Ukraine Will Check Problem Loans of State Owned Banks
OREANDA-NEWS. August 04, 2010. Under the order of the Prime Minister of Ukraine Mykola Azarov the Interagency Committee on countering the illegal acquisition and takeover of companies began work on solving problems of non-repayment of loans issued by state owned banks or banks with significant state share.
Therefore, the Ministry of Finance and the Main Control and Revision Office, together with the law enforcement agencies, financial institutions and supervision involving staff of Homeland Security will hold a check of every fact of problem loans in state owned banks.
The decision was taken at a meeting of the commission chaired by the Vice Prime Minister Volodymyr Sivkovych.
In particular the check will be held in the state owned banks: SC "Sberbank", JCS "Ukreximbank", PSC "Rodovid Bank", PSC "Bank Kyiv", PSC "UGB", PSC "Ukrainian Bank for Reconstruction and Development".
During the audit the attention is to be on economical and legal background of decisions on granting loans to legal entities of more than 10 million UAH and more than 1 million UAH to individuals.
The involvement of officers and officials of central and local authorities to create conditions for non-repayment loans, obtaining credit by the public sector to use in artificial bankruptcy schemes for the entities of mentioned category would also be verified. Thus, law enforcement officers will form a "black list" of officials who are involved in significant non-return credits.
As a result, the law enforcement inspections are till the end of August to prepare proposals on return of loans.
In addition, the commission is to analyse the legality and the effectiveness of the funds use, allocated by the National Bank for the banks refunding.
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