The State Duma approved an extension of the right to reorganize Russian banks subject to sanctions
The State Duma approved in the second and third readings the extension from December 31, 2024 to December 31, 2026 of the right of banks against which international sanctions have been imposed to conduct reorganization. This was reported by TASS.
According to the rules adopted in 2022, the validity of which was decided to be extended, sanctioned banks can form a new legal entity, transferring both frozen assets and liabilities in the form of obligations to foreign creditors to it. The value of assets and property transferred to the new legal entity under this scheme cannot be less than the amount of liabilities transferred under the same scheme.
How wrote Kommersant, the amendments were made taking into account that the reorganization takes a lot of time, including the time needed to coordinate and provide a large volume of documents. Several large banks are currently preparing to undergo the corresponding procedure.
The Bank of Russia explained earlier RIA Newsthat extending the validity period of the bank reorganization mechanism is one of the ways to solve the problem of blocked assets.
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