The European Central Bank (ECB) has today withdrawn Nemea Bank’s licence. This is in accordance with the request in January from Malta Financial Services Authority (MFSA).
Nemea was put under administration in April last year, after regulatory shortcomings was discovered after an inspection.
We had recommended Nemea Bank in the past for their high interest rate on term deposits in euros.
The bank is a member of the Maltese Depositor Compensation Scheme, so deposits of up to €100,000 per client is protected. Nemea asked their clients in mid February to provide an alternative bank account held with a third party bank. This account will be used to deposit what is owed through the compensation scheme.
Withdrawal of deposits remain frozen for the time being. MFSA will make further announcements “in due course”, according to Times of Malta.
Update, April 7, 2017:
At least some clients have today received their deposit from the Maltese Depositor Compensation Scheme. See screenshot:
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