On revocation of banking licence of the credit institution CB TETRAPOLIS and appointment of provisional administration

By its Order No.OD-2932, dated 2 September 2016, the Bank of Russia revoked the banking licence of the Saint Petersburg-based credit institution JOINT-STOCK COMPANY COMMERIAL BANK TETRAPOLIS or JSC Bank TETRAPOLIS (Registration No. 1586) from 2 September 2016.

The Bank of Russia took such an extreme measure — revocation of the banking licence — because of the credit institution’s failure to comply with federal banking laws and Bank of Russia regulations, repeated violations within a year of Bank of Russia requirements stipulated by Articles 6 and 7 (excluding 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 application of measures stipulated by the Federal Law ’On the Central Bank of the Russian Federation (Bank of Russia)’ and taking into account a real threat to the interests of creditors and depositors.

JSC Bank TETRAPOLIS failed to comply with the requirements of law and the Bank of Russia regulations on countering the legalisation (laundering) of criminally obtained incomes and the financing of terrorism with regard to timely submitting information on operations subject to compulsory control to the authorised body. Besides, the credit institution initiated actions to move out highly liquid assets. Under the circumstances to protect interests of the bank’s creditors and depositors the Bank of Russia took a decision to take out JSC Bank TETRAPOLIS from the banking services market.

By its Order No. OD-2933, dated 2 September 2016, the Bank of Russia has appointed a provisional administration to JSC Bank TETRAPOLIS for the period until the appointment of a receiver pursuant to the Federal Law ‘On the 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 are suspended.

JSC Bank TETRAPOLIS is a member of the deposit insurance system. The revocation of the banking licence is an insured event as stipulated by Federal Law No. 177-FZ ‘On the Insurance of Household Deposits with Russian Banks’ in respect of the bank’s retail deposit obligations, as defined by law. The said Federal Law provides for the payment of indemnities to the bank’s depositors, including individual entrepreneurs, in the amount of 100% of the balance of funds but no more than 1.4 million rubles per depositor.

According to the financial statements, as of 1 August 2016, JSC Bank TETRAPOLIS ranked 533rd by assets in the Russian banking system.

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02.09.2016 00.00.00