SataBank Closed

[nitehawk]

Seems like SataBank was closed this morning with Ernst & Young to safeguard the assets.

 

[Nyep]

Their website shows the announcement from MFSA, and no way to access internet banking. There were many hints that this was coming for a while now. Hope everyone got their money out in time.

 

[nitehawk]

Unfortunately had quite a bit of money there. In situations like this do we usually get our money? Anyone know.

 

[Suzy Emerald]

SATA is Member of the Depositor Compensation Scheme. Look at the bottom of their website.

 

[lookingforward]

yeap, had some money there as well, also leopay is shady changing payment methods (leopay was once a satabank product) as i know

 

[uxpath]

so leopay/leupay will be closed to?

 

[nitehawk]

SATA is Member of the Depositor Compensation Scheme. Look at the bottom of their website.

Yes, it says this but I had a corporate emoney account with them. Not sure of the Depositor Compensation Scheme covers this, anyone know?

 

[negon]

Wasn't they they Cyprus resident and as such I believe they can't comply to the strict rules there which the Cyprus central bank may have put on them

 

[nitehawk]

Talked to them on the phone just now and they said everyone is getting their funds out 100% forsure but couldnt give a timeline. Seems like 90% of the corporate accounts are emoney accounts.

 

[jackfrost]

As said in the other thread... as much as i love Malta... i wouldn't touch -any- Maltese bank especially not those EMIs and anything connected to Sat...Ferr...Le... etc not even with a dirty stick... for above reasons btw -and- total absence of enforceable laws / working legal apparatus. BOV is safe from a "will it be there tomorrow" POV but still suffers from "total absence of enforceable laws / working legal apparatus" issues that is the Maltese legal system. Also all an absolute pain in the a*s to deal with.

This is all unless you are better connected -as in corruption- on the island than your counterparty.

 

[KJK]

So does anyone know what really happened? I don't watch this much because it doesn't involve me...

But with a basic research I found some of the major recent headlines:
- Satabank fined for helping Libya fuel smugglers
- E&Y assigned to "advice and monitor" Satabank over their operation
- Satabank told by the regulator to stop operating and give over to E&Y

I wonder who applied what force to make this happen - I assume the regulator didn't do it from their own initiative.
Maybe US got pissed because of something, or UK?

Also it's important to note that Malta is a safe haven for many industries such as online gambling and most recently crypto.

_____

Speaking of corruption - it is now exactly one year since the Maltese investigative journalist died in a bomb attack on her car.
I don't think there are any direct connection but on the other hand, I wouldn't be surprised if there's a red thread somehow connecting the journalist's finding, Maltese government and a few banks. Satabank can be just the top of the iceberg.

I wouldn't be worried about the money deposited inside Satabank but I would be worried about the future of Malta.

 

[Martin Everson]

So does anyone know what really happened? I don't watch this much because it doesn't involve me...

Yes it was dealing in stolen Libyan oil that triggered a US investigation take down of the bank. Their simply was no where for the bank to go. The bank never offered normal banking services and was just initially setup as a method of getting direct SEPA access for its shady Bulgarian owner .

Yes, it says this but I had a corporate emoney account with them. Not sure of the Depositor Compensation Scheme covers this, anyone know?

No one is covered by Deposit Protection with Satabank. Their personal and business accounts are e-money accounts that are not covered by Malta/EU deposit insurance. The corporate accounts were however covered by deposit protection but no one here I imagine had that account class. You either had a e-money business or e-money personal, but not a deposit protected corporate account. Your money is 100% gone unless they go into bankruptcy and you may get something back. Just write off the money or pray they were in good financial shape before being taken over by EY.

 

[Martin Everson]

I wouldn't be worried about the money deposited inside Satabank but I would be worried about the future of Malta.

I would be as I did discuss Satabank's zero deposit protection here back in May 18, 2018 alongside the shady ownership of the Satabank, Leopay group structure by the Bulgarian Christo Georgiev and illegal oil business . See link below.

Leupay blocked account

 

[jackfrost]

Talked to them on the phone just now and they said everyone is getting their funds out 100% forsure but couldnt give a timeline. Seems like 90% of the corporate accounts are emoney accounts.

Everything in Malta is "100% for sure... instantly... of course i will do it... yes sir of course!!! 1000000%"


Write it off. As stated your account as probably one of the emoney products without deposit protection.

Also as shown with Ag..bank in Malta you can be member of the Malta Depositor Compensation Scheme but not operate under it...

Even if it was operating the accounts under it, given the issues we are talking about and Malta being Malta you wouldn't see that money before your next life anyways.

 

[Martin Everson]

It was clearly stated in the terms and conditions that the accounts were not covered by deposit protection as they are e-money accounts.

How quickly things change. I feel for this person on trustpilot who gave it 5 stars back in Sept 14, 2018. It sounds like he saw problems but continued.

-----------
I am very happy with SataBank services

I am very happy with SataBank services. The process for all services are very quick and I am pleased to work with them. Like all new banks we have to have a bit patience regarding all services and i trust that all lately situations will be solved with professioanlism.
------------

Or this person who also gave it 5 stars also back in August 3rd, 2018. Very ominous.

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Prefer this bank for my Europe trips

Prefer this bank for my Europe trips. Never failed me yet
------------

Satabank is rated "Poor" with 4.8 / 10 on Trustpilot

Brace yourself for new board members once people google to find out what happened to satabank and discover this forum .

 

[Tamarind]

Well started with name change from Leu to Leo, then change to BG IBAN, then last week to new correspondent Bank, so I pulled as much as I could last week or so, left with around 1100 euro in, which is ok. Was good while it lasted. Last night received a few mobile app notifications that accounts were on 0.00, could not login into web or mobile app, so I knew it was dead. Hope people didn't loose a lot.

 

[nitehawk]

Write it off.

I am not writing off anything. Its not like they went bankrupt. We will see what happen.

 

[Tamarind]

Should refund nonEU clean accounts, private ones at least, they are working for EU users, but not for others.

 

[jackfrost]

I am not writing off anything. Its not like they went bankrupt. We will see what happen.

To rephrase that - in my personal opinion - as living on Malta - you should not make decisions based on needing that money in the near future and be happy if through some very lucky circumstances you see that money again in the future.

 

[Martin Everson]

Should refund nonEU clean accounts, private ones at least, they are working for EU users, but not for others.

That's not how it works unfortunately. BRRD rules may soon apply i.e bail-in? Unfortunately e-money accounts are not protected deposits and may form part of any bail-in. Anyway cross your fingers and hope for the best.

https://ec.europa.eu/info/business-...-institutions/bank-recovery-and-resolution_en

The Central Bank of Malta suspended Satabank's TARGET2 participation last Saturday i.e direct SEPA clearing ability was revoked for them. Latest news below.

Satabank branch closed – 'internal staff meeting' says bank - The Malta Independent

Only info I can find on the banks finances are below which are from 2016. It is a tiny bank but very liquid back then which is good news bur prepare for the worst.

Satabank falls to first year loss, but remains poised for growth - maltawinds.com