Alfa-Bank: Information of Russian banks’ instability incorrect

MOSCOW, Aug 16 (PRIME) -- Information about instability of some Russian banks mentioned in Alfa Capital’s newsletter, is incorrect and is a private opinion of a manager, Alfa-Bank said on Wednesday.

Vedomosti daily reported that Alfa Capital warned its clients about problems at Otkritie Financial Corporation (FC) Bank, B&N Bank, Credit Bank of Moscow and Promsvyazbank. The newsletter said that the situation may be resolved in autumn, and the banks’ subordinated bonds are at the highest risk.

Alfa Capital said that the manager, who sent the newsletter, has been called in for questioning to the central bank.

Alfa-Bank said that it continues operations with Otkritie FC Bank, B&N Bank, Credit Bank of Moscow and Promsvyazbank on a regular basis and has no reliable information about their problems.

A central bank representative said the regulator is against distribution of such research materials. “We plan to hold a supervisory check and to ask the Federal Antimonopoly Service to check them for unfair competition,” the representative said.

A B&N Bank spokesperson said that the information about problems of the banks is groundless.

Promsvyazbank agreed that the opinion of an Alfa Capital analyst is an example of unfair competition and misrepresentation of facts.

According to a report published by Otkritie FC Bank on the central bank’s Web site, clients withdrew 358.66 billion rubles of their deposits from the bank in July, and the bank’s debt to the central bank under repo transactions reached 323.8 billion rubles as of August 1, while the total debt of Russian banks under repos was 396.1 billion rubles.

Managing Director of the bank Anatoly Predtechensky told PRIME that the situation with liquidity is comfortable. “The bulk of client money returns was planned. Part of the returns was due to a rating reform, part due to maturity of several large short-term deposits placed by clients in the first half of 2017, including for upcoming dividend payment.”

The Federal Chamber of Lawyers said it is preparing proposals to avoid distribution of fake materials about banks, manipulations on the banking market and insider information abuse.

“The banking system is based on depositors and clients’ trust and is very sensitive to distribution of unreliable information undermining a bank’s business reputation,” Chamber President Yuri Pilipenko said.

(59.9266 rubles – U.S. $1)

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