OREANDA-NEWS  CB Gefest LLC from the Tver region has lost the license of the Russian Central Bank for banking operations since February 28, the regulator said.

It is noted that the credit institution ranked 336th in the country's banking system in terms of assets. Among the reasons for the decision, the Central Bank called violations of the requirements of anti-money laundering legislation, as well as laws regulating banking activities, which is why measures have been introduced against Hephaestus more than once, including restrictions on attracting depositors' funds.

The Bank of Russia pointed out that the business of the organization that lost its license had been unprofitable for a long time, a significant share of the corporate loan portfolio in Hephaestus, 60 percent of which were subprime loans, accounted for legal entities directly or indirectly related to its beneficiaries, against which transactions were made that ensured formal compliance with capital requirements.

From the date of revocation of the license, CB Gefest LLC has appointed a temporary administration of the Bank of Russia, which will work until the appointment of a bankruptcy trustee or liquidator. The relevant functions were assigned to the state corporation "Deposit Insurance Agency".

Last week, for the first time in a long time, the Central Bank revoked the license for banking operations, depriving it of Kiwi Bank. The regulator actively took licenses from banks in the second half of the 2010s, but did so only twice in 2022, and not once last year.