By virtue of Article 76 of the Law of Ukraine On Banks and Banking, the Board of the National Bank of Ukraine issued a Resolution No. 73 of 17 June to declare the PUBLIC JOINT-STOCK COMPANY EUROBANK insolvent.
On 18 May 2016, the NBU approved the acquisition of qualifying holding in Eurobank PJSC in amount of 50% of its authorized capital by citizen of Kazakhstan Mr Bolat Nazarbaiev. However, in a month, according to to the information currently available to the regulator, bank’s shares have not been not trasferred into ownership of Mr Bolat Nazarbaiev.
Instead, curator of Eurobank PJSC revealed facts on deposit splitting transactions effectuated by the bank, i.e. trasferring funds from current accounts of legal entities to accounts of individuals in the amount below UAH 200 thousand. At the same time, due to liquidity loss, bank stopped to perform customers’ transactions.
Pursuant to paragraph 5 of first part of Article 76 of the Law of Ukraine On Banks and Banking, NBU has to adopt a decision on declaring bank insolvent in case of performing transactions (after being declared a problem bank), in a result of which liabilities before individuals within the guaranteed redemption amount increase owing to reduced liabilities before the legal entities.
National Bank of Ukraine emphasizes that 98% (8 thousand persons) of all depositors of Eurobank PJSC will receive their deposits in full size as their amount does not exceed the guaranteed by the DGF amount of UAH 200 thousand. Customers with larger deposits will receive them within the amounts subject to compensation by the DGF. Total amount of compensation of 15 June 2016 made approximately UAH 217 million.
Of 17 June 2016, ultimate owners of the bank are Mr Oleksandr Adarich (50%) and Mr Vadym Pushkariov (50%).