The Central Bank of Russia has revoked as of September 26, 2016 a banking license held by Centercombank (Moscow, Registration No. 2983), the regulator's press service reported.
The Bank of Russia explains its last-resort action by the bank's inability to fulfill federal banking laws and also its statutory acts, multiple violation during the year of the requirements of the Federal Law "On Counteracting Legalization (Laundering) of Criminal Income and the Financing of Terrorist Acts" and also requirements of the Bank of Russia's statutory acts that were issued in accordance with the Federal Law "On the Central Bank of the Russian Federation (Bank of Russia)" and taking into account a real threat to the interests of the bank's creditors and deposit holders.
"Centercombank pursued a high-risk credit policy by investing funds in weak quality assets. Upon formation of possible loan losses, at the request of the supervisory body, that are adequate to the accepted risks the lending institution saw grounds to prevent insolvency (bankruptcy). Centercombank failed to comply with the requirements of laws and the Bank of Russia's statutory acts as to counteract legalization (laundering) of criminal income and the financing of terrorist acts by providing the authorized body with quality information on operations that are subject to mandatory control," the Bank of Russia pointed out.
Moreover, the financial institution participated in suspicious transit operations.
Centercombank is a member of the national deposit insurance system.
The media previously reported that in August 2016 Centercombank failed to meet N1 and N12 ratios within four days.
