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Central Bank revokes license of Reserve Bank from Chelyabinsk, Urals

A temporary administration was appointed to oversee the bank’s activities

MOSCOW, August 9. /TASS/. The Central Bank of Russia said on Wednesday it had revoked the license of the Bank for Social Development "Reserve," headquartered in the Urals city of Chelyabinsk, starting from August 9.

"This June-July, within the framework of the Bank of Russia’s supervisory activities, the banking institution was found to carry out operations intended to replace high-quality liquidity assets with assets of dubious quality. In addition, the bank’s activities were found to include measures demonstrating attempts to cover the loss of a significant part of its capital. As a result of forming the necessary reserves, the banking organization’s capital decreased significantly, and its activities gave reasons to carry out anti-bankruptcy measures," the Central Bank said in a statement.

A temporary administration was appointed to oversee the bank’s activities, while its management was suspended.

According to the Central Bank, the Reserve bank was ranked 415th in Russia in terms of assets as of July 1.

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