The Executive Board of the National Bank of Moldova decided to impose penalties on the former managers of Banca Sociala. Thus, these are to pay a fine equal to ten average salaries in the financial sector into the state budget, IPN reports.
According to a press release of the central bank, it was established that the bank’s administration violated the Law on Financial Institutions and the regulations of the National Bank of Moldova. The violations include mainly the classification and inappropriate assessment of the released loans, involvement in manipulation activities, non-compliance with the limits and requirements on risk concentration, involvement in risky and doubtful operations, non-compliance with the requirements on compilation of financial statements and of reports for prudential purposes, submission to the National Bank of reports containing erroneous prudential data.
The given penalty does not exclude the possibility of imposing other penalties in accordance with the law.
The National Bank considers that the maximum amount of the fine stipulated by the legislation is not exactly proportional to the seriousness of the committed infringements and the damage caused to Banca Sociala. Therefore, it set the objective of promoting changes in the legislation to tighten the penalties applied to bank managers. The National Bank of Moldova continues to carry out violation identification and assessment measures at Banca Sociala, Banca de Economii and Unibank, which are under liquidation.
