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Russia’s Central Bank revokes license from Moscow National Bank of Business Development

MOSCOW, April 24. /ITAR-TASS/. The Central Bank of Russia (СBR) has revoked a licence for banking transactions from Moscow National Bank of Business Development which is a member of the deposit insurance system as state banking authorities have been conducted a campaign to crack down banks involved in suspicious operations for the last several months, the Russian main financial and banking regulator stated on Thursday.

The CBR decision was taken over non-fulfilment of federal laws regulating banking activity and CBR regulatory acts by the lending organization.

The CBR stated that the Moscow National Bank of Business Development had pursued a highly risky crediting policy related with placement of monetary funds in low-quality assets. Meanwhile, the bank did not fulfil timely its liabilities to creditors and depositors. The bank top management and owners did not take any measures for financial sanation of the bank.

The CBR seek to tighten supervision of the country’s lenders and curb shadow banking activity shutting down several dozens of banks.

The Moscow National Bank of Business Development has been ranked 223rd in the Russian banking system as of April 1, 2014 in terms of size of assets.

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Central Bank of Russia Economy

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