The NBU has approved Resolution No. 365 of 2 August 2016 amending the list of attributes of banks risk activity approved by the NBU Board Resolution No. 346 of 18 August 2012.
Such decision was a consequence of identified by the NBU “scheme transactions”, which were not covered by a single attribute of risky activity up to now.
From now on, the list of attributes of banks risky activity in the sphere of financial monitoring in addition covers the following activity:
- execution of financial transactions by the bank’s clients that have no documental proof of apparent economic feasibility, and/or of bank has no information regarding client’s real financial abilities to perform financial transactions.
- In addition, if client’s transactions do not comply with information provided to bank regarding his financial or social status;
- engagement in financial transactions, the nature or consequences thereof suggest that the main purpose behind such transactions is to convert cashless funds into cash and carry out sham business;
- using accounts of persons not by purpose;
- execution by the bank or bank’s clients of financial transactions using stolen, suspended documents; reiterated execution by the bank’s client of financial transactions on transferring money abroad such as advance payment for foreign trade agreement execution, on which bank was informed or could be informed (particularly, through public sources or other financial institutions), so that counterparties reiterate failure to fulfil execution, or do not meet the requirements of foreign trade agreement at all.
Due to extension of the list of banks risky activity attributes, the NBU enhances the efficiency of measures on prevention of use of banks with illegal purpose.
Let us remind that Article 48 of the Law of Ukraine On Banks and Banking Activity imposes a prohibition on execution of risky activity that damages interests of depositors or other bank’s creditors and provides the NBU with a right to determine in its legal acts the list of attributes, the presence of which is the reason to make conclusion on bank’s risky activity.