The Russian central financial institution canceled the banking license of American Express Co’s Russian subsidiary on Tuesday after the U.S. lender’s unit filed a voluntary liquidation request.
Russian President Vladimir Putin decreed in May that American Express Bank might liquidate its Russian business, slightly over two years after the corporate had suspended all its operations in Russia in response to what the financial institution known as Russia’s “unjustified attack on the people of Ukraine.”
“The license cancellation was based on a petition submitted by American Express Bank LLC to the Bank of Russia, following a decision by the sole shareholder to liquidate the institution voluntarily,” the central financial institution said.
American Express Bank was registered by the Central Bank of the Russian Federation in December 2005. According to the central financial institution, the financial institution ranked three hundredth in Russia’s banking system when it comes to belongings.
Since mid-2022, overseas banks have required Putin’s approval to exit the market or promote stakes of their Russian business.
Russia’s company registry, SPARK, confirmed that the financial institution’s Russian unit filed a liquidation utility in early July.
American Express didn’t instantly reply to a request by Reuters for remark.
In March 2022, shortly after Moscow launched its full-scale invasion of Ukraine, which Russia known as a “special military operation,” American Express stated it had dozens of employees inside Russia. It was not instantly clear what number of employees the financial institution nonetheless has within the nation.
Source: www.dailysabah.com