On results of inspection of financial standing of Ivy Bank (JSC) held by provisional administration

The provisional administration of Ivy Bank (JSC) appointed by Bank of Russia Order No. OD-1395, dated 29 May 2017, following the revocation of the banking licence, held the inspection of the bank’s financial standing that revealed low quality of the bank’s loan portfolio which resulted from the bank’s lending to companies with poor financial position, including lending to companies controlled by the bank’s owners, some of which are registered and located abroad where it is not required to disclose and provide information when conducting financial operations.

According to the estimate by the provisional administration, the assets of Ivy Bank (JSC) do not exceed 0.8 billion rubles, whereas the bank’s liabilities to its creditors amount to 1.3 billion rubles.

On 23 August 2017, the Arbitration Court of the City of Moscow recognised Ivy Bank (JSC) as insolvent (bankrupt). The State Corporation Deposit Insurance Agency was appointed as a receiver.

The Bank of Russia submitted the information on financial transactions bearing the evidence of the criminal offence conducted by the former management and owners of Ivy Bank (JSC) to the Prosecutor General’s Office of the Russian Federation, the Ministry of Internal Affairs of the Russian Federation and the Investigative Committee of the Russian Federation for consideration and procedural decision making.

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