FINANCE

Kolomoisky’s revenge upon Russian banks

A court in Kiev seized stocks of Russian government-owned Savings Bank, Vnesheconombank and VTB banks’ Ukrainian subsidiaries, Russian news agency reports.

Mikhail Markiv | RIAN

A respective claim had been filed by a Ukrainian oligarch Igor Kolomoisky who demanded compensation for his businesses in Crimea lost after it became part of Russia. Earlier, the Permanent Court of Arbitration in Hague ruled out Russia was to pay compensation for the said properties in Crimea. Now, the court in Ukraine enforced the above ruling. Russian banks will therefore be unable to sell their Ukrainian assets until the court decision is repealed. The banks can nevertheless keep dealing with their clients as before.

Savings Bank intends to appeal against the judgement.

“The bank has been operating in Ukraine in full conformity with the laws and regulations currently in force in that country. A seizure of shares can not affect the services rendered by the bank to its clients. The bank remains financially stable. Its capital adequacy is double of the amount required by the National Bank of Ukraine. Savings Bank is capable to meet all of its liabilities towards its clients”, press service of Russia’s largest bank said.

Financially, the claims of Kolomoisky’s companies are relatively modest (compared to the Russian banks’ assets). He claims having lost $220 mio in the aggregate. The Arbitration in Hague though had awarded him a compensation of $159 mio.

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