Scandal with the liquidation of Concord Bank: The NBU will appeal the court decision
4 December 2024 10:48
The National Bank will appeal against court decisions to cancel the regulator’s decision to withdraw JSC Concorde Bank from the market. This is reported by "Komersant Ukrainian" with reference to the press service of the NBU.
It is noted that the National Bank does not agree with the decision of the Dnipro District Administrative Court of May 29, 2024 and the decision of the Third Administrative Court of Appeal of November 13, 2024 to declare illegal and cancel the regulator’s decision to revoke the banking license and liquidate JSC Concorde Bank and will appeal them in cassation within the time limit specified by law.
As a reminder, in August 2023, the NBU decided to revoke the banking license of JSCB Concord and liquidate it due to the bank’s systematic violation of the requirements of the legislation on prevention and counteraction to legalization (laundering) of the proceeds of crime or terrorist financing and financing of the proliferation of weapons of mass destruction.
The share of Concord Bank amounted to only 0.17% of the assets of solvent banks, so its withdrawal from the market did not affect the stability of the Ukrainian banking sector.
The regulator emphasizes that in accordance with the Law of Ukraine “On Banks and Banking Activities”, the initiated bank liquidation procedure cannot be suspended/terminated, including in the event of the recognition of unlawful (illegal) and the abolition of individual acts of the NBU and/or the Deposit Guarantee Fund, which were the basis for its initiation.
Instead, representatives of Concorde challenged the liquidation of the bank in court.
What is known about Concord Bank
Joint Stock Commercial Bank Concord was registered on August 7, 2006. The bank was owned by entrepreneurs Olena and Yulia Sosiedko.
According to media reports, it served about 25% of the gambling market, helping it avoid taxation through the use of a mis-coding scheme.
During its operation, 14 branches were opened: 4 in Dnipro, 3 in Kyiv, 2 in Odesa, as well as in Lviv, Kryvyi Rih, Zaporizhzhia, Novomoskovsk and Kharkiv.
