“ABLV Bank’s Liquidators Recovered 826k Euros in April 2023 – Full Report”

The liquidators of ABLV Bank, which is being liquidated, recovered assets in the amount of 826,000 euros in April this year, which is 44.1% more than a month earlier, when the bank’s assets were recovered in the amount of 573,000 euros, according to the bank’s public information.

Among them, 430,000 euros were recovered from the loans issued in April 2023, but from the sale of movable and other property – 396,000 euros.

Thus, in the first four months of this year, the liquidators of “ABLV Bank” recovered 17.119 million euros, but since June 12, 2018, when the bank’s self-liquidation process began, the liquidators of “ABLV Bank” have recovered a total of 1.276 billion euros, including 355.493 million were recovered in 2018 euro, in 2019 – 393.767 million euros, in 2020 – 109.797 million euros, in 2021 – 287.058 million euros, but in 2022 – 112.442 million euros.

At the same time, the liquidation expenses of “ABLV Bank” in April this year amounted to 1.297 million euros, including the wages to be paid to employees and the severance benefits to be paid, including taxes, were 945,000 euros, the compensation of the liquidators, including taxes, – 83,000 euros, the necessary expenses for the maintenance of the bank’s property and the necessary work premises during the liquidation – 77,000 euros, money and financial instruments storage expenses – 14,000 euros, while other liquidation expenses were 178,000 euros.

Thus, in the first four months of this year, the bank’s liquidation expenses amount to a total of 7.71 million euros, but since the beginning of the bank’s self-liquidation process, the liquidation expenses of “ABLV Bank” amount to a total of 180.856 million euros, including the bank’s liquidation expenses in 2018 in the amount of 21.046 million euros, in 2019 – in the amount of 36.873 million euros, in 2020 – in the amount of 36.386 million euros, in 2021 – in the amount of 43.533 million euros, but in 2022 – in the amount of 35.308 million euros.

The report also shows that on April 30, 2023, “ABLV Bank” claimed claims of creditors amounted to 1.191 billion euros, which is 2.7% less than at the end of 2022, when claimed claims of creditors amounted to 1.225 billion euros. On the other hand, the rest of the creditors’ claims amounted to 34.014 million euros.

At the end of April, “ABLV Bank” had 1.006 billion euros in cash and claims against central banks, the bank’s claims against credit institutions were 161.871 million euros, the bank had issued 31.644 million euros in loans, investments in financial instruments were 15.794 million euros, investments in the share capital of related and associated companies amounted to 140.293 million euros, while long-term investments held for sale amounted to 1.143 million euros.

In general, the assets of “ABLV Bank” at the end of April this year amounted to 1.419 billion euros.

On the other hand, the bank’s capital and reserves at the end of April were 180.661 million euros.

The published information also mentions that by the end of April 2023, more than 16,200 former customers of the bank have recovered their deposits, paying a total of 1.21 billion euros.

The statement also notes that work is underway with creditors whose claims totaled 1.19 billion euros at the end of April. Payments of creditors’ claims are made only if, after the inspection, no legal obstacles to the payment of such payments are found. Inspections are carried out by an international team of consultants from “Ernst & Young” hired by the bank. By the end of April, inspections were completed for 2,862 creditors (at the end of March – 2860 for creditors).

For the maximum protection of the interests of clients and creditors and taking into account the decision of the European Central Bank to start the liquidation process, the shareholders of “ABLV Bank” decided to self-liquidate at an extraordinary meeting on February 26, 2018, while the Financial and Capital Market Commission (FKTK), which since 2023 has been added to the Bank of Latvia, on June 12, 2018, the council authorized “ABLV Bank” to start the self-liquidation process. As of July 12, 2018, the European Central Bank has canceled the license issued to ABLV Bank.

ABLV Bank’s problems arose after the US Treasury Department’s Financial Crimes Enforcement Network (“FinCEN”) announced in mid-February 2018 that it planned to sanction ABLV Bank for money laundering schemes that aided North Korea’s nuclear weapons program, as well as illegal activities in Azerbaijan, Russia and Ukraine.

The report published by “FinCEN” also states that until 2017, the management of “ABLV Bank” used bribery to influence officials in Latvia, trying to prevent legal actions directed against it and to reduce threats to its high-risk activities.

“ABLV Bank” has rejected the accusations, and the Corruption Prevention and Combating Bureau (KNAB) has announced that it has not found evidence of the involvement of “ABLV Bank” management in bribery, as claimed by “FinCEN” in its report. The Financial Intelligence Service, on the other hand, admitted that it had not discovered any violations of North Korean sanctions.