The Central Bank withdrew the license from the metropolitan "Promoregionbank"

The Bank of Russia withdrew the license to carry out banking operations with LLC "Industrial Regional Bank" (Promo Riverbank). The license was revoked from May 30. A temporary administration has been appointed to the bank.

This decision, according to the Central Bank , was made in connection with the non -fulfillment by a credit institution of federal laws governing banking activities, as well as regulatory acts of the Bank of Russia, the value of the standards for the adequacy of own funds (capital) below two percent, a decrease in the amount of own funds (capital) below the minimum value of the authorized capital established for the date of state registration of the credit institution.

The facts of the low quality of the Promorebank loan portfolio were repeatedly revealed, as a result of which requirements for minimizing the risks accepted were sent to the credit institution, the regulator notes.

As a result of the formation of reserves for possible losses to assets of unsatisfactory quality acquired by the bank in May of this year, Promo Riverbank completely lost its own funds (capital). The leaders and owners of the credit institution did not take effective measures to normalize its activities.

"Promoregionbank" - participant in the deposit insurance system. The review of the license is an insured event stipulated by the Law on Insurance of Deposits of Individuals in Banks of the Russian Federation. The law provides for the payment of insurance compensation for bank depositors, including individual entrepreneurs, in the amount of 100% of the balance, but not more than 1.4 million rubles in the aggregate per depositor.

Payments to the Promorebank depositors, according to ASV, will begin no later than June 10. Banks-agents for payments will be selected on a competitive basis no later than June 3.

According to the banking reporting of the Central Bank, according to the amount of the Promoregionbank assets, on May 1, 2016, he ranked 340th in the banking system of the Russian Federation.