Financial Markets Supervision House Closes Four Branches of Nikoil

The Financial Markets Supervision House decided to close four branches of Nikoil Bank. The reason for the closure was a violation of the ‘rules of healthy lending and law in cash transactions, as well as the distortion of accounting.’

‘In addition, the audit revealed that the cash balance was not included in the balance information. It was found that in the presence of foreign currency the branches did not sell it,’ the statement says.

Nor were respected principles of healthy crediting and the income was unbalanced as well as the monthly debt burden for borrowers.

In addition, the FMSH regulations dated April 5 were violated on a one-month ban for issuing foreign currency consumer loans.

Commenting the case for Turan, the Director of Marketing Department of Bank Nikoil, Rashad Jumshudov, said all the decisions of the House will be executed immediately.

‘We planned to optimize costs, which meant the closure and consolidation of certain subsidiaries. This will let finish the fiscal year with a positive balance,’ he said.

Jumshudov added that the bank will issue a press release, which will inform customers of the closed branches and where they should apply.

‘The bank continues to operate, and there is no reason to panic. We are working to overcome the crisis,’ he said. -71D-