Court adjudges Rosenergobank bankrupt, appoints receiver
MOSCOW. June 29 (Interfax) - The Moscow Arbitration Court has adjudged Moscow-based Rosenergobank, a top 100 lending institution, bankrupt, following a petition from the Central Bank, a Interfax correspondent reported from the court.
The court confirmed the Deposit Insurance Agency as receiver.
Officials from the Central Bank and Rosenergobank's temporary administration said at their last meeting that the bank owed its creditors more than 42 billion rubles, but its assets were only worth around 12 billion rubles.
The Central Bank revoked Rosenergobank's banking license on April 10.
"Problems arose at Rosenergobank in relation to the use of an extremely risky business model, low quality of management and assets. In the bank's activities there were signs of unscrupulous conduct by management and owners, expressed in siphoning of assets (foremost by giving out loans to legal entities in regard to which facts were substantiated indicating the absence of real activity) to the detriment of the interests of creditors and depositors, as well as preparation of false financial statements," the regulator said at the time.
The bank also falsely reported information about unmet claims of creditors to the regulator. The CBR repeatedly applied oversight response measures against the bank, including a restriction on accepting retail deposits.
Since the license was revoked in connection with significant false reporting, the relevant materials will be forwarded to the Investigative Committee of Russia to decide whether to open a criminal investigation into falsification of financial reporting documents and statements of a financial organization (Article 172.1 of Russia's Criminal Code).
The temporary administration found the bank had negative equity of 23.5 billion rubles, according to information published in the Bank of Russia Bulletin at the end of May. Analysis showed that assets were just 18.71 billion rubles, way below the 46.84 billion rubles the bank reported, and debt on loans was adjusted from 31.4 billion rubles to 10.09 billion rubles.
The DIA's preliminary estimate of insurance payments to deposit holders is 33.9 billion rubles, the DIA told Interfax earlier.
Rosenergobank was Russia's 88th largest bank by assets at the end of 2016, according to the Interfax-100 ranking of the country's lenders. According to Central Bank data, Rosenergobank was the country's 92nd largest by assets as of March 1.
At the end of last year the bank was ranked 51 by personal deposits, which totaled 35.8 billion rubles.