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Russia’s Alfa Bank gives clients deadline to transfer foreign securities -Breaking

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© Reuters. FILEPHOTO: The Alfa Bank sign can be seen in Minsk (Belarus) September 7, 2017. REUTERS/Vasily Fredosenko/File Photograph

(Reuters] – Russia’s largest private lender Alfa Bank has allowed its brokerage customers until Monday midnight to make foreign investments to another platform. The bank explained that the sanctions it faced prevented them from moving clients’ assets to other brokerages.

In an effort to pressure Russia over what Moscow called “a special military operations” in Ukraine, the United States placed full block sanctions against Alfa Bank and Sberbank.

Three sources from the financial markets told Reuters that fear of Western sanctions deterring Russian brokerages was what discouraged them from aiding sanctioned banks.

Alfa Bank sent a Sunday message to its clients saying that they aren’t planning on centrally transferring foreign securities from Alfa Bank clients to another brokerage. We have thoroughly analyzed all possible scenarios, and we have concluded that it is impossible due to restrictions on sanctions.

Clients had until Monday, 2059 GMT to request transfer of securities to another brokerage.

Alfa Bank told Reuters previously that it was seeking a brokerage to obtain clients’ accounts in order for them to trade freely. But, that decision still has not been made.

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