By its Order No. OD-266, dated 21 February 2024, the Bank of Russia revoked a banking licence from QIWI Bank (Joint-stock company), or JSC QIWI Bank (Registration No. 2241, Moscow). The credit institution ranked 89th by assets in the Russian banking system.1
The Bank of Russia made this decision in accordance with Clauses 6 and 6.1 of Part 1 of Article 20 of the Federal Law ‘On Banks and Banking Activities’,2 based on the facts that JSC QIWI Bank:
- violated federal banking laws and Bank of Russia regulations, due to which the regulator applied supervisory measures against it five times over the last 12 months, including two impositions of restrictions on certain banking operations;
- systematically failed to comply with the anti-money laundering and counter-terrorist financing laws.
JSC QIWI Bank was not a significant lender to the real sector. Its activities were characterised by high-risk transactions aimed at ensuring settlements between individuals and shadow businesses, including transfers of funds to crypto exchanges, illegal online casinos, bookmakers, etc., as well as looking for new ways to circumvent the restrictions imposed by the regulator.
In addition, there were numerous cases of the Bank opening QIWI-wallets using personal data of individuals without their knowledge and operations on them, which created significant risks for individuals.
JSC QIWI Bank did not take effective measures to reduce risks in its activities, despite the active supervisory work of the Bank of Russia, and continued to conduct high-risk transactions.
The Bank of Russia submitted the information on the Bank’s operations having signs of criminal acts to the law enforcement authorities.
Termination of the Bank’s activities will not have a significant impact on the opportunities for individuals, entrepreneurs and legal entities to make payments and transfers, including without opening an account, via other credit institutions and payment systems.
By its Order No. OD-267, dated 21 February 2024, the Bank of Russia appointed the State Corporation Deposit Insurance Agency as a provisional administration to manage JSC QIWI Bank. The provisional administration will carry out its activity until the appointment of a receiver3 or a liquidator.4 In accordance with federal laws, the powers of the credit institution’s executive bodies were suspended.
Information for depositors: JSC QIWI Bank is a participant in the deposit insurance system; therefore, its depositors will be compensated for their deposits in the amount of 100% of the balance of funds, but no more than a total of 1.4 million rubles per depositor (including interest accrued), taking into account the conditions stipulated by Chapter 2.1 of the Federal Law ‘On the Insurance of Deposits with Russian Banks’.
Deposits are to be repaid by the Agency. Depositors may obtain detailed information regarding the repayment procedure 24/7 at the Agency’s hotline
1 According to the financial statements as of 1 February 2024.
2 The Bank of Russia made this decision due the credit institution’s failure to comply with federal banking laws and Bank of Russia regulations, repeated violations within one year of the requirements stipulated by Articles 6, 7 (except for Clause 3 of Article 7), 7.2 of the Federal Law ‘On Countering the Legalisation (Laundering) of Criminally Obtained Incomes and the Financing of Terrorism’, and the requirements of Bank of Russia regulations issued in compliance with the said Federal Law, and taking into account the repeated application within one year of measures envisaged by the Federal Law ‘On the Central Bank of the Russian Federation (Bank of Russia)’.
3 In accordance with Articles 127 and 189.68 of the Federal Law ‘On Insolvency (Bankruptcy)’.
4 In accordance with Article 23.1 of the Federal Law ‘On Banks and Banking Activities’.
5 Depositor means a citizen of the Russian Federation, foreign citizen or person without citizenship, including those engaged in entrepreneurial activity, or a legal entity specified in Article 5.1 of the Federal Law ‘On the Insurance of Deposits with Russian Banks’ which concluded a bank deposit/account agreement with a bank, or any of the above mentioned persons in whose favour the deposit was made and (or) who is the holder of a savings certificate, or the owner of a special account (special deposit) intended to form and use the fund of capital repairs of common property in an apartment house opened in accordance with the requirements of the Housing Code of the Russian Federation.
| Zařazeno | st 21.02.2024 07:02:00 |
|---|---|
| Zdroj | CBRU |
| Originál | cbr.ru/eng/press/PR/?file=638441123877974819ENG_BANK_SECTOR.htm |
| Kategorie | Banking Sector |
| lang | en |
| guid | docid_39708 |
