Russian central bank revokes license of small Stella-Bank

MOSCOW, Apr 14 (PRIME) -- Russia’s central bank has revoked the banking license from Stella-Bank, ranked 467th by assets as of April 1, the authority said in a statement on Thursday.

Stella-Bank, based in Rostov-on-Don, conducted a high risk credit policy and did not create adequate reserves against losses. It failed to comply with the central bank’s regulatory acts for fighting money laundering and terrorism financing. The bank’s activities were focused on aggressive attraction of deposits, the rates significantly exceeded the market level and this practice continued even amid restrictions imposed by the central bank.

The bank is a member of the deposit insurance system, which means that each depositor may receive up to 1.4 million rubles in compensation. Payments to the bank’s depositors will start no later than on April 28, the Deposit Insurance Agency (DIA) said.

(65.7662 rubles – U.S. $1)

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