On results of inspection of financial standing of JSCB Bank Red Gates (JSC) held by provisional administration

The provisional administration of Joint-stock Commercial Bank Red Gates (joint-stock company) appointed by Bank of Russia Order No. OD-4839, dated 29 December 2016, following the revocation of its banking licence, in the course of examination of the bank’s financial standing has established low quality of the bank’s assets as a result of issuing loans to companies with dubious solvency, not able to perform their obligations, and to shell companies.

Besides, prior to the banking licence revocation, the bank’s management had executed several transactions bearing the evidence of moving out assets by making agreements to assign receivables and by selling the bank’s liquid assets to third parties.

According to the estimate by the provisional administration, the assets of JSCB Bank Red Gates (JSC) do not exceed 2.8 billion rubles, whereas the bank’s liabilities to its creditors amount to 4.2 billion rubles.

On 28 March 2017, the Court of Arbitration of the city of Moscow ruled to recognise JSCB Bank Red Gates (JSC) insolvent (bankrupt) and initiate bankruptcy proceedings with the state corporation Deposit Insurance Agency 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 JSCB Bank Red Gates (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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02.06.2017 00.00.00