Finablr PLC (LON:FIN) has announced its Middle Eastern entity UAE Exchange Centre will be controlled by the country’s Central Bank with immediate effect.

The bank has also begun an examination of the subsidiary “to verify its compliance with applicable laws and regulations”, Finablr added.

READ: Finablr draws up plans for potential insolvency

Also on Wednesday, Finablr’s foreign exchange business Travelex pointed out its legal and financing structure allows it to operate separately, on a stand-alone basis, perhaps signalling plans to divorce.

Travelex added it continues to operate with the support of its “key” financial stakeholders to deal with the challenges of global travel bans.

The news comes a day after Finablr announced it was planning for potential insolvency as it is on the brink of collapse.

The week started with a suspension of shares ordered by the Financial Conduct Authority (FCA) after the discovery of US$100mln (£81mln) in previously unknown cheques that may have been used as “security for financing arrangements for the benefit of third parties”.

As a result, the company had warned that it was unable to accurately assess its financial position and there was “material uncertainty” around its ability to continue operating.

Finablr is controlled by a company owned by the family of BR Shetty, the founder of private hospital operator NMC Health PLC (LON:NMC), which is currently facing its own FCA investigation after an independent review of the company’s finances uncovered “potential discrepancies” in bank statements.

–Adds detail on Travelex–