The central bank, the Reserve Bank of Zimbabwe (RBZ) has cancelled Tetrad Investment Bank’s operating licence at the institution’s request.
The bank has surrendered its banking licence after failing to meet the minimum capital requirements.
The central bank issued a statement yesterday.
“The institution unsuccessfully courted potential investors and failed to put in place requisite infrastructure to facilitate commencement of banking operations. In the circumstances, the maintenance of registration of Tetrad Investment Bank Limited as a banking institution is undesirable. Accordingly, the Registrar has cancelled the bank’s licence in terms of section 14(4) of the Banking Act. As a consequence of the said cancellation, Tetrad Investment Bank Limited is no longer a banking institution as defined in the Banking Act, and, therefore, its status is that of a company in terms of the Companies and Other Business Entities Act [Chapter 24:31],” the registrar said.
Tetrad had no deposits on its books.
In 2014, RBZ suspended Tetrad from taking deposits and issuing loans after it emerged that the financial institution was failing to honour maturing liabilities, including depositors’ funds.
The bank’s shareholders in July unanimously voted to surrender the banking licence and convert it to a property development company at an extraordinary general meeting held at the Harare Golf Club.
