The Bank of Russia has withdrawn a banking license held by Olma-Bank (Registration No. 3250, Moscow), the regulator's press service reported.
A decision to apply the last-resort measure was taken as the lending institution failed to fulfill federal banking laws and the Bank of Russia's statutory acts, its own funds decreased for three months in a row below the minimum threshold as specified in in Part 7 of Article 11.2 of Federal Law "On Banks and Banking Activities" taking into account that the bank did not request to have its corporate status changed to a non-lending institution, and also taking into account the multiple application during a year of the measures provided for in the Federal Law "On the Central Bank of the Russian Federation (Bank of Russia)".
"Over the past twelve months Olma-Bank has violated banking laws and the Bank of Russia's statutory acts many times. Meanwhile, the lending institution allowed its equity capital to drop within three consecutive months below the minimum threshold as established in Part 7 of Article 11.2 of the Federal Law "On Banks and Banking Activities". The lending institution's management and owners did not take effective measures to increase own funds to Rub 300 mln, as required in the federal law, nor did they decide to alter the bank's status," the press release runs.
Olma-Bank is a member of the national deposit insurance system.
The media previously reported that the bank was cut off the Banking Electronic Speedy Payment (BESP) system in the evening November 10.
