Plato Bank fails to get license back

25 August 2015 (13:13)

August 25, 2015. Moscow Arbitration Court refused to overrule the Central Bank’s decision to annul Plato-Bank’s license, despite the Yekaterinburg-based bank’s owner Andrei Lazarev’s claims. The legal grounds for the decision haven’t been made open to the public just yet.

Plato Bank was set up in 1992 as a limited liability company then known as Commercial Bank Iset. The company acquired its current name in March 1996. It is reported that 87% of the bank’s shares belonged to Lazarev.

Plato-Bank’s license was annulled as early as May 13, 2015. The Central Bank took the step ‘since the lending institution in question failed to comply with the federal banking legislation and the Bank of Russia’s normative acts’. Besides, Plato Bank not having the required minimum amount of own funds (300m RUR, as set forth in the Federal Banking Act) by January 1, 2015 and not applying to the Bank of Russia for having its status changed to that of a nonbanking institution were factors in the Central Bank’s decision.

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