Press Service

On revocation of banking licence from credit institution Payment Clearing House and appointment of provisional administration

By its Order No. OD-3207, dated 14.11.2017, the Bank of Russia revoked the banking licence of the Moscow-based credit institution Payment Clearing House Joint-stock company, JSC PCH (Reg. No. 3343-K) from 14.11.2017. According to the financial statements, as of 01.11.2017, the credit institution ranked 548^th by assets in the Russian banking system. JSC PCH is not a member of the deposit insurance system.

JSC PCH failed to comply with the requirements of laws and Bank of Russia regulations on countering the legalisation (laundering) of criminally obtained incomes and the financing of terrorism with regard to identifying operations subject to mandatory control, as well as submitting reliable information to the authorised body. Moreover, throughout 2016, the credit institutions’ business activity was largely focused on dubious transit operations. The Bank of Russia repeatedly imposed supervisory measures against JSC PCH, including those of restrictive nature.

The management and owners of the credit institution did not take proper actions to bring its activities back to normal. Under the circumstances, the Bank of Russia took the decision to withdraw JSC PCH from the banking services market.

The Bank of Russia took this decision in connection with the credit institution’s failure to comply with federal banking laws and Bank of Russia regulations, repeated violations, within a year, of requirements stipulated by Articles 6 and 7 (except for Clause 3 of Article 7) of the Federal Law ‘On Countering the Legalisation (Laundering) of Criminally Obtained Incomes and the Financing of Terrorism’, as well as Bank of Russia regulations issued in accordance with the said law, and in connection with the applications of measures, within a year, stipulated by the Federal Law ‘On the Central Bank of the Russian Federation (Bank of Russia)’.

By its Order No. OD-3208, dated 14.11.2017, the Bank of Russia appointed a provisional administration to manage JSC PCH for the period until the appointment of a receiver pursuant to the Federal Law ‘On Insolvency (Bankruptcy)’ or a liquidator under Article 23.1 of the Federal Law ‘On Banks and Banking Activities’. In accordance with federal laws, the powers of the credit institution’s executive bodies have been suspended.