KSG Bank is liquidated without the procedure of introduction of temporary administration.

The National Bank passed the decision on license revocation and liquidation of KSG Bank for the systematic violations of anti-money laundering legislation, in particular, for conducting risk activities in the sphere of financial monitoring.

In the meantime, the bank is liquidated without the procedure of introduction of temporary administration.

According to the message, during its last inspection the National Bank found that KSG Bank carried out schemes, associated with conversion of non-cash resources to cash funds. These transactions involved the legal entities, individual entrepreneurs and credit unions. The scheme participants conducted some transactions, the purpose of which were multi-million transfers to the accounts of individuals, clients of the bank, and further cash out transactions. As per available information on the financial standing of the bank, these clients were not in position to conduct transactions in such amounts.

In addition, some persons, whose passports appear on the list of lost IDs or whose passports appear to belong to other persons as per passport series and number, were identified.

The regulator noted that the information on financial transactions of KSG Bank clients was provided by law enforcement bodies as soon as possible.

NBU emphasizes that the liquidation of KSG Bank will not have any impact on the stability of the financial market of Ukraine, taking into account the limited number of clients and insignificant volumes of assets. The total number of bank depositors-individuals is about 1200 persons, about 95% of which will obtain their deposits in full, as reported on the regulator’s site.