On results of inspection of financial standing of LLC TATAGROPROMBANK held by provisional administration

The provisional administration to manage LLC TATAGROPROMBANK, further referred to as the Bank, appointed by Bank of Russia Order No. ОD-873, dated 5 April 2017 following licence revocation, in the course of its inspection of the Bank’s financial standing established that the Bank’s management and owners conducted transactions to siphon off liquid assets by extending loans to entities of dubious solvency. Such entities included those under the Bank staff’s control; the credit funds were then channelled into loans to third parties and the Bank’s affiliated company to buy securities and land plots and to pay off debt under land sale agreements to numerous counterparties.

The provisional administration estimates the value of the Bank’s assets to be no more than 953.9 million rubles, vs 1,681.1 million of its liabilities to creditors including 1,663 million rubles to individuals.

On 22 May 2017, the Arbitration Court of the Republic of Tatarstan recognised LLC TATAGROPROMBANK as insolvent (bankrupt). 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 criminal offence conducted by the former management and owners of LLC TATAGROPROMBANK 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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26.09.2017 00.00.00