Default in rapidly expanding Russian market for corporations’ obligation “would be useful” to test the efficiency of the new system for regulating the market, said Chairman of Federal Commission on Securities in Russia Igor Kostikov.
Currently he is conducting a series of meetings with investors in London. “We are expecting default. It would be useful considering the new regulating base has been created, and we need to test it”, said Mr. Kostikov in a Financial Times interview.
In 2003 Federal Commission on Securities introduced new standards of revealing information for securities issuers. According to Kostikov, these standards correspond with the requirements of IOSCO international organization uniting state regulators of stock exchange market. In addition, the measures to prevent manipulating prices and insider trading, are being taken. The bill on this is currently being examined by Russian Parliament, the newspaper writes.
Speaking of “YUKOS case”, Igor Kostikov said that it is “solely about taxation”. According to Mr. Kostikov, it took the market only 22 days to compensate the losses in shares after former YUKOS Head Mikhail Khodorkovsky had been arrested.