Central Bank of the Russian Federation

06/04/2021 | Press release | Distributed by Public on 06/04/2021 18:15

Banking licence of RFI BANK JSC revoked

By its Order No. OD-1039, dated 4 June 2021, the Bank of Russia revoked the banking licence of the Moscow-based Joint stock company Bank Reserve Finance and Investments, or RFI BANK JSC (Reg. No. 3351; hereinafter, RFI BANK). The credit institution ranked 328th by assets in the Russian banking system.1

The Bank of Russia made this decision in accordance with Clause 6 of Part 1 of Article 20 of the Federal Law 'On Banks and Banking Activities',2 based on the facts that RFI BANK violated federal banking laws and Bank of Russia regulations, due to which the regulator repeatedly applied measures against it over the past 12 months, which included restrictions on certain banking operations.

RFI BANK was involved in conducting non-transparent transactions for payments between individuals and illegal online casinos and bookmakers.

The Bank of Russia also cancelled RFI BANK's professional securities market participant licence.

The Bank of Russia appointed a provisional administration3 to RFI BANK for the period until the appointment of a receiver4 or a liquidator.5 In accordance with federal laws, the powers of the credit institution's executive bodies were suspended.

Information for depositors: RFI BANK is a participant in the deposit insurance system; therefore, depositors will be compensated for their deposits6 in the amount of 100% of the balance of funds but no more than a total of 1.4 million rubles per depositor (including interest accrued), except for the cases stipulated by Chapter 2.1 of the Federal Law 'On the Insurance of Deposits with Russian Banks'.

Deposits are to be repaid by the State Corporation Deposit Insurance Agency (hereinafter, the Agency). Depositors may obtain detailed information regarding the repayment procedure 24/7 at the Agency's hotline (8 800 200-08-05) and on its website (https://www.asv.org.ru/) in the Deposit Insurance / Insurance Events section.

1 According to the financial statements as of 1 May 2021.

2 The Bank of Russia made this decision due to the credit institution's failure to comply with federal banking laws and Bank of Russia regulations, and given the repeated application within a year of the measures envisaged by the Federal Law 'On the Central Bank of the Russian Federation (Bank of Russia)'.

3 In accordance with Bank of Russia Order No. OD-1040, dated 4 June 2021.

4 In accordance with Articles 127 and 189.68 of the Federal Law 'On Insolvency (Bankruptcy)'.

5 In accordance with Article 23.1 of the Federal Law 'On Banks and Banking Activities'.

6 Depositor means a citizen of the Russian Federation, foreign citizen or person without citizenship, including those engaged in entrepreneurial activity, or a legal entity specified in Article 5.1 of the Federal Law 'On the Insurance of Deposits with Russian Banks' which concluded a bank deposit/account agreement with a bank, or any of the above mentioned persons in whose favour the deposit was made and (or) who is the holder of a savings certificate, or the owner of a special account (special deposit) intended to form and use the fund of capital repairs of common property in an apartment house opened in accordance with the requirements of the Housing Code of the Russian Federation.

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