Business · Companies · 1 hr ago
Serbia revokes licence of state-linked Alta Banka
Serbia’s central bank revoked Alta Banka’s licence after the bank’s financial position and ability to meet withdrawals worsened.
Alta was a relatively small bank, but it handled payments for electricity bills and other government services and was seen as close to the outgoing political leadership.
The move comes after the Student List won the recent parliamentary election, defeating the party linked to former president Aleksandar Vucic.
Reports of large transfers from Alta to Russia and North Macedonia circulated before the decision, but it is not clear whether money was moved to protect people close to Vucic.
The bank is now in bankruptcy proceedings, and eligible depositors can seek compensation of up to 50,000 euros under Serbia’s deposit guarantee system.
The bank’s problems come before power has formally changed hands, as further voting and official steps are still required to form a new government.
Four senior central bank officials are seeking a criminal investigation into how Alta was supervised, while the central bank chief opposes that inquiry.
Serbia’s central bank revoked Alta Banka’s licence, citing a serious deterioration in its financial condition and concerns about its liquidity.
The bank was known for handling payments for public services and was described as close to the outgoing political establishment.
The central bank said the decision was intended to protect depositors and preserve financial stability.
Bankruptcy proceedings have begun, and the bank’s management has been handed to the Deposit Insurance Agency.
Depositors in Serbia are eligible for compensation of up to 50,000 euros under the national guarantee system.
- Who
- Serbia’s National Bank revoked Alta Banka’s licence.
- What
- The bank lost its licence, and bankruptcy proceedings began.
- When
- Saturday, six days after the parliamentary election, according to BFM Business.
- Where
- Serbia. Alta Banka also has a subsidiary in North Macedonia.
- Why
- The central bank cited a sharp deterioration in the bank’s finances and a risk to its liquidity.
This story does not have two clearly opposing sides.
The student movement criticised the authorities’ decision to assign electricity-bill payments to Alta Banka.
Opposition Democratic Party leader Srdjan Milivojevic said he had filed a criminal complaint over information about a proposed 50 million euro transfer by Alta Banka.
The National Bank of Serbia revoked Alta Banka’s licence.
Bankruptcy proceedings began, and the Deposit Insurance Agency took over management of the bank.
- Licence
- Revoked by Serbia’s National Bank
- Deposit guarantee
- Up to 50,000 euros per depositor
- Election result
- Student List: 141 of 250 seats; SNS: 103, according to the latest projections
- Banking market share
- About 3%, according to BFM Business
- Proposed transfer
- 50 million euros, cited in an opposition leader’s complaint
3 sources
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What people are saying
afin de protéger les intérêts des déposants et de préserver la stabilité du système financier
La situation financière de la banque s'est considérablement dégradée ces derniers temps, et il y a eu le risque d'aggravation supplémentaire de sa situation financière ou de sa liquidité