Moscow City Court Eases House Arrest Terms For Baring Vostok Founder Calvey

Moscow City Court has upheld the decision to extend the house arrest on embezzlement charges of US investor Michael Calvey, founder of the Baring Vostok investment fund, but allowed certain abatement to his detention terms, a Sputnik correspondent reported from the courtroom on Thursday

MOSCOW (UrduPoint News / Sputnik - 15th August, 2019) Moscow City Court has upheld the decision to extend the house arrest on embezzlement charges of US investor Michael Calvey, founder of the Baring Vostok investment fund, but allowed certain abatement to his detention terms, a Sputnik correspondent reported from the courtroom on Thursday.

Calvey was arrested in Moscow in February on charges of defrauding a Russian bank of almost $40 billion. In April, the court decided to change his restraint measure from pre-trial detention to house arrest.

"The prosecutor has lifted the ban on interactions with all persons and changed it to a ban on interactions with complainants, witnesses and other parties to litigation," the judge said.

The court's spokesperson, Ulyana Solopova, told Sputnik that the new ruling simply introduced clarifications to the existing one by specifying the circle of individuals restricted from contact with Calvey, who still was allowed interactions with his close family members and attorneys, as per Russian law.

"Calvey remains under house arrest and cannot leave the designated living space without the prosecutor's authorization," Solopova added.

During the hearings, Calvey's attorney, Larisa Kashtanova, requested the replacement of his house arrest with a travel ban or bail, but was denied on the grounds that he, in possession of a US passport and fearing prosecution, could attempt to flee the country.

Earlier in the day, the Moscow City Court ruled to release on house arrest another Baring Vostok partner, Philippe Delpal from France, who was arrested along with Calvey back in February but remained in pre-trial detention, unlike him.

Calvey, Delpal and three other individuals were detained in February on charges of defrauding a Russian lender of 2.5 billion rubles ($39 million). According to the probe, they offered to pay back the debt to Vostochny Bank with a controlling stake of another company that Calvey owned of allegedly tantamount value. The prosecution has found that the shares are far less valuable, worth an approximate 600,000 rubles at most.