The President of the Bank of Moscow said on Thursday he had resumed managing the bank from its office in London where he fled earlier this week.
"I am maintaining control over Bank of Moscow ... The location and work place of the sole executive authority (the president), along with Bank of Moscow's headquarters in Moscow ... is the office located in London," Andrei Borodin said in an order to the bank, the investment vehicle of the Russian capital under its former mayor Yury Luzhkov.
The order is in force until further notice, Borodin said.
Bank of Moscow, which state-controlled VTB bank is currently trying to acquire, said on Monday that Borodin's duties were temporarily being transferred to Vice President Sergei Yermolayev.
In February, VTB bought 46.48% of Bank of Moscow, Russia's fifth largest bank by assets, from the capital's new government as well as a 25 percent stake in insurer Stolichnaya Strakhovaya Gruppa, which owns 17.3 percent in Bank of Moscow. VTB said it wanted to obtain full control over the bank by the summer.
Borodin says he is undergoing medical treatment in London, and will be back as soon as he recovers but at home he faces possible criminal charges connected with a 12.76 billion ruble ($452 million) credit Bank of Moscow granted to a little-known company. The police claim the money ended up benefiting Luzhkov's wife Yelena Baturina. Borodin faces up to 10 years in prison if convicted.
Bank of Moscow says it violated no rules when issuing the loan.
A VTB source said Borodin's resumption of his duties followed the establishment of good relations between Yermolayev and First Deputy Vice President Mikhail Kuzovlev, formerly a VTB employee. VTB declined to comment.
An election for a new president of Bank of Moscow is scheduled for April 21.
Borodin is a candidate for the position, as well as Kuzovlev and Vice President Dmitry Akulinin.
MOSCOW, April 7 (RIA Novosti)
