Resolutions of the Board of the Bank of Lithuania
Rules for the Sale of Coins Dedicated to Ukraine approved
The Board of the Bank of Lithuania approved the Rules for the Sale of Coins Dedicated to Ukraine.
The Bank of Lithuania is planning to issue a €10 silver collector coin dedicated to Ukraine’s fight for freedom this year and a €2 commemorative coin “Together with Ukraine” in the first quarter of 2023. The rules set out the procedure for the sale of these coins.
One of the main objectives of the issuance of these coins is to raise funds to help Ukraine. The buyer (natural or legal person) who purchases the coin will be informed that part of the funds will be allocated for this purpose. The Bank of Lithuania will transfer most of the funds received for coins (excluding nominal value and VAT) to the National Bank of Ukraine.
More detailed information on the issuance of coins will be published soon.
Enforcement measures for Revolut companies
The Bank of Lithuania carried out an inspection of how the electronic money institution Revolut Payments, UAB handled consumer complaints and detected a breach of the Republic of Lithuania Law on Payments: not all complaints were handled in accordance with legislation, and cases of incomplete, unsubstantiated answers and non-respect of the deadlines were also identified. The institution was issued a warning.
This summer Revolut group merged Revolut Payments, UAB and Revolut Bank UAB. As the latter took over the rights and obligations of the electronic money institution, the Bank of Lithuania obliged it to ensure that all customer complaints received through the chat box in the bank’s app are registered, processed and responded to as required by law, and that customers are duly informed. Revolut Bank UAB will also have to submit to the Bank of Lithuania a conclusion regarding the compliance with requirements by external consultants.
Moreover, Revolut Payments, UAB failed to approve the annual financial statements and make a decision on the distribution of profit (loss) within the set deadlines as well as failed to submit to the Bank of Lithuania the audited annual financial statements and the conclusion of the auditor in due time. For this violation of the requirements of the Republic of Lithuania Law on Financial Institutions, Revolut Bank UAB as well as Revolut Payments, UAB, the successor of rights and obligations, was imposed a fine of €70 thousand. The infringement has already been remedied.
For a short period, Revolut Bank UAB did not meet the large exposure ratio requirement at the highest level of consolidation. This did not have significant impact on the bank’s activities and Revolut Bank UAB expeditiously eliminated the breach, therefore the Bank of Lithuania applied the mildest enforcement measure, i.e. publicly announced the breach.
Kuan Financial, UAB, payment institution licence revoked
In accordance with the Law on Financial Institutions, the Board of the Bank of Lithuania revoked the licence of the payment institution issued to Kuan Financial, UAB.
Such a decision was made in the light of the fact that the institution had not started providing financial services for a long time after the issue of the licence.
The licence is issued to the holder by granting the right to engage in a specific activity specified in the licence. In cases where a financial institution does not use a licence issued by the Bank of Lithuania within 12 months of its issue, a legal basis arises for the withdrawal of the licence issued.
Information on enforcement measures applied by the Bank of Lithuania, complaints concerning the imposed sanctions and the results of their investigations can be found here.