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Where did the money from the sale of Bank of Moscow disappear?

Press Release
April 20, 2011

Such a question YABLOKO’s leader Sergei Mitrokhin put before Sergei Sobyanin, the Mayor of Moscow, in his letter forwarded to the Mayor’s office on April 20. A package of shares of the Bank of Moscow and the Capital Insurance Group (Stolichnaya Stakhovaya Gruppa) was first into the authorized capital of OAO the Moscow Fuel Company (MFC) and then was sold to the VTB Bank.

It was stated that MFC received RUR 103 billion for the shares.

However, the Moscow budget has not received these funds yet. Moreover, amendments to the budget submitted to the Moscow City Duma (Moscow parliament) by the Mayor did not envisage any budget revenues in the Moscow budget from the sale of the shares.

"Andrei Sharonov [Deputy Mayor on the Economic Policy] stated publicly that the money from the sale of the shares would get to the budget. The absence of budget revenues from MFC in the law on budget means that the money will either remain at the disposal of the fuel company, or it were not paid by the buyer at all," runs Mitrokhin’s letter.

Sergei Mitrokhin demands from the Mayor of Moscow to adopt measures so that the proceeds from the sale of the shares would get to the budget of Moscow.

Ex President of the Bank of Moscow Andrei Borodin indirectly confirms Mitorkhin’s fears. “According to my information, the money from he sale of the shares of the Bank of Moscow has not arrived to the Moscow budget yet, it is on the accounts in the VTB bank. Almost all the money is deposited in the accounts of the TZK company in the VTB bank, or perhaps in other subsidiary banks, possibly in Cyprus ", Borodin said in his interview published by Vedomosti on April 20.

Earlier, Sergei Mitrokhin had applied to Public Prosecutor General demanding to dispute the deal in court as violating privatisation laws.

 

See also:

YABLOKO's Against Corruption

 

 

 

 

Press Release
April 20, 2011

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