On revocation of banking licence and appointment of provisional administration
By its Order No. OD-3020, dated 27 October 2014, the Bank of Russia revoked the banking licence from the Moscow-based credit institution Non-Bank Credit Institution Financial Services, limited liability company, or NCI Financial Services LLC (Registration No.
The Bank of Russia took such an extreme measure — revocation of the banking licence — because of the credit institution’s failure to comply with federal banking laws and Bank of Russia regulations, decrease in own funds (capital) below the minimal value of authorised capital established by the Bank of Russia as of the date of the state registration of the credit institution, and the application of supervisory measures envisaged by the Federal Law ‘On the Central Bank of the Russian Federation (Bank of Russia)’.
NCI Financial Services LLC placed funds into low-quality assets that resulted in the loss of significant part of its capital. Besides, in August 2014, the credit institution was involved in dubious operations connected with overseas money transfer in significant amounts. The management and owners of NCI Financial Services LLC did not take measures required to normalise its activities and recover its financial status. Under these circumstances, the Bank of Russia performed its duty on the revocation of the banking licence from the credit institution in accordance with Article 20 of the Federal Law ‘On Banks and Banking Activities’.
By its Order No. OD-3021, dated 27 October 2014, the Bank of Russia has appointed a provisional administration to NCI Financial Services LLC for the period until the appointment of a receiver pursuant to the Federal Law ‘On the Insolvency (Bankruptcy) of Credit Institutions’ or a liquidator under Article 23.1 of the Federal Law ‘On Banks and Banking Activities’. In accordance with federal laws, the powers of the credit institution’s executive bodies are suspended.
According to the financial statements, as of 1 October 2014, NCI Financial Services LLC ranked 842nd by assets in the Russian banking system.
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27.10.2014 00.00.00