Speaking at a press conference Tuesday, Tosunyan said that the revocation of a banking license is a harsh penalty, but it has to be applied against a bank that puts its depositors at risk. In some cases, however, the removal of top management found guilty of breaching the law may be enough. It is impossible to revoke a bank's license each time its management act in violation of the law, he explained.
But the Central Bank's response to violations on the part of Sodbiznesbank's management was adequate and cautious, Tosunyan said. The Central Bank repeatedly warned Sodbiznesbank, but its owners paid no attention, he said. Incidentally, the CB does not yet know the real owners of this private bank, he added.
Russia's banking community are unanimous in that the Central Bank must get tough on Sodbiznesbank and not drag its feet in dealing with the abuser, Tosunyan said. The Russian Banks Association leader indicated, however, that the CB-appointed caretaker management's entry onto Sodbiznesbank's grounds should be "velvet" rather than violent, referring to the fact that the old executives are denying the interim management access to the bank's database.
Sodbiznesbank had its banking license revoked on May 13, 2004, for failure to comply with Russia's federal law on money laundering.
Once the Supreme Arbitration Court hands down a decision on the Sodbiznesbank case, the process of returning deposits to the bank's clientele will get underway. This is likely to happen in a few months' time.
