Esidbank

History

Esidbank was opened in Makhachkala in 1992. Service of legal entities, retail lending and attraction of deposits was the main areas of work of bank. The bank had several tens of departments in Dagestan, Moscow and Penza. The branch network of bank covered the majority of the cities and areas of the Republic of Dagestan (Makhachkala, Kaspiysk, Derbent, Kizlyar, Khasavyurt, the Dagestan fires, etc.)

At the end of October, 2013 employees of the bank were involved in the case of plunder on 160 million rubles. During legal investigation the managing director of branch of bank of Gajah Adzhiyev was delayed. The investigation assumed that it together with other people lists of the acquaintances who allegedly lived in abnormal houses provided.

2014: Revocation of license

In February, 2014 Esidbank lost the right to attract deposits in rubles and dollars. The corresponding license was revoked.

In September, 2014 the Central Bank of the Russian Federation revoked the license from the Dagestan bank "Esidbank". As of September 1 the bank took the 693rd place on the value of assets among the Russian banks.

Esidbank pursued high risk credit policy, placing money in low-quality assets, the Central Bank stated. Besides, the bank allowed decrease in capital adequacy lower than 2% – the minimum value of the capital set to Central Bank. Bank also suspect of violation within one year of requirements of the law "About Counteraction of Legalization (Washing) of Income Gained in the Criminal Way and to Terrorism Financing" in Articles 6 and 7. The bank performed the operations which are subject to mandatory control, not by rules which are set in the law. Besides, it worked with identification of clients with violation of the set requirements, the Central Bank emphasizes.

The Central Bank stated that because of these problems Esidbank did not provide timely obligation fulfillment before investors and creditors. In bank the temporary administration is appointed.

Esidbank was a participant of deposit insurance system (DIA). In September, 2014 it was announced that payments to investors will begin no later than October 14.