Today one of the main news is the fate of the ABLV Bank, which as is known recently was accused of committing banned and money-laundering transactions. The bank’s owners insist on a self-liquidation procedure, but another situation may turn out when the bank will be engaged in the administration of insolvency.
In order to protect their clients and creditors from possible problems, the ABLV Bank board made a decision on the need for self-liquidation procedure. This will allow the to choose liquidators independently and agree on their remuneration. However, for this it is necessary to get permission from the Financial and Capital Market Commission (FCMC). Within five days, the bank must submit to the FCMC liquidation plan, which it will review within 30 days and only then it will make a decision.
As the head of the FCMC Peteris Putninsh informed, self-liquidation of the bank is possible only if the means at its disposal allow to fulfill the obligations by one hundred percent. Otherwise, an insolvency process will be initiated, which will be conducted by the administrator appointed by the court.
The representatives of the bank assured that they have sufficient volume of assets to satisfy the requirements of all clients and creditors. They are ready to pay all the deposits guaranteed by law.