You're reading: Deposit Guarantee Fund challenges ban to pay credits of bank Mykhailivsky

The Individuals' Deposit Guarantee Fund has sent a claim to the district administrative court of Kyiv asking not to apply measures to secure a claim within which bank Mykhailivsky (Kyiv) is banned from accepting payments under credit agreements with Financial Company Pleyada LLC, the fund said on its website on June 9.

The fund said on May 30 it declared void a factoring agreement signed by bank Mykhailivsky and Pleyada on May 19 to assign claims to credit agreements worth Hr 6 82.3 million.

Early June 2016 the National Bank of Ukraine (NBU) informed law enforcement agencies about possible criminal activities undertaken by the heads of bank Mykhailivsky, who before the introduction of temporary administration at the bank reassigned claims to the bank’s loans at a low price.

The NBU declared the bank insolvent on May 23.