On May 1st, the Central Depository started segregating accounts of individuals and legal entities from Russia and Belarus. This involved the practice of keeping funds segregated in a separate bank account, opened by the broker, distinct from the company's funds. The assets of Russian deponents (individuals using the depository's services for securities custody) were held in international settlement depositories such as Euroclear and Clearstream, the correspondent of Daryo.uz reports.
It was discovered that similar requirements were imposed on the Central Securities Depository (CSD) of AIX (Astana International Exchange), in compliance with the European Union sanctions against Russia and Belarus.
"AIX CSD understands that the amount of funds received from income payments, dividends, bond redemptions, equal to or exceeding 100,000 euros, regardless of currency, per beneficial owner will be blocked by Euroclear. AIX CSD informs participants that this limitation will affect 'pay-against-payment' settlements related to 100,000 euros or more (or its equivalent in another currency)," said AIX.
Since the beginning of January 2022, AIX and Euroclear signed an agreement allowing institutional investors to settle transactions involving securities either through their account opened at Euroclear Bank or through their custodian's account in a financial institution.
AIX CSD worked with brokers, including those associated with Russian players such as BCS Cyprus (part of the BCS financial group) and Renaissance Securities in Cyprus (part of the Renaissance Capital group).
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