concorde-co-founders-olena-and-yulia-sosiedko-proved-in-court-that-the-nbu-had-illegally-liquidated-their-bank

Concorde co-founders Olena and Yulia Sosiedko proved in court that the NBU had illegally liquidated their bank

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The co-founders of Concord Bank, Olena and Yulia Sosiedka, have received court rulings that declared the revocation of the bank's license and liquidation of the financial institution illegal. This is stated in a video posted by Olena Sosiedka, UNN reports.

"Olena and Yulia Sosiedko filed statements about the criminal actions of officials, which have already become the subject of criminal proceedings. They have already proved in the courts (we are talking about the first and appellate instances - ed.) that the decision to liquidate Concorde is illegal. They have the results of examinations and other court decisions proving that there were no violations of the bank, and there are no criminal proceedings against them," says in the videoposted on Olena Sosiedka's Facebook page.

It is noted that on August 1, 2023, the National Bank of Ukraine decided to revoke the banking license and liquidate Concorde, citing violations in the form of "miscoding". This is the incorrect coding of transactions after the legalization of gambling in Ukraine. However, Concorde has consistently met the requirements of international payment systems Mastercard and Visa and has not been fined or censured in the past two years.

"For example, two years before the NBU's decision, Concorde restricted P2P transactions via API, leaving this function only in its app. Nevertheless, sanctions were imposed only on Concorde, while other banks, which were also accused of mis-coding, were not targeted by the NBU," the video says.

Recall

Earlier it became known that Concorde's shareholders appealed the decision of the National Bank of Ukraine to withdraw the bank from the market. The Dnipropetrovs'k District Administrative Court declared unlawful and canceled the decision of the NBU to revoke the license and liquidate Concord Bank. However, Ukrainian legislation is written in such a way that the process of removing a banking institution from the market, once started, is irreversible. 

Despite the war in Ukraine, the process of removing banks from the market has not stopped. Thus, since February 24, 2022, liquidation was initiated for 8 banks. In 2023, for the first time in Ukraine, not only bankrupt banks but also profitable institutions were subject to liquidation and license revocation, including Concord Bank. As Olena Sosedka stated, at the time the regulator announced the decision to liquidate the bank, the financial institution had enough highly liquid assets to make all the necessary payments in 2-3 weeks. But the process of bank liquidation is strictly regulated by law and can generally take up to three years.

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