Explanations as to the NBU impact measures imposed on Pivdenny Bank in May 2024

The Bank highly appreciates the regulator’s supervisory function and recognises the importance of constant improvement of the anti-money laundering and combating the financing of terrorism system.

The National Bank of Ukraine fined Pivdenny Bank for 11.05 mln UAH for improper application of enhanced due diligence checks of high-risk clients (two banks subject to primary financial monitoring), incomplete and untimely submission of data and documents requested by the NBU as well as mistakes in risk detection during checks of the same clients. 

Pivdenny Bank has cooperated with the NBU and reflected on the recommendations provided and implemented a set of measures aimed at increasing efficiency of its financial monitoring procedures. In particular, we have reviewed the approaches to interaction with and activities control of other subjects of primary financial monitoring (banks): we have completed an in-depth analysis of their compliance with the requirements of legislation on anti-money laundering and combating the financing of terrorism.

It should be noted that by virtue of the resolution of the Financial Monitoring Committee, Pivdenny Bank stopped providing services to one of the said banks in September 2023 and to the other – in early 2024 on its own and prior to commencement of the regulator’s supervisory activities, thus acting proactively with due regard to our own risk assessment procedures and principles of responsible business conduct.

Furthermore, the Bank has paid the full fine according to the NBU’s resolution on implementation of impact measures based on financial monitoring check results.

To learn more about the NBU’s impact measures, click the link.

Pivdenny Bank shall continue acting on the principles of transparency, responsibility and complete compliance with the requirements of the Ukrainian laws and regulations of the National Bank of Ukraine.

The Bank remains a reliable financial partner for its clients and continues to perfect all the financial monitoring and risk management processes on a systemic level.