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The safety of the financial system and the good work of the banks are important to win the trust of the customers, and when the trust is not found would lead to (bank runs), because most of the depositors will wish to withdraw their deposits. This condition is hard and will make it difficult for the bank to repay the depositors and this will lead to the banks bankruptcy. Banks must keep the public trust, knowing that there is no bank which could repay customer's in few days since the deposits were used as long-term granted loans.
The study aims at the acknowledgement of credibility of imposing guardianship on AL-Warka bank for investment and finance, and the issues the bank experienced before being eliminated from the Iraqi stock exchange market and how the central bank dealt with it.
Thus, the researcher chose same repay power indicators which were applied on sample of four banks (the Iraqi commercial banks, Baghdad banks, the Iraqi Middle East bank for investment and the Iraqi investment bank) during the period 2008 – 2011, these indicators were compared with the repay power indicators for AL-Warka bank for investment and finance. After the analysis of the repay power indicators ratios for the sample banks, the study concluded a series of results which were quoted from the conceptual and analytical frames and the detoriation of AL-WARKA bank for investment and finance, and the Iraqi central bank, same of those results wire:
- The measurement taken by the ministry of finance had an impact on the depositors to withdraw their deposits for fear of their loss, and made it harder on the bank, when the media spread the news of AL-Warka stumble which resulted in bank runs.
- The study showed that AL-WARKA bank did not witness an obvious collapse of its repay indicators during the period 2008 – 2011, but mostly surplus some banks in the sample study as in the total deposits, like, equity ratio to total loans, and ratio equity to total assets.
Due to the research's results, the research suggested series of useful assumptions, some of the most important ones are: The Iraqi central bank and the ministry of finance must not forget the date of the achievements of Al-warka' bank on the 20th .novenber, 1999 until the end of 2011.