Bank of Moscow’s $28 mln lawsuit against wineries suspended until May 21


The Moscow Commercial Court has suspended on Thursday until May 21 its hearing of the Bank of Moscow’s $28.2 million lawsuit against the Millstream Black Sea Wines winery.

Earlier, the parties said they were negotiating the settlement. The bank said on Thursday that the parties need time to finalize debt restructuring issues. In this regard, the bank asked the court to suspend the case once again. The settlement is expected to be submitted to the court during the next hearing. Continue reading

Developer appeals $468 mln award to Bank of Moscow in fraud case


The Moscow Commercial Court has registered the Premier Estate company’s appeal against the court decision awarding the Bank of Moscow $468 million in its lawsuit against the appellant and TD Ramenskaya.

TD Ramenskaya was part of Inteco, formerly owned by Yelena Baturina, Russia’s richest woman and the wife of Moscow ex-Mayor Yuri Luzhkov.

The court held for the bank’s claim in full in February. Continue reading

Swiss authorities take no interest in former Bank of Moscow head

Switzerland’s law enforcement authorities have not submitted any applications to the Russian Foreign Ministry in the case of former Bank of Moscow head Andrei Borodin, RIA Novosti reported on Tuesday, citing a source in the ministry.

The media reported earlier that Switzerland suspects Borodin of money laundering and has already sent Russia a proposal to investigate possible financial crimes.
Borodin and his former deputy Dmitry Akulinin have been placed on the international wanted list on suspicion of committing crimes when they headed the Bank of Moscow.

The court issued arrest warrants for the both in absentia. Continue reading

Statement by Andrei Borodin’s Defence Team

Moscow, London, 17 March 2012 – Today’s announcement by the General Prosecutor’s Office of the Russian Federation that it has requested that Andrey Borodin, the founder of the Bank of Moscow, be extradited from the United Kingdom has been expected by Mr Borodin for some time.

Mr Borodin’s legal team had previously been in touch with the British authorities informing them that they expected an extradition application and confirming that their client proposed to cooperate fully with them. There has never been any question of Mr Borodin concealing his whereabouts.

Mr Borodin denies the allegations of criminal conduct on his part and maintains that the prosecution is without foundation and is politically motivated.

Mr Borodin will robustly defend the extradition proceedings and is confident of a successful outcome.

Fugitive Bank of Moscow ex-president sues major newspaper for defamation


Four lawsuits filed by former Bank of Moscow president Andrei Borodin have been transferred from the Tverskoy District Court to the Savyolovsky District Court in Moscow as previous defendant was replaced by the Kommersant newspaper, Borodin’s attorney Alexander Arutyunov told the Russian Legal Information Agency (RAPSI/ on Tuesday. Continue reading

Moody’s to cut Russia’s VTB if asset quality, liquidity falls

Prime News

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. Continue reading

Statement by Andrei Borodin

To: Yuri Yakovlevich Chaika

General Prosecutor of the Russian Federation



In February of 2011, the VTB Bank Group unlawfully acquired a stake in the Bank of Moscow (an open joint-stock company) that earlier belonged to the Government of Moscow. The stake was acquired without holding an auction, which is required in accordance with norms of Russian privatisation legislation, and in violation of other legal stipulations. In particular, the VTB Bank Group in principle had no right to purchase this stake, because it was 75-per-cent government-owned and therefore could not take part in privatisation of government property. Due to that, in my opinion, all subsequent actions of the VTB Bank Group with respect to the Bank of Moscow and its shareholders are illegitimate and the managing bodies of the Bank of Moscow have been formed unlawfully. I believe that those facts alone need to be investigated by the General Prosecutor’s Office of the Russian Federation. However, I would like to bring to your attention the following example of the actions of the VTB Bank Group, which have resulted in significant damage to the economy of Russia. Continue reading

Suspicions roused over VTB ‘deal’

The Moscow News

There is no doubt that the deal makes little economic sense for VTB, which is still recovering from a messy takeover of Bank of Moscow last year, and just last week asked the Central Bank for a boost in liquidity.

“From VTB’s point of view it would be a strange acquisition at this point,” said Ivan Kachkovsky, a banking analyst at Aton brokerage. “The bank is very large, and VTB would need a lot of capital to satisfy revaluations after acquiring such a large bank. There’s no obvious economic rationale behind it.” Continue reading