Moody’s international ratings agency believes that the deposit and debt ratings of Russia’s state-controlled VTB Bank could be decreased, if capitalization, asset quality and liquidity worsen, according to the agency’s provisional survey released late Monday.
The bank’s ratings could also be decreased if the government cuts its holding, which could lead to a drop in the level of state financial aid, the agency also said.
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VTB has made a decision on what to do with development projects it received along with Bank of Moscow.
Two major projects — the River Mall shopping center and a mixed-use complex on Olimpiisky Prospekt — will go to Hals-Development, in which VTB holds a controlling stake, according to consultants working on the projects.
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SKRIN Newswire
The Russian government has appointed former first deputy CBR chairman Gennady Melikyan its representative at VTB Bank’s supervisory board. As an independent director was also nominated Leonid Melamed, deputy board chairman at AFK Sistema, a relevant order was posted on the government’s web site.
As representatives of the Russian Federation in VTB Bank’s supervisory board were also nominated the bank’s current supervisory board chairman Sergey Dubinin, VTB Bank CEO Andrey Kostin, Deputy Finance Minister Alexey Savatyugin, director of the department at the Finance Ministry of Russia Alexey Uvarov and first deputy CBR chairman Alexey Ulyukaev.
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Russian law-enforcement agencies have opened a criminal case against unnamed employees of the Bank of Moscow for a 540 million ruble fraud, a source close to the bank said Friday, as cited by RIA Novosti.
The source said that the Bank of Moscow’s employees and other unidentified persons stole 540 million rubles from the bank under the guise of foreign exchange transactions in 2009–2010.
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MP Denis MacShane warns against investing in Russia; A former minister for Europe has urged the Government to attach “health and safety” warnings to promotional material that encourages businesses to invest in Russia.
Denis MacShane, Labour MP for Rotherham, has written to Lord Green, the trade minister, in protest at a conference scheduled for today and sponsored by UK Trade & Investment that will promote Skolkovo, billed as Russia’s Silicon Valley.
Citing the damage caused to companies by “corrupt officials in Russia”, he wrote: “It seems irresponsible for British companies to be putting themselves in harm’s way without full disclosure about the tragedies that could befall them in Russia.”The Government should add an official health and safety warning so British businesses seeking to be involved in Russia do so with their eyes open.”
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Radio Echo Moskvy, 24 January 2012
Attorney Vladimir Krasnov
On 24 January, the Vedomosti daily published an article that in fact says that the former president of the Bank of Moscow Andrei Borodin is under investigation not only in connection with a criminal case concerning a credit issued to the Premier Estate Closed Joint-Stock Company but also a number of other cases.
The official and the only version known to the defence team is Criminal Case #89816, opened in December of 2010, under which a new order was issued on 29 September 2011 to prosecute Mr Borodin on a fraud charge (Part 4 of Article 159 of the Criminal Code of the Russian Federation). The defence team was notified about the order in a form that fails to comply with legislation.
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Today, the Investigative Department of the Russian Interior Ministry has issued a statement claiming that conduct by former President of OJSC Bank of Moscow Andrey Borodin and his first deputy Dmitry Akulinin contains elements of corpus delicti contemplated in part 2, article 201 of the RF Criminal Code, “Abuse of Authority”, allegedly pertaining to transactions with CJSC Investlesprom stock.
In this regard, A. Borodin’s defense attorneys find it necessary to point out certain circumstances.Сегодня Следственный департамент МВД России распространил сообщение, что в действиях бывшего президента ОАО «Банк Москвы» Андрея Бородина и его первого заместителя Дмитрия Акулинина имеются признаки преступления, предусмотренного ч. 2 ст. 201 УК РФ «Злоупотребление полномочиями», связанные якобы со сделками с акциями ЗАО «Инвестлеспром».
В этой связи защита А.Бородина считает необходимым обратить внимание на несколько обстоятельств. (more…)
The Nigerian economy risks being brought to a virtual standstill by the current national strike. The country’s influential trades’ union movement has opted for all-out industrial action in response to the removal of fuel subsidies by the federal government in Abuja. The subsidies cost the government an estimated $8 billion a year; a huge sum in comparison with the total federal budget of just over $22 billion. Given that the country needs massive investment in infrastructure and social services, Abuja’s stance seems entirely reasonable, but the dispute is far more complicated than it may seem. (more…)
British foreign secretary William Hague’s recent visit to Burma is just the latest in a long line of events that suggest that the south-east Asian nation is preparing to come in from the cold. Ruled by a military dictatorship for almost five decades, the government had resisted pressure from the West to allow multi-party politics and halt human rights abuses. Sanctions were imposed by Rangoon’s opponents but Chinese, Indian, South Korean and Thai firms continued to invest in the country. (more…)
Andrey Borodin gave an interview to The New Times. In the interview, he said that stories about the poor state of Bank of Moscow are simply an attempt to discredit the former owners of the bank and to hide the traces of theft, which is taking place at the bank right now. According to Andrey Borodin, the hole in the Bank of Moscow balance sheet was artificially created by the VTB management in order to receive state aid for VTB’s own needs.
Read The New Times interview with Andrey Borodin in Russian here.The New Times
Скандал вокруг Банка Москвы не утихает. В центре его – обвинения экс-руководителя банка Андрея Бородина в адрес президента Медведева в том, что тот имел собственный интерес в операции по отъему банка у прежних владельцев. Все это время The New Times следил за развитием событий. Одновременно мы направили просьбу об интервью самому банкиру. Ответы на вопросы были получены редакцией в электронном виде (more…)