CBA Eliminated Licenses of Two Credit Unions

The Central Bank of Azerbaijan (CBA) terminated the license for limited banking to credit unions LLC Tatyan and LLC Yuzbashili-2. The announcement published today in the body of the Presidential Administration - the newspaper "Xalq Qazeti".

In support of the decision of CBA to enter into force within ten days of the publication, it is noted that, despite official warnings, these organizations regularly violated legal requirements and regulations of the Central Bank and did not take steps to address them. "Among other things, when making a decision in relation to the society" Yuzbashili-2 "we took for a basis a fact that without good reason it had not provided reports for two periods," is said in the statement.

Within 30 days after the entry into force of the CBA interested party may file a complaint with the Administrative Economic Court of the Azerbaijan Republic. The organizations' license has been withdrawn and they were instructed to create a liquidation commission and for relevant liquidation works.

In 2012, the Central Bank of Azerbaijan has revoked the licenses of six credit unions. At the same time, received permission to operate 13 new unions, and their number has reached the 104.

The law on Credit Unions was passed in 2000. By law, the minimum authorized capital of these organizations should be 4,000 manat, and the number of members - at least 11 individuals and entities. -15B-