In a significant ruling, the Court of Justice of the European Union (CJEU) has decided that ABC Projektai can regain their banking license, which was previously revoked by the Bank of Lithuania.
ABC Projektai, formerly known as Bruc Bond UAB, is an online payment fintech that had its banking license revoked in April 2020. The revocation was due to allegations that the company was holding customer funds longer than necessary for online transactions.
The Supreme Administrative Court of Lithuania (SACL) accepted ABC Projektai’s appeal, recognizing the company’s commitment to following regulations and compliance. As a result, ABC Projektai will be able to operate with a full banking license starting July 1, 2024.
Justinas Jarusevicius, the legal representative from the Lithuanian law firm MOTIEKA, expressed appreciation for the SACL’s decision, emphasizing that it condemned the revocation of ABC Projektai’s license. He expressed confidence in the company’s management to ensure adherence to proper business practices.
The court determined that the initial revocation was severe and unwarranted, stating that there was no evidence of intentional wrongdoing by the company. ABC Projektai had actively taken steps to correct any mistakes following the initial ruling.
A spokesperson for ABC Projektai remarked, “This complete vindication is a significant relief as it validates our operational practices and unwavering commitment to regulatory compliance. We welcome this decision and remain dedicated to upholding the highest standards of integrity and service for our clients.”
The spokesperson also noted, “We are proud that the Lithuanian central bank acknowledged in court that our company’s activities did not negatively impact customers or other financial institutions and that there were no aggravating circumstances.”
ABC Projektai received support from several EU Member States and the European Commission during this process. The spokesperson concluded, “We are glad that the SACL acted promptly in reinstating our license and ordered reimbursement for our legal costs. We take solace in the fact that the court recognized the undue harm caused to our company over the past four years.”