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. Last Updated: 07/27/2016

Report: RenCap President Steps Down

MTOleg Kiselyov
Renaissance Capital president Oleg Kiselyov resigned Thursday, just a week after the City's Prosecutor's Office brought fraud charges against the executive, a source within the investment bank told Interfax.

The investment bank was not available for comment Thursday. Kiselyov's lawyer did not return repeated calls.

The charges facing the executive, which first emerged in a report last week, are linked to an investigation into an alleged attempt in the last year to steal shares in one of Russia's biggest iron-ore producers, Mikhailovsky GOK. The investigation, which involves the Moscow city police as well as the prosecutor's office, has been running for some time.

Kiselyov was initially involved as a witness. Last Friday, Kiselyov's lawyer Alexander Asnis confirmed his client was now under investigation. It remains unclear, whether the charges would also be followed by an arrest warrant.

The investigation centers on a series of events surrounding the alleged attempted theft of 97 percent of Mikhailovsky GOK, which until last year had been owned by Boris Ivanishvili through his Metalloinvest holding.

Kiselyov headed Metalloinvest between 2001 and 2002, but left the holding and joined RenCap in 2003.

The sale of Mikhailovsky GOK, which was bought by metal moguls Alisher Usmanov and Vasily Anisimov for $1.6 billion, was held up by a dispute over ownership raised by the Bahamas-registered Colchester Group.

Colchester claimed it had bought the business in November 2004 for 3 million rubles ($106,000) but never received the shares, Vedomosti said in a report a week ago.

In an attempt to block Usmanov and Anisimov's purchase, Colchester had the disputed assets frozen by a Rostov regional court. Colchester's case came to nothing, allowing the freeze on the shares to be lifted, but the subsequent investigation led authorities to Kiselyov, Vedomosti said in its report.