The National Bank of Ukraine (the NBU) declared “Bank Trust” bankrupt. The capital of the financial institution amounted to 135 million UAH, by December 1, because it had provided loans in the ATO territories and failed to maintain them. The regulator’s web site informed this.
To recall, since 2014, the NBU has to close Ukrainian banks due to mass bankruptcy and a range of violations. For two years, the regulator has closed more than 60 banks including such large organizations as “Khreshchatyk”, “Delta bank”, “Nadra bank”, “Credirprombank”, and others.
According to the data of NBU, 96% depositors of PAT “Bank Trust” will receive their cash deposits in total as not exceeding 200 thousand UAH. This is the amount that the Fund of Deposits Insurance for private persons returns to the failed banks depositors.
There are five the gravest and most popular violations causing the closing of the financial institutions by the NBU within the reform of the banking sector.
The first one is a hidden owner. Since 2015, the NBU controls indication of real owners in the documents, not straw auctioneers.
The second reason is the visible violations of bank’s work: shadow operations, white-washing, siphoning off assets abroad using false documentation, credits to owners and to the persons associated with them.
The third reason is criminal violations detected by the temporary administration brought to a bank.
Annexation of Crimea and military actions in Donbas also caused the closing of many financial institutions. The banks suffered even more from the economic crisis — hryvnia’s meltdown and mass personal deposits outflow.
Source: the NBU