The DIA will be the temporary administration of financial institutions after the revocation of their licenses

Previously, the Bank of Russia performed these functions after the revocation of a bank’s license (with the possibility of engaging DIA specialists), while the DIA carried out the liquidation of a financial institution after the court issued the corresponding decision.

The DIA will exercise the powers of the provisional administration through a representative appointed from among the agents of the DIA. In addition, the Bank of Russia will monitor the work of the DIA, including through inspections of the activity of the provisional administration.

By authorizing the DIA to perform these new functions, the Bank of Russia streamlines the procedures for liquidating a financial institution and speeds up the creation of the receivables register, the inventory and sale of the assets of the financial institution and the constitution of the bankruptcy estate to make settlements with creditors.

Photo preview: Weitwinkel / Shutterstock / Fotodom

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Central Bank of the Russian Federation published this content on October 18, 2021 and is solely responsible for the information it contains. Distributed by Public, unedited and unmodified, on October 19, 2021 12:11:01 AM UTC.

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