Budapest, March 2 (MTI) – The central bank has withdrawn the operating licences of small banks held by the DRB banking group, the bank said on Monday.
The central bank’s financial stability council on Monday decided to withdraw licences for DRB Bank, ERB Bank, BRB BAnk and DDB bank, after it was revealed that the value of the banks’ assets failed to provide adequate coverage to meet clients’ claims.
The National Deposit Insurance Fund (OBA) will provide depositors up to 30 million forints of compensation within the next month, and the central bank will supply the necessary resources for this, Laszlo Windisch, the National Bank of Hungary’s deputy governor in charge of financial regulation, told MTI.
The central bank has launched an expedited investigation into the systems handling the brokerages’ books, he said.
