Reuters: The $1.2 billion fraud alleged at Russia’s largest bank

January 22, 2010

Tucked away on page 4 of the Moscow Times today there is a remark­able arti­cle which made me won­der whether I wasn’t hallucinating.

The report states mat­ter-of-fact­ly that sev­er­al branch man­agers are being inves­ti­gat­ed for defraud­ing $1.2 bil­lion from Sber­bank, Russia’s largest bank. That’s accord­ing to com­ments made by Sberbank’s region­al man­ag­er for Moscow. The Moscow Times trans­lat­ed the arti­cle from Thursday’s edi­tion of the Russ­ian news­pa­per Vedo­mosti, where it appears on page 7.

Accord­ing to this arti­cle, Sber­bank sus­pects man­agers at three Moscow branch­es of dol­ing out “thiev­ing” loans, on the basis of “fic­ti­tious” doc­u­ments, to “dubi­ous” com­pa­nies. The scale of the result­ing loss­es at these three branch­es? “More than 35 bil­lion rou­bles” ($1.2 billion).

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