Central Bank of the Russian Federation

11/23/2021 | Press release | Distributed by Public on 11/23/2021 18:01

Activity of provisional administration to manage credit institution JSC KS BANK terminated

On 23 November 2021, the Bank of Russia terminated the activity of the provisional administration1 appointed to manage the credit institution JSC KS BANK (hereinafter, the Bank).

The provisional administration established that the activities of the Bank's former management and owners had signs of actions aimed at withdrawing liquid assets through receivables assignment agreements and property sale transactions financed from the Bank's loan funds.

The provisional administration filed a relevant application to the law enforcement agencies regarding the facts detected.

According to the assessment of the provisional administration, the value of the Bank's assets is insufficient to fulfil its obligations to creditors.

On 8 November 2021, the Arbitration Court of the Republic of Mordovia recognised the Bank as insolvent (bankrupt) and initiated a bankruptcy proceeding against it. The State Corporation Deposit Insurance Agency was appointed as receiver.

Further information on the results of the provisional administration's activity is available on the Bank of Russia website.

Settlements with the Bank's creditors will be made in the course of the bankruptcy proceeding as the Bank's assets are sold (enforced). The quality of these assets is the responsibility of the Bank's former management and owners.

1 The provisional administration was appointed by Bank of Russia Order No. OD-1650, dated 6 August 2021, following the revocation of the banking licence from the Bank.


The reference to the Press Service is mandatory if you intend to use this material.