The Individuals' Deposit Guarantee Fund on Oct. 28 started paying the guaranteed sum of compensation to depositors of insolvent Terra Bank via the department chain of Ukrinbank (all based in Kyiv), reads a press release of Ukrinbank.
According to the report, the payments will be settled until Nov. 22 – the period when the temporary administration at Terra Bank is working.
Payments will be settled in the size of deposits, including deposit rates accrued as of the day of the start of the liquidation procedure for the bank, but no more than Hr 200,000.
Some Hr 441 million has been sent to Ukrinbank by the Guarantee Fund.
The Individuals’ Deposit Guarantee Fund introduced a temporary administration at Terra Bank for three months from Aug. 22 to Nov. 22, 2014.
Terra Bank was founded in 1996.
The key beneficiary of the financial institution was Serhiy Klymenko. Klymenko is associated with a group consisting of about 50 companies in various industries. Among other things, he is the beneficiary of the Volodar credit union, member of the VVS-Factoring LLC company and the Toloka financial company. In addition, he is related to the company for trading in securities Agency of Corporate Investment.
According to the National Bank of Ukraine, on July 1, 2014 by total assets Terra Bank ranked 42nd (Hr 4.397 billion) among the 173 banks operating in the country.
