Law enforcement officers are investigating criminal proceedings concerning UAH 9 billion, collected in the funds for financing the construction of the Bank Arcada (Kyiv), Minister of Internal Affairs of Ukraine Arsen Avakov has said.

"Criminal proceedings have been initiated concerning UAH 9 billion of funds collected at the Bank Arcada, which we are now inspecting to find out what violations were there," he said at a press conference on Wednesday.

Avakov said that the issue of Bank Arcada will be resolved and depositors will not suffer either financially or in terms of investment and construction.

"If during the investigation it is established that there were abuses, a criminal scheme of funds theft was involved, and the case is being conducted under Articles 191 and 364 of the Criminal Code of Ukraine, I believe that the perpetrators should in any case be brought to justice," the Security Service of Ukraine (SBU) Head Ivan Bakanov said.

As reported, the NBU on August 25 declared the bank insolvent due to a decrease in capital requirements to less than one third of the minimum established level.

Bank Arcada was established in 1993. According to the NBU, the owner of the bank's significant stake as of June 1, 2020 is Kostiantyn Palyvoda (total participation of 74.797%).

According to the National Bank, as of July 1, 2020, in terms of total assets (UAH 1.902 billion) Bank Arcada ranked 45th among 75 banks operating in the country.