PRESS: Russia’s Sberbank, VTB halt client operations with JP Morgan

MOSCOW, Feb 6 (PRIME) -- Major Russian banks, Sberbank and VTB, cannot transfer client payments via J.P. Morgan, which has revised its approach to transparence controls, business daily Kommersant reported Thursday, quoting market sources.

“They (J.P. Morgan) did not say openly that they have no intention to conduct client operations, but they have set up such tough requirements for transparency checks, that the operations have become impossible,” a source said.

J.P. Morgan continues treasury operations, or operations with the banks’ own funds.

According to the newspaper, Sberbank shifted its client operations to the Bank of America and the Bank of New York, while VTB picked Citi and the Bank of America.

VTB plans to withdraw its own treasury operations from J.P. Morgan, while Sberbank wants to maintain partnership with the U.S. bank.

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