In Ukraine, another Bank was bankrupt

The national Bank of Ukraine (NBU) declared insolvent “Vector Bank” on the basis of the requirements of article 76 of the law of Ukraine “On banks and banking activities”. Of the relevant decision No. 112-rsh/BT press service of the NBU.

According to the report, previously, the regulator was appointed to the Bank supervisor and attributed to the category of problematic, because it significantly decreased the liquidity of the Bank. In addition, the Bank was represented by inaccurate statistical reporting.

In NBU note that article 58 of the law of Ukraine “On banks and banking activity” establishes the obligation of owners of substantial participation in the Bank “to take timely measures to prevent the insolvency of the Bank.”

However, as reported, is the sole owner of JSC “Vector Bank” the Bank has not provided financial support.

According to statistical reports, the balance of banks ‘ correspondent accounts with the National Bank of Ukraine is critically low – as of March 1, 2017 it was 76 thousand UAH, or 0.1% of the liabilities of the Bank.

The inclusion of “Vector Bank” into the category of problematic facts were revealed, which were svidetelstvovat that the Bank is not reflected in the accounting documents of the clients are not done on time.

Thus, “Vector Bank” was unable to timely and fully meet the legitimate claims of creditors due to lack of funds. Also worsened the financial performance of the Bank.

Given the above, and in accordance with paragraph 3 of part 1 of article 76 of the Law of Ukraine “On banks and banking activity”, the national Bank was obliged to make a decision about reference of Bank to category insolvent.

The press service of the NBU said that that 95% of investors (852 people) will receive their deposits in full, as their size does not exceed guaranteed by the Deposit guarantee Fund of individuals (fgvfl) the amount of 200 thousand UAH.

Customers with large volumes of deposits will get them within the amount guaranteed by the Fund. The Fund will provide payment of the guaranteed amount in the amount of UAH 77.7 million.

Recall that 2016 was for the banking system of Ukraine is a serious challenge. The list of operating banks declined by a couple of dozen, and “healthy” financial institutions in the country is now less than a hundred.

Also, as reported by the media, for two years individuals taken out of the banking system of Ukraine USD 11 billion.