Compensation to PrivatBank may exceed $2 bln - Pyshnyy
The amount of compensation paid by former owners Ihor Kolomoisky and Hennadiy Boholiubov to the nationalized PrivatBank (Kyiv) may exceed $2 billion, believes Andriy Pyshnyy, Governor of the National Bank of Ukraine (NBU).
"First, the court confirmed that the former owners used fraudulent schemes to withdraw funds. Secondly, compensation to the bank will most likely exceed $2 billion," Pyshnyy wrote on Facebook.
He recalled that due to the actions of Kolomoisky and Boholiubov, PrivatBank almost went bankrupt, so in 2016 the state nationalized it and recapitalized it by UAH 155 billion, and the trial lasted almost eight years.
"This is a colossal work of the bank's legal team, in which the National Bank was actively involved, and a complete focus on the result, regardless of how long it takes to defend a fair decision," Pyshnyy added.
According to the NBU chairman, this decision is significant, as it paves the way for the return of state investments in PrivatBank, confirms the possibility of a fair resolution of even complex international disputes, and proves that banks that violate the rules can become an instrument of fraud. It also strengthens trust in the banking system and is a signal to investors about the professionalism and reliability of the Ukrainian financial sector.
As previously reported, the former owners of the nationalized PrivatBank, Ihor Kolomoisky and Hennadiy Boholiubov, are jointly and severally liable to the bank for compensation for the damage caused to it; this amount should be determined at $1.912 billion minus the real value of the transferred assets, as stated in the text of the court decision published on Wednesday.
PrivatBank is the largest state-owned bank in Ukraine. Today, the bank serves over 18 million active clients, and in general, 70% of Ukrainians use its services. The bank is a leader in the retail segment and actively introduces services for small and medium-sized businesses, has an extensive network of 1,186 branches, 6,850 ATMs, almost 10,400 self-service terminals and over 308,000 POS terminals throughout the country. The PrivatBank team has over 19,000 employees.