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Putin signs bill on Central Bank’s right to limit transactions into law

Moreover, the regulator will gain the right in the event of a situation threatening the stability of Russia’s financial market to request the central counterparty to change the procedure of settlements and execution of requirements applied to a clearing member on ensuring completion of obligations

MOSCOW, December 25. /TASS/. Russian President Vladimir Putin has signed into law the bill enabling the Central Bank to limit transactions of certain financial market participants or stock market traders for the period of up to six months, as well as to ban certain transactions to be carried out by all participants. The document has been published.

According to the amendment, if transactions of trading participants or their clients as well as violations of requirements of the law ‘On organized trading’ or regulatory acts of the Bank of Russia threaten the stability of the financial market, the Central Bank "has the right to limit commission of actions (transactions, operations) by certain trading participants or ban commission of certain actions (transactions, operations) by all trading participants for the period of up to six months."

Moreover, the regulator will gain the right in the event of a situation threatening the stability of Russia’s financial market to request the central counterparty to change the procedure of settlements and execution of requirements applied to a clearing member on ensuring completion of obligations.