Comments on: Bank of Moscow exposes Russian regulatory void http://blogs.reuters.com/breakingviews/2011/07/05/bank-of-moscow-exposes-russian-regulatory-void/ Mon, 26 Sep 2016 03:26:00 +0000 hourly 1 http://wordpress.org/?v=4.2.5 By: russkibankir http://blogs.reuters.com/breakingviews/2011/07/05/bank-of-moscow-exposes-russian-regulatory-void/comment-page-1/#comment-8005 Wed, 06 Jul 2011 01:05:32 +0000 http://blogs.reuters.com/columns/?p=6454#comment-8005 This was not a case of regulatory failure; rather, it is a power move by major Moscow players to seize Luzhkov-linked assets. Bank regulation has in fact been fairly effective nationwide, with about 200 banks closed by authorities for money laundering over the last several years. International Industrial Bank was a case of the regulators overriding close Kremlin ties to seize a bank, more of a success than a lapse in regulation. VTB had to know the Bank of Moscow was holding significant assets that were linked to Luzhkov — it has in effect taken a $10 billion gift from the government in the name of banking irregularities. Don’t mistake asset grabs for bad regulation!

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