On the termination of the activities of isolated structural divisions of credit institutions operating on the territory of the Republic of Crimea and on the territory of the federal city of Sevastopol

Due to the failure to honour liabilities to creditors (depositors) and guided by Article 7 of Federal Law No. 37-FZ, dated 2 April 2014, ‘On the Specifics of the Functioning of the Republic of Crimea’s and the Federal City of Sevastopol’s Financial System in the Transition Period’, the Bank of Russia took decisions Nos. RN-33/11, RN-33/12, RN-33/13, RN-33/14, RN-33/15, RN-33/16, RN-33/17, RN-33/18, and RN-33/19, respectively, on the termination from 26 May 2014 of the activities on the territory of the Republic of Crimea and on the territory of the federal city of Sevastopol of isolated structural divisions of the following credit institutions:

Public Oschadny Bank of Ukraine (Public JSC Oschadbank);

Public Joint-Stock Company MARFIN BANK, the city of Ilyichevsk, Ukraine;

Public Joint-Stock Company UKRSOTSBANK, the city of Kiev, Ukraine;

Public Joint-Stock Company UkrSibbank, the city of Kharkiv, Ukraine (JSC UrkSibbank);

Public Joint-Stock Company Delta Bank, the city of Kiev, Ukraine (JSC Delta Bank);

Public Joint-Stock Company City Commerce Bank (Public JSC City Commerce Bank);

Public Joint-Stock Company BANK FORUM, the city of Kiev, Ukraine;

Public Joint-Stock Company AVTOKRAZBANK, the city of Kremenchug, Ukraine;

Public Joint-Stock Company Platinum Bank, the city of Kiev, Ukraine (Public JSC PtB).

In accordance with Article 7 of Federal Law No. 37-FZ, the termination of the activities of isolated structural divisions of the said credit institutions means that they are prohibited from conducting on the territory of the Republic of Crimea and on the territory of the federal city of Sevastopol banking and other operations, except for operations connected with the transfer of assets and liabilities.

The decision taken by the Bank of Russia to terminate the activities on the territory of the Republic of Crimea and on the territory of the federal city of Sevastopol of isolated structural divisions of the aforementioned credit institutions serves as a ground for the autonomous non-profit organisation Depositor Protection Fund to acquire the rights to (claims on) deposits and to make compensation payments in compliance with the procedure stipulated by Articles 7 and 9 of Federal Law No. 39-FZ, dated 2 April 2014, ‘On the Protection of Interests of Households Having Deposits with Banks and Isolated Structural Divisions of Banks Registered and (or) Operating on the Territory of the Republic of Crimea and on the Territory of the Federal City of Sevastopol’.

In accordance with Article 7 of Federal Law No. 39-FZ, the Bank of Russia notified the autonomous non-profit organisation Depositor Protection Fund about the grounds to acquire by the latter the rights to (claims on) deposits placed with structural divisions of the aforementioned banks.

The decision on the termination of the activities of the Ukrainian banks’ divisions was prompted primarily by the task to protect the interests of depositors and customers whose legitimate rights had been violated, including as a result of the actual termination of work of these banks’ divisions in the Republic of Crimea and the federal city of Sevastopol, as well as the lack of prospects for resuming their activities. As a result, there was not any other opportunity to ensure an effective protection of the rights of depositors and customers of these banks living (engaged in economic activities) on the said territories, except for terminating the activities of the banks’ divisions.

Civil legal claims to the aforementioned banks, including on the part of the Depositor Protection Fund, will be considered, if necessary, by the competent judicial bodies in a generally established procedure.

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