BAKU, Azerbaijan, September
22. The Central Bank of Azerbaijan (CBA) has
issued a mandatory directive to Rabitabank OJSC, while an official
from Bank of Baku OJSC has been fined 10,000 manat ($5,882).
This was reflected in a statement by the CBA.
According to the statement, Rabitabank OJSC failed to comply
with the requirements of Clause 3.20 of the "Rules on conducting
cash operations and the storage and collection of cash and other
valuables at credit organizations, payment institutions, and
electronic money institutions."
In this regard, and in accordance with Article 47.4 of the law
of Azerbaijan "On banks," the CBA issued a mandatory directive to
Rabitabank OJSC.
The directive requires the bank to strengthen its internal
control systems and take necessary measures to prevent a recurrence
of the issues cited.
In addition, an official from Bank of Baku OJSC has been held
administratively liable within the framework of the CBA’s ongoing
supervisory processes.
Specifically, the Narimanov District Court of Baku fined an
official of Bank of Baku OJSC 10,000 manat under Article 598.1.1 of
the Code of Administrative Offenses due to violations of
legislation regarding the prevention of the legalization of
property obtained through criminal means and the financing of
terrorism.
The CBA's statement didn’t provide further details regarding the
specific nature of the violation involving Rabitabank or the
timeframe for executing the issued directive.
Thus, measures of a different nature were taken regarding two
banks within the scope of the СBA's ongoing supervisory activities:
the directive issued to Rabitabank concerned violations of
established requirements for cash operations and the need to
strengthen internal control systems, whereas the fine imposed on
the Bank of Baku official related to violations of legislation on
combating the legalization of property obtained through criminal
means and the financing of terrorism.
