The Commission on trade in commodity futures of the USA has presented the VTB Bank and investment Bank “VTB Capital” accusation in the Commission of fictitious futures trades in the pair rouble/dollar. The Agency requires them to pay a fine of $5 million.
As stated on its website, from December 2010 to June 2013, VTB and “VTB the Capital” has made on the Chicago Mercantile exchange over hundreds of trade transactions on futures contracts in the amount of approximately $36 billion.
“Because of the significant capital requirements was in Russia, VTB could not profitable to hedge their currency risks through swaps in the OTC market. By making transactions [futures] first, VTB transferred its foreign exchange risks in their “VTB Capital” [UK registered], and that, in turn, hedging its risks in the OTC market via swaps at more favorable rates than third-party company,” says the Commission.
Bank “VTB Capital”, 94% owned by the same holding company, which, in turn, 100% owned by VTB Bank, the report says.
The Commission took into account that the Bank VTB and “VTB Capital” cooperated with her during the investigation. In addition, it gave them the instruction about the need to improve internal procedures to avoid similar violations in the future.
VTB, making comments on actions of the regulator, refers to the change requirements to the banks on the American market. “The exchange transactions which came under the investigation of the Commission on trade in commodity futures in the United States, was carried out according to the rules of the Chicago stock exchange and no complaints until recently did not cause. But about a year ago, the Commission filed a lawsuit against one of the Western banks, imputing to him the serious charges when conducting transactions. Most likely, this precedent forced the Commission to reconsider the practice of engaging in such transactions on the stock exchange and subsequently to introduce a ban on targeted operations within a single group,” the Bank’s statement says.
“Taking into account the fact that the Chicago stock exchange has previously allowed such trades, and VTB actively cooperated with the Commission, the Bank was fined the minimum amount possible,” — said the press service of the credit institution.
VTB group — financial group, with over 20 lending and financial companies operating in all major segments of the financial market. VTB is the second volume of assets and equity the Bank in the country. The main shareholder of VTB is the government, which owns 60,9348% of the voting shares, or 45,01% (including the Agency for Deposit insurance — 92,23%) of the share capital of the Bank.
