Azerbaijani Texnikabank has no plans to merge with other banks

Azerbaijani Texnikabank has no plans to merge with other banks

Baku, Azerbaijan, Feb. 4

By Anvar Mammadov - Trend:

Azerbaijani Texnikabank, the license of which was revoked by the Central Bank of Azerbaijan, has no plans to merge with other banks, Chairman of the bank's Supervisory Board Etibar Aliyev told Trend Feb. 4.

The Central Bank of Azerbaijan (CBA) revoked the license of Texnikabank OJSC Feb. 2.

This decision was made because the total capital of the bank didn't correspond to the CBA minimum requirement of 50 million manats. The total capital adequacy ratio amounted to three percent [the CBA minimum requirement is 10 percent].

The bank couldn't fulfill its obligations to creditors and didn't manage its current activity prudentially. Temporary administrator was appointed at the bank since Feb. 2.

Aliyev said that the bank is not going to litigate the decision of the central bank regarding the revocation of the license.

"After revocation of license, the bank has two ways: to litigate the decision of the central bank or to accept it," he said. "It was only last week when I was asked about the bank's actions in the case of revocation of the license, and I said I don't believe that the Central Bank of Azerbaijan will do it, but if that happens, I won't litigate the central bank's decision. I would like to add that Texnikabank is not going to consolidate with other banks."

At the same time, Aliyev noted that the bank doesn't agree with the decision of the Central Bank of Azerbaijan, although did accept it.

"The bank was functioning normally, and we had all the possibilities to ensure the creditors' claims," said the head of the bank's Supervisory Board. "I consider it wrong to revoke the bank's license, which is not encumbered by obligations, but I respect and accept that decision."

He went on to add that the decision to revoke the bank's license shouldn't affect activities of its subsidiaries - Alfa Insurance company and Kapital Menecment OJSC, which has a license for broker, dealer and underwriting activity.

The bank is a wholly shareholder of the both companies, he said.

"Both companies continue their activities," Aliyev said. "At the moment they continue to function, and it is too early to speak of any changes."

He added that the bank has all the necessary funds to fulfill the claims of creditors.

"The insured portion of bank deposits will be returned by the Azerbaijan Deposit Insurance Fund (ADIF)," Aliyev said. "Regarding other commitments, they will be covered through the bank's assets. But this process may take some time, since, in accordance with the law, there should be the court's decision and a liquidator should be determined."

Currently, some 36 banks have banking activity licenses in Azerbaijan. The CBA has revoked the licenses of six banks since early 2016 [Bank of Azerbaijan, Gence Bank, United Credit Bank, Atra Bank, Caucasian Development Bank and Texnikabank].

Texnikabank has been operating in Azerbaijan since 1994 (previously - Rashadbank).

Until now, the bank's shareholders comprised of Beaufort Investissements S.A investment company [head office is located in Luxembourg] with interest of 78.4421 percent, while 21.5579 percent belonged to physical entities.

Subscribe to Trend in Google News! Subscribe
President Ilham Aliyev receives Croatia's Minister of Foreign and European Affairs UPDATE
President Ilham Aliyev receives Croatia's Minister of Foreign and European Affairs UPDATE
Azerbaijan's defense minister visits newly established commando military unit (PHOTO/VIDEO)
Azerbaijan's defense minister visits newly established commando military unit (PHOTO/VIDEO)
President Ilham Aliyev receives Croatia's Minister of Foreign and European Affairs
President Ilham Aliyev receives Croatia's Minister of Foreign and European Affairs
Loading Bars
Turkmenistan starts rice harvest in Dashoguz region
Azerbaijan supports all int’l efforts to ensure transparency in extractive industries – minister
Refining activity of Iran's Fajr Jam Gas Refining Company soars
Iran’s Persian Gulf Petrochemical Industries Corporation sets new record
Azerbaijan's defense minister visits newly established commando military unit (PHOTO/VIDEO)
Iran’s PMO declares data on load/unload operations in Jask Port
Iran intends to increase exports through Astara
Turkey reveals cargo traffic via its ports from Portugal for 8M2021
Exports of Iran to Kyrgyzstan booming
President Ilham Aliyev receives Croatia's Minister of Foreign and European Affairs
Iran's Energy Exchange announces products to be on sale on October 20
President Ilham Aliyev expresses condolences to President Recep Tayyip Erdogan
Iran’s Bahar Azadi gold coin price rebounds
Azerbaijan transfers captured Armenian servicemen back to Armenia
Uzbekistan plans to exempt import and sale of meat products from VAT
Turkey shares data on maritime cargo shipment with Russia for 8M2021
Azerbaijan shares data on oil transported via BTC pipeline in 9M2021
USAID to provide additional funds for Kazakhstan to fight COVID-19
Turkey announces data on cargo traffic with Italy for 8M2021
Kazakhstan imposes export restrictions for some timber types
Azerbaijan names locations of future national parks in liberated territories
Azerbaijan demands certain steps from Armenia at UN International Court of Justice
Iran’s 9M2021 Turkish cement imports up
Iran to host meeting on economic co-op with Turkmenistan
Georgian foreign trade turnover increases
Iran increases petrochemicals production
Kazakhstan sees increase in number of open trading accounts
​Iran allocates more funds for oil and gas projects in Ilam Province
Turkey unveils data on cargo traffic via its ports from Spain
Georgia's domestic export up in 9M2021
Value of Turkish cement exports to Georgia for 8M2021 down
Turkey shares data on cargo traffic with Greece for 8M2021
Turkey reveals cargo volume handled from Egypt in 8M2021
Azerbaijan shares data on number of vaccinated citizens
Azerbaijan confirms 2,102 more COVID-19 cases, 863 recoveries
Cargo traffic on Azerbaijan's section of TRACECA for 8M2021 revealed
IMF lowers breakeven oil price level for Azerbaijan
Saudi index hits 15-year peak as most Gulf bourses gain
Israel's Bank Mizrahi Tefahot to issue $1.1 bln of CPI-linked bonds
Iran seeks to complete semi-finished project related to Lake Urmia's revitalization
Iran imports trucks to renovate transportation fleet
IMF revises up forecasts for Azerbaijan’s non-oil GDP growth
Iran`s domestic appliances production increases
IMF reveals forecast for Azerbaijan’s annual inflation
Iran's imports from neighboring countries up
Turkey discloses volume of cargo shipment via its ports from Singapore for 8M2021
Hungarian companies to attend Rebuild Karabakh EXPO
Azerbaijan raises gas exports via BTE pipeline
IMF predicts growth for Azerbaijan's GDP
Azerbaijani ministry denies rumors about full transition of schools to online lessons
Slovakia interested in deepening relations with Azerbaijan - FM
Turkey reveals cargo traffic with Morocco for 8M2021
Data on cargo shipping between Turkey and Algeria for 8M2021 revealed
Turkey shares data on cargo traffic with Israel for 8M2021
TAP partially stems increase in gas prices – managing director
Iran to sell oil through private sector
Iran started exploration of mining sites in South Khorasan Province
Minister talks preferential loans issued in Azerbaijan since early 2021
Bakcell will be ready to implement eSIM project in Azerbaijan
Iran reveals COVID-19 data for October 19
Iran's steel production increases
Iran eyes to boost domestic production in mining, industrial and commercial sectors
AccessBank eyes increasing loan portfolio mainly in segment of micro, agricultural entrepreneurs - Acting Chairman of Board (Interview)
National bank of Georgia shares data on payment cards issuance
Average mobile internet download speed continues to grow in Azerbaijan - Ookla
Galt & Taggart publishes overview of Georgia's economic growth
USAID selecting Turkmen business projects for co-financing
Eni Turkmenistan Ltd opens tender for supply of wellhead equipment
Azerbaijan exported most of its oil to Italy in 9M2021 - State Customs Committee
Iran ready to attract investment in renewable energy sector - minister
Azerbaijan - supporter of normalization of relations with Armenia, says FM
Azerbaijan, Slovakia eye signing agreement on economic co-op
Slovakia to supply Azerbaijan with de-mining machines in near future
Azerbaijan denies rumors about impeding exports from Iran to Russia
Iran Standards and Quality Inspection Agency releases car quality report
Iran to complete railway transit corridors - RAI
Baku Expo Center to soon open 'Rebuild Karabakh' exhibition
Joint press conference of Azerbaijani and Slovak FMs held in Baku (PHOTO/VIDEO)
VTB Bank in Georgia to back up creation of Nuclear Medicine and Diagnostic Center
Uzbekistan to produce its first electric cars
Turkey's steel export to Uzbekistan surges in value for 9M2021
Turkey shares data for cargo traffic via domestic ports from Ukraine in 8M2021
Azerbaijani, Slovak FMs holding expanded meeting (PHOTO)
Turkmen state concern to buy chemical products via tender
Azerbaijan’s 'Kalbajar' tanker leaves for first voyage
Renewables’ share in global energy supply to increase to over 25%
Georgia shares data on COVID-19 cases for October 19
Iran discloses volume of exports from Parvizkhan border terminal
PwC announces new strategy: The New Equation
India’s active Covid cases fall below 200k for the first time in seven months
Russia’s investments in US government securities in August remain at July level
Death accident takes place during construction of road in Azerbaijan's Kalbajar
Quake off Greece's Karpathos shakes eastern Mediterranean
Renewable Energy Agency talks on projects in Azerbaijan’s liberated lands
Israel's El Al Airlines starts talks to buy smaller rival Arkia
NEQSOL Holding ​comments on its intent to purchase shares in Ukraine’s largest cement producer
Azerbaijani president receives Slovak FM (PHOTO)
Azerbaijani president receives EU Special Representative (PHOTO/VIDEO)
Iran COVID-19 vaccinations on track - President Raisi
Iran continues to sell state-owned property
All news