Activity of provisional administration to manage LLC Bank Mayskiy terminated
On 11 December 2020, the Bank of Russia terminated the activity of the provisional administration1 appointed to manage LLC Bank Mayskiy (hereinafter, the Bank).
The provisional administration detected transactions conducted in order to sell the Bank’s property below the market price, causing damage to the Bank in the amount of at least 18.2 million rubles.
The provisional administration filed complaints to the law enforcement bodies regarding the facts revealed.
In the course of its operations, the provisional administration worked on the recovery of overdue debt. Specifically, it sent demands and pre-trial claims to borrowers, guarantors, and pledgers. As part of claims-related work, it sent enforcement orders on debt collection to the benefit of the Bank to bailiff service divisions in order to start enforcement proceedings. During the operations of the provisional administration, 80.3 million rubles were collected from the borrowers to recover the debt.
No signs of the Bank’s insolvency (bankruptcy) have been established as a result of the provisional administration-conducted inspection of its financial standing.
On 30 November 2020, the Arbitration Court of the Kabardino-Balkar Republic issued a ruling on the forced liquidation of the Bank.
The State Corporation Deposit Insurance Agency was appointed as liquidator.
More details about the work of the provisional administration are available on the Bank of Russia website.
1 The provisional administration was appointed by Bank of Russia Order No. OD-1639, dated 9 October 2020, following the revocation of the banking licence from the Bank.
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11.12.2020 00.00.00