MOSCOW, November 13. /TASS/. The decision of the Supreme Court to release Michael Calvey, the founder of the Baring Vostok private equity firm, from house arrest cannot have any effect on the investment climate in Russia, Kremlin Spokesman Dmitry Peskov told reporters on Friday.
"Of course, changing the measure of restraint alone cannot affect the investment climate. I don’t think it has something to do with the investment climate," he said.
Peskov declined to comment on the court's decision in any way. "We have never done it, so we will not do it now, but I could probably repeat the general idea that no one can find a person guilty except for a court," Peskov stressed.
On Thursday, the Supreme Court changed the measure of restraint for Calvey and other defendants in the case from house arrest to a number of restrictions.
The new measure of restraint bans Calvey from changing his place of residence, leaving the house at night, visiting the premises of Vostochny Bank and the First Collection Bureau, communicating outside of court sessions with other defendants in the case, receiving and sending mails and using telephone communication, except for emergency calls. The period of validity of the new measure of restraint established by the court is January 12, 2021.
The criminal case was sent for consideration on the merits to the Meshchansky Court of Moscow.
Baring Vostok’s case
Russia’s Investigative Committee launched a criminal case into the embezzlement of 2.5 bln rubles ($32.4 mln) from the Vostochny Bank on February 13, 2019. The case was initiated following a complaint by Sherzod Yusupov, a minority shareholder in Vostochny Bank, filed with Russia’s Federal Security Service (FSB).
According to the investigation, Calvey and his accomplices put together a scheme, where a 2.5 billion-ruble loan obtained by the First Collection Bureau company from the Vostochny Bank was offset by an assignment of shares.
According to the investigation, Calvey misled the bank's board of directors regarding the value of the First Collection Bureau’s shares. The stake was held to amount to the sum of the loan, while the real value of shares was 600,000 rubles ($7,734), which led to the actual theft of these funds.
The defense disputed such an appraisal of the shares, citing the lack of results of a financial expertise by the investigation. Calvey denies all charges and calls the criminal prosecution an illegal attempt by the Vostochny Bank’s minority shareholders to resolve a corporate dispute.
Alongside with Calvey other defendants in the case are: Vagan Abgaryan, partner at Baring Vostok; Philippe Delpale, an investment partner for the financial industry sector at Baring Vostok; Ivan Zyuzin, investment director at Baring Vostok; General Director of the First Collection Bureau Maxim Vladimirov and Advisor to the Management Board of Norvik Bank Alexey Kordichev. They are all facing charges under part 4 article 160 of Russia’s Criminal Code (embezzlement committed on a large scale by an organized group).