The Bank of Russia has revoked as of February 3, 2016 a banking license held by International Joint Stock Bank (Registration No. 1987), the regulator's press service reported.
The Bank of Russia explained its decision to apply the measure of last resort as the lending institution failed to comply with the federal laws regulating banking activities and also CBR's statutory acts, because all its capital adequacy ratios fell below 2% and its equity declined below the minimum threshold set by CBR on the date of the lending institution's state registration and taking into consideration the multiple application of the measures specified in the Federal Law "On the Central Bank of the Russian Federation (Bank of Russia)" within a year.
"Due to the lending institution's poor asset quality there was no possibility to rehabilitate the lender with the participation of the Deposit Insurance Agency (DIA) on reasonable economic conditions. Under the circumstances, based on Article 20 of the Federal Law "On Banks and Banking Activity" the Bank of Russia fulfilled its obligation to revoke the lending institution's banking license," the Bank of Russia pointed out.
International Joint Stock Bank is a member of the national deposit insurance system.
