VTB will build up a Bank on one day for joining a good business of Bank of Moscow

Moscow. December 29. VTB in 2016 will create the Bank for one day, where will pass a healthy business the Bank of Moscow, and then will join the Bank on yourself, reported in a press-service VTB.

In may 2016 VTB group plans to reorganise the Bank of Moscow, which resulted in the bulk of its assets and liabilities will be allocated and simultaneously attached to the VTB Bank. This procedure is necessary to comply with the law “On joint stock companies”.

“Within the accession of the Bank of Moscow will be allocated to the Bank, which will technically be one day, after which it will be attached to VTB. In accordance with the legislation it will have state registration and a license to conduct banking operations”, – explained the press service.

To match key aspects of the financial recovery plan for former Bank of Moscow will be saved as a legal entity, whose main task will be the implementation of this plan.

The Bank of Moscow was taken over by VTB in 2011. The arrival of the new shareholder was accompanied by a conflict with former team led by the co-owner of the Bank Andrey Borodin. After joining VTB capital Bank in Moscow revealed the financial problems of the Bank associated with large-scale lending companies, the”pacifiers” and structures affiliated with the former management. In the end, the Central Bank and Agency on insurance of contributions has made the decision on sanitation of Bank of Moscow with a 10-year loan of 295 billion rubles at a discounted rate of 0.51% per annum.

The Bank of Moscow for 3 years was returned to 200 billion rubles of old bad loans from the General portfolio of 366 billion rubles, inherited “inherited” from Borodin.