Unibank to compensate United Credit Bank depositors in Azerbaijan (UPDATE)

Economy Materials 8 February 2016 15:45 (UTC +04:00)

Details added (first version posted on 12:22)

Baku, Azerbaijan, Feb. 8

By Anvar Mammadov - Trend:

The Azerbaijan Deposit Insurance Fund (ADIF) will start to issue compensation payments to depositors of United Credit Bank since Feb. 9, head of the fund Azad Javadov told reporters Feb. 8.

The Central Bank of Azerbaijan (CBA) revoked the license of United Credit Bank Jan. 25, 2016.

This decision was made because the total capital of the bank didn't correspond to the CBA minimum requirement of 50 million manats.

The official exchange rate on Feb. 8 is 1.5819 AZN/USD.

United Credit Bank was not able to fulfill its obligations to creditors and didn't manage its current activity reliably and prudentially.

Azerbaijan's Unibank has been appointed an agent bank, that is, clients of the United Credit Bank must apply to the branches of this bank to get compensation.

Azad Javadov went on to add that, according to preliminary data, the volume of deposits subject to compensation in United Credit Bank amounts to 2.72 million manats.

"We still haven't fully analyzed the data regarding the bank, since the information on many customers is incomplete," he said. "Starting from tomorrow, we will start accepting applications of depositors. I think that in the coming days, we will complete a full analysis of customer accounts of the United Credit Bank."