Facts of manipulation in securities markets established

The Bank of Russia has established facts of manipulations in markets for securities of a range of issuers (hereinafter collectively, the Securities) committed in 2014–2015 (hereinafter, the Period) by a group of legal entities (hereinafter collectively, the Entities) who were clients of LLC ALOR + (TIN: 7709221010) and CJSC ALOR INVEST (TIN: 7706028226):

CJSC GAMMA (TIN: 0816027102), CJSC RESPUBLIKANSKAYA INTERNET-BIRZHA (TIN: 7706217801), LLC AGRA (TIN: 7724737585), CJSC RAFT (TIN: 7710419247), LLC STRATEGIYA I LIDERSTVO (TIN: 7706588210) — manipulation in the market for units of Closed-End Mixed Unit Investment Fund Vozrozhdeniye Abkhazii managed by LLC Management Company AGANA (ISIN: RU000A0JR1E9);

CJSC RTK (TIN: 7710578825) (was also a client of another broker), LLC AGRA (TIN: 7724737585), JSC TEKHPROM STK (TIN: 7743897880), CJSC GAMMA (TIN: 0816027102), PJSC IFK SOYUZ (previously until 1 April 2015 — JSC IFK SOYUZ; TIN: 7726586540) — manipulation in the market for bonds of PJSC Priam, Series 01 (ISIN: RU000A0JS1J7);

CJSC GAMMA (TIN: 0816027102), LLC AGRA (TIN: 7724737585), PJSC VESTA (TIN: 7704757505), CJSC RAFT (TIN: 7710419247), CJSC RTK (TIN: 7710578825), PJSC IFK SOYUZ (TIN: 7726586540) — manipulation in the market for bonds of PJSC Vesta, Series 01 (ISIN: RU000A0JS1S8);

CJSC RTK (TIN: 7710578825), LLC FASTER (TIN: 7721500732), JSC TEKHPROM STK (TIN: 7743897880), PJSC IFK SOYUZ (TIN: 7726586540), CJSC RAFT (TIN: 7710419247), PJSC VESTA (TIN: 7704757505), CJSC RESPUBLIKANSKAYA INTERNET-BIRZHA (TIN: 7706217801), CJSC GAMMA (TIN: 0816027102) — manipulation in the market for bonds of PJSC IFK SOYUZ Series 02 (ISIN: RU000A0JTHF9).

The Entities concluded transactions with the Securities in collusion, in the main trading mode of the exchange. The overall volume of their transactions exceeded 90% of the total trading volume of the Securities over the Period. The transactions were concluded based on matched orders with identical parameters issued with a minor time difference. In the majority of the cases, the parameters of the counterparties’ connections to the software systems intended for issuing orders were also identical.

The transactions with the Securities concluded by the Entities over the Period entailed significant deviations in the price and trading volume of the Securities, as well as enabled the Entities to form and maintain an artificial level of the price and trading volume of the Securities.

As a result of the investigation, the Bank of Russia has established that pursuant to Clause 2, Part 1, Article 5 of Federal Law No. 224-FZ, dated 27 July 2010, ‘On Countering the Misuse of Insider Information and Market Manipulation and Amending Certain Laws of the Russian Federation’, the transactions with the Securities concluded by the Entities over the Period are classified as manipulation in the market for the Securities.

In addition, on 30 December 2013 in the course of exchange trading, PJSC IFK SOYUZ and LLC AGRA concluded a transaction with securities of PJSC Mosenergosbyt (ISIN: RU000A0ET7Z4; currently, JSC Mosenergosbyt), which is also classified as market manipulation.

The Bank of Russia has sent orders to desist from similar violations in future to PJSC IFK SOYUZ, PJSC VESTA, JSC TEKHPROM STK, and LLC STRATEGIYA I LIDERSTVO, whose activities have not been terminated by the moment.

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