Central Bank penalizes eight banks for compliance and consumer protection violations

The committee reviewed 28 matters concerning registration and licensing. These included:

• Registration of amendments to the charters of five credit institutions.
• Registration of two newly established microfinance institutions.
• Issuance of permits for ownership of shares in the authorized capital of three credit institutions.
• Granting of auditor qualification certificates for conducting bank audits in three cases.
• Issuance of one license for microfinance banking activities.
• Evaluation of 14 nominations for supervisory board members, management board members, and key personnel of commercial banks.

The committee also addressed 15 issues related to the financial health and regulatory compliance of credit institutions. Key discussions focused on:

• Adherence to the Central Bank’s prudential standards and directives.
• Outcomes of inspections conducted at commercial banks and microfinance institutions.
• Measures to strengthen consumer protections in banking services.
• Efforts to combat money laundering, terrorist financing, and the financing of weapons of mass destruction.

Following comprehensive inspections, the Central Bank issued warnings to seven banks and thirteen payment organizations for non-compliance with prudential regulations, failure to align operations with legal requirements, and deficiencies identified during reviews. Additionally, eight banks faced financial penalties for violations related to anti-money laundering, counter-terrorism financing, and counter-proliferation financing regulations, as well as breaches of consumer protection laws in banking services.