Case: Blocked account due to late reporting
The client complained that his bank account of a Cypriot company in an Austrian bank was blocked. The reason is the untimely submission of financial reports of his Cypriot company. Due to the fact that the reports were not submitted on time, the status of the company in the register changed to “inactive”. The bank’s compliance, checking the company, saw this status and automatically blocked the account due to the suspicion that the company could be in the process of liquidation.
The GLS team helped the client solve the problem, including:
Restoration of company status. They immediately submitted the necessary documents and financial statements to restore the company’s status to “active” in the registry.
Explanation of the bank. The team provided additional information to the bank, including confirmation that the company was not in liquidation and the delay was related to the audit process.
Keeping in touch with the client. Maintained constant communication with the client and the bank to resolve the issue as soon as possible and unblock the account.
As a result, the account was unblocked and the client was able to continue financial activities.
This case highlights the importance of timely reporting and maintaining an active company status in the registers to avoid similar problems with banks.
