On results of inspection of financial standing of JSCIB OBRAZOVANIYE (JSC) held by provisional administration
The provisional administration of JSCIB OBRAZOVANIYE (JSC) appointed by Bank of Russia Order No. OD-1056, dated 21 April 2017, due to the revocation of its banking licence, encountered an obstruction of its activity starting the first day of performing its functions.
The former management of JSCIB OBRAZOVANIYE (JSC) failed to submit the electronic data base of the bank’s operations and credit files of its corporate borrowers for a total of 23.8 billion rubles to the provisional administration.
The inspection of the bank’s financial standing held by the provisional administration revealed low quality of its loan portfolio resulting from lending to legal entities and individuals with dubious creditworthiness, unable to honour their liabilities, and organisations not engaged in real business activity. Furthermore, the bank’s management carried out transactions to terminate liabilities of certain corporate borrowers to the bank through the funds received from redemption of the bank’s own promissory notes.
According to the estimate by the provisional administration, the assets of JSCIB OBRAZOVANIYE (JSC) do not exceed 2.5 billion rubles, whereas the bank’s liabilities to its creditors amount to 21.7 billion rubles.
On 1 June 2017, the Court of Arbitration of the city of Moscow ruled to recognise JSCIB OBRAZOVANIYE (JSC) insolvent (bankrupt) and initiate bankruptcy proceedings 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 JSCIB OBRAZOVANIYE (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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