OREANDA-NEWS. By its Order No. OD-1915, dated 3 August 2015, the Bank of Russia revoked the banking licence from the Moscow-based credit institution Commercial bank Bank of Settlements and Savings, limited liability company, or CB Bank of Settlements and Savings LLC (Registration No. 2617) from 3 August 2015.

The Bank of Russia took such an extreme measure - revocation of the banking licence - because of the credit institution's repeated violations within a year of the requirements of Articles 6 and 7 (except for Clause 3 of Article 7) of the Federal Law 'On Countering the Legalisation (Laundering) of Criminally Obtained Incomes and the Financing of Terrorism' and Bank of Russia regulations issued in accordance with the said Federal Law.

CB Bank of Settlements and Savings LLC violated legislation and Bank of Russia regulations on countering the legalisation (laundering) of criminally obtained incomes and the financing of terrorism in terms of timely and proper notification of the authorised body about operations subject to obligatory control. Besides, the credit institution's rules of internal controls on AML/CTF failed to meet Bank of Russia regulations. Besides, the credit institution was involved in dubious operations connected with overseas money transfer in significant amounts. The management and owners of the credit institution did not take measures to normalise its activities.

By its Order No. OD-1916, dated 3 August 2015, the Bank of Russia has appointed a provisional administration to CB Bank of Settlements and Savings LLC for the period until the appointment of a receiver pursuant to the Federal Law 'On Insolvency (Bankruptcy)' or a liquidator under Article 23.1 of the Federal Law 'On Banks and Banking Activities'. In accordance with federal laws, the powers of the credit institution's executive bodies are suspended.

CB Bank of Settlements and Savings LLC is a member of the deposit insurance system. The revocation of banking licence is an insured event envisaged by Federal Law No. 177-FZ 'On Insurance of Household Deposits with Russian Banks' regarding the bank's obligations on deposits of households determined in accordance with legislation.

According to the financial statements, as of 1 July 2015, CB Bank of Settlements and Savings LLC ranked 322nd by assets in the Russian banking system.