The government has expanded the list of transactions with Russian assets that require permission from the government commission

The transfer of securities of Russian issuers was included in the list of transactions with Russian assets requiring permission from the government commission for control over foreign investment. This is stated in the government decree.

According to the decision of the authorities, approval will be required for:

• transactions carried out by persons that are not credit institutions and non-bank financial institutions, for the transfer of securities to residents, as well as non-residents that are under the control of Russian legal entities (including those controlling through foreign legal entities) or information about them is disclosed by Russian, as well as non-residents, not associated with countries unfriendly to the Russian Federation;
• transactions in the course of which shares of a Russian joint-stock company, OFZs, bonds of a Russian issuer, the rights to which are centrally recorded by a Russian depository, investment units of a Russian mutual fund acquired/received on the basis of an agreement concluded before March 1, 2022, were purchased and credited;
• transactions carried out by the listed persons after March 1, 2022, as a result of which the shares of Russian issuers received as a result of the redemption of securities of foreign issuers certifying the rights in respect of such shares are transferred (provided that the securities of foreign issuers certifying the rights in respect of such shares shares received as a result of the termination of obligations on a foreign financial instrument acquired before March 1, 2022 inclusive);
• transactions with securities that fall under the criteria above, as well as the transfer of which was carried out on the basis of the permission of the governing commission;
• transactions that entail the emergence of ownership of Russian securities and Eurobonds made by residents or persons under their control with persons of unfriendly states, if Russian securities and Eurobonds are accounted for or held by a foreign company entitled in accordance with its record and transfer rights to securities by personal law, and settlements on such transactions are carried out on accounts opened with foreign financial organizations.

In March 2022 Russia introduced temporary restrictions on the exit of foreign business from Russian assets. Also were limited operations with shares in the authorized capital of limited liability companies. If a transaction involves a person who is in one way or another connected with unfriendly countries, it becomes necessary to coordinate it with the foreign investment control commission. Also by the decree of Vladimir Putin has been approved a list of 45 credit institutions that can be sold only with his approval.

What problems arise with obtaining the approval of the government commission, read the material “Kommersant” “Obstacle Escape”.

Laura Keffer