NBB appoints interim administration to Belgazprombank

<p> MINSK, Jun 15 - PrimePress. The National Bank of Belarus (NBB) appointed on June 15, 2020 the interim administration to Belgazprombank OJSC headed by Nadezhda Yermakova. The bank’s board was suspended for the period of the interim administration, the National Bank reports. </p> <p>   </p> <p> “By resolution No.192 of June 14, 2020 the Board of the National Bank of the Republic of Belarus appoints the interim administration to Belgazprombank OJSC on June 15, 2020 to protect the interests of depositors and creditors of Belgazprombank and to prevent deterioration of its financial standing,” reads the statement. </p> <p>   </p> <p> According to the NBB, this is in line with Articles 94, 97, 134 and 1341 of the Banking Code of the Republic of Belarus. The decision was made after the Financial Investigations Department of State Control Committee (SCC) initiated a criminal case against Belgazprombank executives under section 235.3 (legalization (laundering) of proceeds from crime) and section 243.2 (tax evasion) of the Criminal Code of the Republic of Belarus. </p> <p>   </p> <p> The National Bank’s decision is aimed at ensuring stable and uninterrupted operation of Belgazprombank and provision of banking services to depositors and creditors. The National Bank will provide support to Belgazprombank, if necessary. </p> <p>   </p> <p> NBB Spokesman Alexander Timoshenko says this is done because of “non-compliance with the license requirement set by the National Bank regarding the presence of risk management and internal control in the bank.” </p> <p>   </p> <p> According to Timoshenko, under the legislation in place, the head of the interim administration appoints members of the interim administration within seven days from the date of the introduction of the interim administration, and notifies the National Bank in writing of the personnel appointed by the administration within the time frame specified. </p> <p>   </p> <p> As previously reported, on May 12, 2020, Chairman of the Board of Belgazprombank Viktor Babariko announced his intention to run for president and, on the same day, stepped down as board chairman after 20 years in office. As of June 12, Babariko’s initiative group collected over 335,000 signatures for his registration as a presidential candidate (at least 100,000 are required). The presidential election in Belarus is scheduled for August 9, 2020. </p> <p>   </p> <p> President of Belarus Alexander Lukashenko told reporters on June 12 that he instructed State Control Committee Chairman Ivan Tertel to investigate an alleged financial fraud in Belgazprombank. Lukashenko accused Babariko of withdrawing money outside Belarus. He called Babariko a “villain” who was trying to “edge into the president’s office.” He said that bank’s operations had been raising questions since 2016 and pointed at Babariko as the organizer of the fraud. Lukashenko demanded that Babariko “return everything he had stolen to the people.” On June 11, the police conducted searches in offices of Belgazprombank and its partner companies, and detained 15 persons, including two deputy chairs of the bank. </p> <p>   </p> <p> Tertel told on TV on June 12 that he had convincing evidence of the involvement of former head of Belgazprombank Babariko in illegal activities. He claimed that “an organized criminal group was formed at the bank to transfer money to foreign accounts.” He said that the police seized over $4 million in cash and $500,000 in securities from the detainees, and found digipasses. </p> <p>   </p> <p> Babariko called the searches at the bank and partner companies “politically motivated acts” and intimidation. In his opinion, the law enforcers coerce the detained to defame him, as there is no evidence against him. Babariko said that Belgazprombank had been inspected by international and Belarusian auditors more than once, and no violations had been ever detected. Babariko does not rule out that the authorities will resort to his arrest. </p> <p>   </p> <p> Russian Gazprom PJSC, one of Belgazprombank’s major shareholders, said on June 12 that hostile actions against Belgazprombank were committed in violation of the laws of Belarus and affect interests of Russian shareholders. Belgazprombank shareholders intend to seek protection of their rights by available legal means and are taking measures to ensure financial stability of the bank. </p> <p>   </p> <p> Belgazprombank OJSC was established in 1990 as an authorized bank of Gazprom Group in Belarus. Russian Gazprom PJSC and Gazprombank JSC own 49.66% stake in Belgazprombank; Gazprom Transgaz Belarus – 0.49%; the Republic of Belarus represented by the Ministry of Energy of Belarus – 0.18%. Belgazprombank belongs to Tier I Group. End </p>

2020-06-16

Primepress