The Lietuvos bankas (LB) has suspended the operational license of AlphaPay and restricted access to the institution’s accounts holding customer funds. This action was taken after the regulator determined that AlphaPay failed to meet several critical regulatory requirements. According to the LB, the institution currently does not satisfy the necessary standards pertaining to its internal control systems or its information and communication technology (ICT) infrastructure.
Furthermore, the bank cited deficiencies regarding the adequate protection afforded to payment service users’ funds, as well as a failure to maintain the required minimum level of capital. In addition to these operational concerns, AlphaPay failed to submit several mandatory compliance documents. Specifically, the regulator noted the absence of audited financial statements for the preceding year, requisite audit conclusions, and the formal resolution from the general shareholders’ meeting concerning the distribution of profits or losses.
The suspension marks a significant regulatory action against the payment provider. The LB’s intervention underscores the bank’s commitment to maintaining robust standards within the financial sector, ensuring consumer protection, and ensuring the stability of funds held by such institutions. The continued adherence to stringent governance and capital adequacy standards remains a prerequisite for the institution to resume normal operations.
Topics: #payment #institution #longer
