with regulator-imposed restrictions on specific types of banking operations, the Bank of Russia noted. Moreover, the lending institution got involved in large-scale suspicious transactions. In the conditions of a long corporate conflict the bank's executives and owners took no efficient measures to bring its activities back to normal, the Bank of Russia pointed out.
Gelendzhik-Bank is a member of the national deposit insurance system. is is a perfect product for pension funds that it provides inflation protection. But a bigger portion of the bonds was purchased by ordinary market participants," Soloviev said, adding "this will breathe a second life into the secondary bond market".
