Information for former bank clients

To ensure the stability of Latvia’s financial sector and protecting the interests of bank’s customers and creditors, the Board of the Financial and Capital Market Commission (FCMC) on 12 December 2022 decided to suspend the provision of financial services at Baltic International Bank SE. The FCMC has recognized Baltic International Bank SE as failing or likely to fail and decided not to take resolution action of Baltic International Bank SE, which means to take no actions in order to stabilise bank activities.

The FCMC has based its decision to recognise Baltic International Bank SE as failing or likely to fail on the grounds that the bank has not been able to ensure the implementation of a viable business strategy over a sustained period. The current business strategy does not conform to the bank’s capacity and is not feasible, therefore the bank has been continuously failing to provide a profitable business model. The bank also has serious internal governance deficiencies, including the area of the prevention of money laundering and terrorism and proliferation financing. Despite the efforts of the FCMC to make improvements in these areas, the bank has not ensured compliance of its activities with the regulatory requirements governing the activities of credit institutions, as well as continues the current trend: the bank operates at a loss, is unable to restore profitability, fails to ensure an adequate internal control system and a stable future vision.

The Board of the FCMC on 13 December 2022 took a decision on the unavailability of deposits at Baltic International Bank SE in order to protect the interests of bank’s customers by preventing a bank run.

The FCMC has made a decision on the procedure for the guaranteed compensation payments to the depositors of Baltic International Bank SE starting from 22 December. Depositors can apply for the guaranteed compensation until 12.12.2027.

On 10 March 2023, the European Central Bank has taken a decision to withdraw the banking licence of Baltic International Bank SE, a less significant institution directly supervised by Latvijas Banka. The decision took effect on 11 March 2023.

By decision of the Court of Economic Affairs dated 24 March 2023, Baltic International Bank SE was recognized as the institution to be liquidated and the process of its liquidation was initiated. Olavs Cers, a sworn attorney, has been approved as the liquidator of Baltic International Bank SE.

By its judgement of 24 March 2023, the Court of Economic Affairs ruled that Baltic International Bank SE was to be liquidated, and its liquidation process was initiated.

Based on the judgement passed by the Court of Economic Affairs on 24 March 2024, Baltic International Bank SE was declared insolvent. Linda Sniega-Svilāne has been confirmed as the insolvency administrator for the insolvent Baltic International Bank SE.

The address of Baltic International Bank SE to be liquidated is Grēcinieku iela 6, Riga, LV-1050.

• Telephone number: +371 67000444
• E-mail: info@bib.eu
• Office hours for in-person document submission: Tuesdays and Thursdays from 10:00 to 12:00 and from 13:00 to 16:00

Claims by creditors and other persons, as well as other complaints against Baltic International Bank SE to be liquidated had to be submitted to the liquidator within three months from the date of publication of the announcement. After this deadline, the creditor claims submitted will be reviewed and satisfied in accordance with the procedure stipulated in Paragraph three of Section 139.³ of the Credit Institution Law.

The FCMC will ensure the guaranteed compensation payments through Latvijas Banka using the information systems of Latvijas Banka, thus enabling the depositors to receive their guaranteed compensation as quickly and easy as possible within the time limits specified by the Deposit Guarantee Law.

Guaranteed compensation disbursement arrangements for Baltic International Bank SE customers

The guaranteed compensation will be paid in a single lump-sum payment in the euro currency transferring it to an account opened in the name of Baltic International Bank SE depositor in another credit institution or financial institution operating in Single Euro Payments Area (SEPA).

Baltic International Bank SE customers who have access to online banking

Baltic International Bank SE customers – depositors may claim the guaranteed compensation to which they are entitled through online banking system of Baltic International Bank SE and by submitting an application for guaranteed compensation.

Baltic International Bank SE customers who do not have access to online banking

The bank’s customers – depositors who do not have access to Baltic International Bank SE online banking may claim guaranteed compensation in any of three ways:

• to visit Baltic International Bank Se in person during its working hours at the bank’s premises: Grēcinieku iela 6, Riga.
• to submit an electronically signed claim to Baltic International Bank SE; e-mail address: info@bib.eu;
• to send certified (notarial) claim by post to Baltic International Bank SE address: Grēcinieku iela 6, Riga, LV- 1050.

Baltic International Bank SE customers – minors

The legal representative of the minor submits the guaranteed compensation claim at the premises of Latvijas Banka during working time.

Address:Cashier’s Offices of Latvijas Banka at Bezdelīgu iela 3, Riga. Information on working time of Cashier’s Offices available at: https://www.bank.lv/en/about-us/contacts/cashier-s-office.

According to the application of the legal representative of the minor depositor or the person who opened the account for the minor depositor, guaranteed compensation payment will be transferred to the account indicated in the application, opened in the minor’s name in any other deposit taker with the conditions for the use of existing funds similar to those laid down by Baltic International SE.

The FCMC will immediately notify the legal representative of the minor depositor regarding the transfer of the guaranteed compensation (deposit) to the account of the minor.

The Latvian Deposit Guarantee Scheme provides for guaranteed compensation up to EUR 100 000 for each eligible customer. It shall be paid to both natural and legal persons for all types of deposits in any currency. The guaranteed compensation applies to the deposits of bank’s customers, as well as deposit interest accrued until the date of occurrence of the unavailability of deposits.

In accordance with Section 22 (1) of the Deposit Guarantee Law, the FCMC has imposed an obligation on Baltic International Bank SE to cover the claim in the amount of compensation according to the calculation by the FCMC.

On 1 April 2025, Latvijas Banka took over the disbursement of the guaranteed compensation to the depositors of the insolvent AS PNB Banka. On 17 March 2025, the Council of Latvijas Banka adopted its decision on this matter by issuing Decision No 502/6 "Disbursement of the Guaranteed Compensation to the Depositors of the Insolvent AS PNB Banka".

As of 1 April 2025, the guaranteed compensation will be disbursed from the deposit guarantee fund in a single lump sum, with Latvijas Banka acting as a mediator, by means of a transfer to an account opened in the depositor's name with another credit or financial institution operating within the Single Euro Payments Area (SEPA).

The depositor may submit an application for the disbursement of the guaranteed compensation using one of the following methods:

1. to a credit institution registered in Latvia or to a Latvian branch of a credit institution registered in a Member State, where the depositor of the insolvent AS PNB Banka has opened an account;

2. to a payment institution licensed in Latvia, or an electronic money institution, or a branch of a payment institution or an electronic money institution licensed in a Member State and operating in Latvia, where the depositor of the insolvent AS PNB Banka has opened an account. This applies only if the respective institutions are capable of providing a credit transfer to the depositor and ensuring compliance with the requirements established in Latvijas Banka's Regulation No 329 "Regulation on Applications for the Disbursement of the Guaranteed Compensation Submitted to a Credit Institution Registered in Latvia and a Latvian Branch of a Credit Institution Registered in a Member State" of 21 October 2024";

3. to Latvijas Banka in one of the following ways:

• to the Cashier's Office at Bezdelīgu iela 3, Riga;
• electronically by signing the application with a secure electronic signature and sending it to Latvijas Banka's e-mail address info@bank.lv or to the official e-address on the Latvija.gov.lv portal;
• or by sending a notarised and duly apostilled or certified application by post to the address of Latvijas Banka – K. Valdemāra iela 2A, Riga, LV-1050.

Application form for depositors to be submitted to Latvijas Banka

Additional information on the documents required to receive the guaranteed compensation at Latvijas Banka

The application for the disbursement of the guaranteed compensation submitted by a natural person to the Cashier's Office of Latvijas Banka must include a copy of the personal identification document.

The application for the disbursement of the guaranteed compensation submitted by a natural person to Latvijas Banka representing a depositor of the insolvent AS PNB Banka must include an additional document certifying their representation, along with a copy of the personal identification document. No personal identification document is required when submitting an application that is signed with a secure electronic signature.

Before submitting the application for the disbursement of the guaranteed compensation to Latvijas Banka, the authorised representative of a depositor (a legal person) must first contact the insolvent AS PNB Banka and submit the current representation documents to the insolvent AS PNB Banka to identify the person authorised to represent the depositor. The guaranteed compensation will be disbursed to the depositor (a legal person) only after the updated list of persons authorised to represent the depositor has been received from the insolvent AS PNB Banka.

When submitting an application for the disbursement of the guaranteed compensation to Latvijas Banka, the authorised representative of a depositor (a legal person, resident) must attach a copy of the personal identification document and a document certifying its right to represent a legal person.

When submitting an application for the disbursement of the guaranteed compensation to Latvijas Banka, the authorised representative of a depositor (a legal person, non-resident) must attach a document certifying its right to represent a legal person (e.g. a decision on the appointment of a director and/or a notarised power of attorney), the statutes or an establishment contract, and a document certifying the legal person's active status (e.g. a certificate from the relevant country's Commercial Register office), and a copy of the personal identification document. Latvijas Banka may, if necessary, request additional information or documents regarding the representation and active status of a legal person.

If the application for the disbursement of the guaranteed compensation is submitted by an heir, it must be submitted exclusively to Latvijas Banka, accompanied by information about the natural person's right to the inheritance (a copy of the inheritance certificate or a final court judgement, along with a copy of the natural person's identification document).

As previously announced, on 15 August 2019, the European Central Bank (ECB) as the direct supervisor of AS PNB Banka recognised it as failing or likely to fail. Whereas the European Single Resolution Board (SRB) decided not to initiate the resolution of AS PNB Banka, meaning that no actions will be taken to stabilise the bank's operations. Having regard to the above and with a view to protecting the deposits of the bank's customers, the Board of the Financial and Capital Market Commission (FCMC) decided to suspend the provision of financial services to AS PNB Banka and declared the unavailability of deposits.

The FCMC made a decision on the procedure for the disbursement of the guaranteed compensation to the customers of AS PNB Banka from 22 August 2019, entrusting the disbursement of the guaranteed compensation to AS Citadele banka. Thus, the disbursement of the guaranteed compensation to the customers of AS PNB Banka began on the fifth business day following the occurrence of unavailability of deposits, as established in the FCMC's decision of 15 August 2019.

In accordance with the provisions of Section 3, Paragraph four of the Deposit Guarantee Law, depositors of the insolvent AS PNB Banka, who were eligible for the guaranteed compensation but failed to receive it, lost their right to receive the guaranteed compensation as of 16 August 2024.

Depositors of the insolvent AS PNB Banka who had restrictions imposed by a sworn bailiff or the State Revenue Service on receiving the guaranteed compensation by 15 August 2024 (such as the suspension of payment transactions or the temporary freezing of funds in their accounts) remain eligible for the guaranteed compensation, which will be available within five years starting from 16 August 2024.

Meanwhile, the depositors for whom the disbursement of the guaranteed compensation has been deferred pursuant to Section 27, Paragraph one of the Deposit Guarantee Law, will have an opportunity to receive it within five years after the circumstances underpinning the deferral of the guaranteed compensation cease to exist.

AS Citadele banka ensured the disbursement of the guaranteed compensation to depositors of the insolvent AS PNB Banka until 31 March 2025.

Applications related to the recognition of a person as a depositor entitled to the guaranteed compensation, as well as those concerning the amount and disbursement deadlines of the guaranteed compensation, or the applications related to a person's right to receive the guaranteed compensation, are reviewed by Latvijas Banka (K. Valdemāra iela 2A, Riga, LV-1050) as the successor of the property, financial assets, rights, and obligations of the Financial and Capital Market Commission.

Previous notifications

• Depositors of the insolvent AS PNB Banka are requested to receive the guaranteed compensation by 15 August 2024
• Announcement concerning declaration of insolvency proceedings of AS PNB Banka and submission of creditor claims or other demands
• State-guaranteed compensations are paid to the customers of AS PNB Banka only at the branches of Citadele banka
• Decision of the European Single Resolution Board on AS PNB Banka
• Decision of the European Central Bank on AS PNB Banka 

Contact information

For information on the procedure for the disbursement of the guaranteed compensation and other related details, please contact Latvijas Banka by telephone: +371 67022300, +371 67022883, +371 67022882 or by e-mail: info@bank.lv.

Questions on the filing of creditors' claims: +371 67041112 (more information is available on the website of PNB Banka.)

Publication in Latvijas Vēstnesis, the official gazette of the Republic of Latvia

Information for the depositors of the insolvent AS PNB Banka was published in Latvijas Vēstnesis, the official gazette of the Republic of Latvia, on 21 March 2025^[1].

^[1] https://www.vestnesis.lv/op/2025/57.DA17

On 1 April 2025, Latvijas Banka took over the disbursement of the guaranteed compensation to the depositors of ABLV Bank, AS in liquidation. The Council of Latvijas Banka established this on 17 March 2025 through Decision No 502/7 "Disbursement of the Guaranteed Compensation to the Depositors of ABLV Bank, AS in Liquidation".

As of 1 April 2025, the guaranteed compensation will be disbursed from the deposit guarantee fund in a single lump sum, with Latvijas Banka acting as a mediator, by means of a transfer to an account opened in the depositor's name with another credit or financial institution operating within the Single Euro Payments Area (SEPA).

Applications for the disbursement of the guaranteed compensation may be submitted in one of the following ways:

1. to a credit institution registered in Latvia or to a Latvian branch of a credit institution registered in a Member State, where the depositor of ABLV Bank, AS in liquidation has opened an account;

2. to a payment institution licensed in Latvia or an electronic money institution, or a branch of a payment institution or an electronic money institution licensed in a Member State and operating in Latvia, where the depositor of ABLV Bank, AS in liquidation has opened an account. This applies only if the respective institutions are capable of providing a credit transfer to the depositor and ensuring compliance with the requirements established in Latvijas Banka's Regulation No 329 "Regulation on Applications for the Disbursement of the Guaranteed Compensation Submitted to a Credit Institution Registered in Latvia and a Latvian Branch of a Credit Institution Registered in a Member State" of 21 October 2024;

3. to Latvijas Banka in one of the following ways:

• to the Cashier's Office at Bezdelīgu iela 3, Riga;
• electronically by signing the application with a secure electronic signature and sending it to Latvijas Banka's e-mail address info@bank.lv or to the official e-address on the Latvija.gov.lv portal;
• or by sending a notarised and duly apostilled or certified application by post to the address of Latvijas Banka – K. Valdemāra iela 2A, Riga, LV-1050.

Application form for depositors to be submitted to Latvijas Banka

Additional information on the documents required to receive the guaranteed compensation at Latvijas Banka

The application for the disbursement of the guaranteed compensation submitted by a natural person to the Cashier's Office of Latvijas Banka must include a copy of the personal identification document.

The application for the disbursement of the guaranteed compensation submitted by a natural person to Latvijas Banka representing a depositor of ABLV Bank, AS in liquidation (authorised representative) must include an additional document certifying their representation, along with a copy of the personal identification document. No personal identification document is required when submitting an application that is signed with a secure electronic signature.

Before submitting the application for the disbursement of the guaranteed compensation to Latvijas Banka, the authorised representative of a depositor (a legal person) must first contact ABLV Bank, AS in liquidation and submit the current representation documents to ABLV Bank, AS in liquidation in order to identify the person authorised to represent the depositor. The guaranteed compensation will be disbursed to the depositor (a legal person) only after ABLV Bank, AS in liquidation submits the updated list of the persons authorised to represent the depositor.

When submitting an application for the disbursement of the guaranteed compensation to Latvijas Banka, the authorised representative of a depositor (a legal person, resident) must attach a copy of the personal identification document and a document certifying its right to represent a legal person.

When submitting an application for the disbursement of the guaranteed compensation to Latvijas Banka, the authorised representative of a depositor (a legal person, non-resident) must attach a document certifying its right to represent a legal person (e.g. a decision on the appointment of a director and/or a notarised power of attorney), the statutes or an establishment contract, and a document certifying the legal person's active status (e.g. a certificate from the relevant country's Commercial Register office), and a copy of the personal identification document.

Latvijas Banka may, if necessary, request additional information or documents regarding the representation and active status of a legal person.

If the application for the disbursement of the guaranteed compensation is submitted by an heir, it must be submitted exclusively to Latvijas Banka, accompanied by information on the natural person's rights to the inheritance (a copy of the inheritance certificate or a final court judgement, along with a copy of the natural person's identification document).

Pursuant to Section 3, Paragraph four of the Deposit Guarantee Law, the depositors of ABLV Bank in liquidation, who were eligible for the guaranteed compensation but failed to apply for it by 23 February 2023 and did not receive it, lost their right of action against the deposit guarantee fund for the disbursement of the guaranteed compensation on 24 February 2023.

For the depositors, for whom the disbursement of the guaranteed compensation pursuant to Section 27, Paragraph one of the Deposit Guarantee Law has been deferred, it will be available for five years from the moment the circumstances underpinning the deferral of the disbursement of the guaranteed compensation cease to exist.

In addition, we would like to inform the persons concerned that in compliance with Section 19, Paragraph seven of the Deposit Guarantee Law, the restrictions imposed by sworn bailiffs and tax (fees) administration on the disbursement of the guaranteed compensation in relation to a possible recovery of funds expired on 24 February 2023 (pursuant to the version of the law in force at that time). Thus, these depositors are entitled to apply for the guaranteed compensation for the next five years as of 24 February 2023.

AS Citadele banka ensured the disbursement of the guaranteed compensation to depositors of ABLV Bank, AS in liquidation until 31 March 2025.

Applications related to the recognition of a person as a depositor entitled to the guaranteed compensation, as well as those concerning the amount and disbursement deadlines of the guaranteed compensation, or the applications related to a person's right to receive the guaranteed compensation, are reviewed by Latvijas Banka (K. Valdemāra iela 2A, Rīga, LV-1050) as the successor of the property, financial assets, rights, and obligations of the Financial and Capital Market Commission.

Information previously published by the Financial and Capital Market Commission.

For information on the procedure for the disbursement of the guaranteed compensation and other related details, please contact Latvijas Banka by telephone: +371 67022300, +371 67022883, +371 67022882 or by e-mail: info@bank.lv.

Contact information for the customers of ABLV Bank, AS in liquidation

ABLV telephone for contacts: +371 67775555

ABLV e-mail: info@ablv.com

For questions about lodging creditor claims, see information on the website of ABLV Bank, AS in liquidation.

Publication in Latvijas Vēstnesis, the official gazette of the Republic of Latvia

Information for the depositors of ABLV Bank, AS in liquidation was published in Latvijas Vēstnesis, the official gazette of the Republic of Latvia, on 21 March 2025^[1].

^[1] https://www.vestnesis.lv/op/2025/57.DA17

At its meeting on 4 March 2016, the Board of the Financial and Capital Market Commission established the unavailability of deposits at AS "Trasta komercbanka" as based on the decision of the European Central Bank its banking licence was revoked on 3 March 2016.

Pursuant to Section 3, Paragraph four of the Deposit Guarantee Law, the depositors of AS "Trasta komercbanka" who are eligible for the guaranteed compensation but who have failed to apply for it by 3 March 2023 have lost their right of claim against the Deposit Guarantee Fund of Latvia concerning the disbursement of the guaranteed compensation on 4 March 2023.

In accordance with Section 19, Paragraph five of the Deposit Guarantee Law, if, within five years from the day the deposits become unavailable, a sworn bailiff or tax administration (the State Revenue Service) has not applied recovery of financial means of a depositor, the restrictions imposed by the sworn bailiff or tax administration on the disbursement of the guaranteed compensation shall terminate. Therefore, depositors of AS "Trasta komercbanka", who had restrictions imposed by the State Revenue Service or a sworn bailiff for receiving the guaranteed compensation until 3 March 2021 (e. g., any payment transactions suspended or funds in the account temporarily frozen), will be eligible for the guaranteed compensation, which will be available within five years, i.e. until 3 March 2026.

More information on the procedure for payment of guaranteed compensations is available by contacting Latvijas Banka by telephone.

Latvijas Banka phones for contacts: +371 67022882, +371 67022883

Latvijas Banka e-mail: info@bank.lv

Liquidator of the bank: certified administrator of insolvency proceedings Armands Rasa
Address: Kr. Valdemāra iela 33 -35, Riga, LV-1010
Phone: +371 67280685
Fax: +371 67280603
E-mail: tkb@readvokati.lv

Informative telephone of LAS "Trasta komercbanka": +371 67027777.

On 1 April 2025, Latvijas Banka took over the disbursement of the guaranteed compensation to the depositors of the insolvent AS Latvijas Krājbanka. On 17 March 2025, the Council of Latvijas Banka issued its decision on this matter through the adoption of Decision No 502/5 "Disbursement of the Guaranteed Compensation to the Depositors of the Insolvent AS Latvijas Krājbanka".

As of 1 April 2025, the guaranteed compensation will be disbursed from the deposit guarantee fund in a single lump sum, with Latvijas Banka acting as a mediator, by means of a transfer to an account opened in the depositor's name with another credit or financial institution operating within the Single Euro Payments Area (SEPA).

Information for minor depositors of the insolvent AS Latvijas Krājbanka regarding the timeline for disbursing guaranteed compensation

In light of the amendments to the Deposit Guarantee Law of 27 May 2021, and as stipulated in Paragraph 15 of the Transitional Provisions, depositors who, on 14 June 2014, were entitled to receive the guaranteed compensation due to the imposition of deposit unavailability at the deposit-taking institution (the insolvent AS Latvijas Krājbanka), but were unable to do so due to their minor status, will lose their right of action against the deposit guarantee fund for the disbursement of the guaranteed compensation on 31 December 2029.

Applications for the disbursement of the guaranteed compensation may be submitted in one of the following ways:

1. to a credit institution registered in Latvia or to a Latvian branch of a credit institution registered in a Member State, where the depositor of the insolvent AS Latvijas Krājbanka has opened an account;

2. to a payment institution licensed in Latvia, or an electronic money institution, or a branch of a payment institution, or an electronic money institution licensed in a Member State and operating in Latvia, where the depositor of the insolvent AS Latvijas Krājbanka has opened an account. This applies only if the respective institutions are capable of providing a credit transfer to the depositor and ensuring compliance with the requirements established in Latvijas Banka's Regulation No 329 "Regulation on Applications for the Disbursement of the Guaranteed Compensation Submitted to a Credit Institution Registered in Latvia and a Latvian Branch of a Credit Institution Registered in a Member State" of 21 October 2024";

3. to Latvijas Banka in one of the following ways:

• to the Cashier's Office at Bezdelīgu iela 3, Riga;
• electronically by signing the application with a secure electronic signature and sending it to Latvijas Banka's e-mail address info@bank.lv or to the official e-address on the Latvija.gov.lv portal;
• or by sending a notarised and duly apostilled or certified application by post to the address of Latvijas Banka – K. Valdemāra iela 2A, Riga, LV-1050.

Application form for depositors to be submitted to Latvijas Banka

Additional information on the documents required to receive the guaranteed compensation at Latvijas Banka

The application for the disbursement of the guaranteed compensation submitted by a natural person to the Cashier's Office of Latvijas Banka must include a copy of the personal identification document.

The application for the disbursement of the guaranteed compensation submitted by a natural person to Latvijas Banka representing a depositor of the insolvent AS Latvijas Krājbanka must include an additional document certifying their representation, along with a copy of the personal identification document. No personal identification document is required when submitting an application that is signed with a secure electronic signature.

The legal representative of a minor must submit the application for the disbursement of the guaranteed compensation exclusively to Latvijas Banka. The guaranteed compensation is disbursed to an account opened in the name of a minor at a different deposit-taking institution, where the conditions governing the use of the funds are similar to those specified in the agreement concluded with insolvent AS Latvijas Krājbanka. The application for the disbursement of the guaranteed compensation must include a copy of the agreement previously entered into with the deposit taker concerning the minor's deposit and a copy of the newly concluded agreement with the same deposit taker.

If the application for the disbursement of the guaranteed compensation is submitted by an heir, it must be submitted exclusively to Latvijas Banka, accompanied by information on the natural person's rights to the inheritance (a copy of the inheritance certificate or a final court judgement, along with a copy of the natural person's identification document).

It was previously communicated that, pursuant to the adopted amendments to the Deposit Guarantee Law, which came into effect on 14 June 2014 (in accordance with the version of the law in force at that time), and as outlined in Section 3 thereof, depositors were entitled to receive the guaranteed compensation within five years since the date when the deposits became unavailable at the credit institution. Since the aforementioned provision does not have retroactive effect, the deadline for receiving the guaranteed compensation was established based on the date the relevant amendments came into force, ensuring the protection of depositors' interests.

Pursuant to the provisions of Section 3, Paragraph four of the Deposit Guarantee Law, as of 13 June 2019, depositors of the insolvent AS Latvijas Krājbanka who were entitled to the guaranteed compensation but failed to claim it, lost their right to receive the guaranteed compensation.

Pursuant to the provisions of Section 19, Paragraph five of the Deposit Guarantee Law, if, within five years from the date when the deposits become unavailable, neither a sworn bailiff nor the tax (fee) administration (the State Revenue Service) has applied recovery of financial means of the depositor, the restrictions previously imposed by the sworn bailiff or the tax (fee) administration on the disbursement of the guaranteed compensation expire. Consequently, for depositors of the insolvent AS Latvijas Krājbanka who had restrictions imposed by the State Revenue Service or a sworn bailiff on the receipt of the guaranteed compensation until 13 June 2019 (such as the suspension of transaction operations or the temporary freezing of funds in their accounts), the guaranteed compensation became accessible starting from 13 June 2019. These depositors could claim the compensation within a five-year period, specifically until 12 June 2024.

Contact information of the insolvent AS Latvijas Krājbanka

In the event of any uncertainty, former customers and creditors of the bank are encouraged to reach out to the administrator of the insolvent AS Latvijas Krājbanka, KPMG Baltics, for further clarification via:

• telephone: +371 67104050,
• e-mail: kpmg@lkb.lv.

Publication in Latvijas Vēstnesis, the official gazette of the Republic of Latvia

Information for the depositors of the insolvent AS Latvijas Krājbanka was published in Latvijas Vēstnesis, the official gazette of the Republic of Latvia, on 21 March 2025^[1].

^[1] https://www.vestnesis.lv/op/2025/57.DA17

This explanation is intended for customers of liquidated banks who have previously received and repaid a bank loan, but whose real estate or movable property subject to registration, such as a car, has remained encumbered with a mortgage, pledge, or prohibition on alienation (hereinafter collectively referred to as "encumbrance") in favour of the liquidated credit institution.

Latvijas Banka draws attention to the fact that, in case a credit institution has been liquidated and no longer exists, there is no person available to provide the credit institution's consent to discharging the encumbrance and removing it from the Land Register or any other public register. Furthermore, a liquidated credit institution has no successor to its rights and obligations or representative authorised to take any actions to discharge encumbrance on its behalf.

What steps should a customer of a liquidated credit institution take?

A customer of a liquidated credit institution should seek relief through a general jurisdiction court to discharge such encumbrance. The person – the owner (or their heirs) of the encumbered real estate or movable property – has to personally take the case to the general jurisdiction court as outlined in Chapter 38 of the Civil Procedure Law and submit an application for summoning procedures regarding extinguishing of rights.

The aforementioned Chapter of the Civil Procedure Law stipulates the procedure for extinguishing rights through summoning procedures. This enables the court, based on the person's application and accompanying evidence, to establish that the person in whose favour the encumbrance has been imposed no longer exists. If no person claims their rights or raises objections within the specified period outlined in the summons, the court can decide on whether the request to discharge the encumbrance is well-founded.

Latvijas Banka points out that there is no basis for recognising Latvijas Banka as an interested party in such legal proceedings. When deciding on whether the person's obligations vis-à-vis the liquidated credit institution have been fulfilled, the legal interests safeguarded by Latvijas Banka in the execution of its statutory tasks remain unaffected. In such cases, Latvijas Banka has neither direct material nor any other legal interests that would justify its recognition as an interested party.

Credit Register data

In addition to the documents held by the person and proving the repayment of the issued loan, the Credit Register data can serve as additional evidence demonstrating the fulfilment of obligations to the court. At the same time, we would like to emphasise that, in accordance with Section 6 of the Law on the Credit Register, the data entered in the Credit Register are of informative nature, and they do not prove the existence or non-existence of obligations of customers and their guarantors, or their violations. Therefore, the use of the Credit Register data as evidence has limitations.

This explanatory material has been prepared by Latvijas Banka. Latvijas Banka does not provide legal advice on civil matters.

To obtain further and more precise information and to find solutions tailored to each specific situation, we advise seeking legal aid from legal practitioners or sworn lawyers specialising in civil justice.