Stability

DSCN1722Russians queued up at a popular currency exchange in central Petersburg on September 19, 2018, as the ruble took yet another plunge, fueled by rumors that the regime was planning to “dedollarize” the Russian economy. Photo by the Russian Reader

Foreign Currency Deposits Withdrawn from Sberbank: Depositors Take Out Over $2 Billion in Two Months 
Vitaly Soldatskikh
Kommersant
October 6, 2018

In September, Russians continued to aggressively withdraw foreign currency from accounts in Sberbank (Savings Bank). Over the past month, the amount of these deposits decreased by $900,000,000, while the amount has decreased by more than $2 billion dollars since the beginning of August. The outflow of funds from the savings accounts of individual depositors took place as rumors of a possible forced conversion of foreign currency deposits grew. However, after reasurring statements by Elvira Nabiullina, chair of the Russian Central Bank, as well as a rise in rates on foreign currency deposits, the outflows may decrease.

On Friday, Sberbank published its monthly statement before other Russian banks, as usual. According to these figures, as we have analyzed them, the populace’s foreign currency-denominated bank deposits in Sberbank decreased by $901 million or 2.7% in September and now total $32.5 billion. Likely as not, Russians simply withdrew this money from the bank without exchanging it for rubles and redepositing it. According to Sberbank’s statement, the populace’s ruble-denominated sight deposits and term deposits descreased last month by 45.78 billion rubles or half a percent to 9.65 trillion rubles. Overall, the outflow of foreign currecy deposits slowed compared with August, when individual clients withdrew $1.18 billion from the bank.

Sberbank’s press service confirmed the outflow of $900 million in deposits by retail clients in September, but noted the inflow of funds from commercial clients amounted to approximately $1.5 billion. (This calculation was made using the bank’s in-house method.)

Sberbank termed August’s outflow of foreign currency deposits the product of a “managed evolution of the bank’s balance sheets.”

Meanwhile, in late August, Sberbank introduced a new seasonal foreign currency deposit plan, valid until the end of September, with annual interest rates that varied from 1.5% to 3%. (The highest rates was for customers willing to deposit a minimum of $150 million for a period of three years.) Currently, Sberbank’s highest interest rate for dollar-denominated deposits is 2.06%, whereas a number of major banks, including VTB Bank, Russian Agricultural Bank (Rosselkhozbank), Alfa Bank, and Rosbank, offer interest rates on dollar-denominated deposits of 2.5% per annum.

September’s outflow of deposits from Sberbank occurred as VTB Bank chair Andrey Kostin made a series of statements about the possible implementation of harsher sanctions, under which Russia’s state-owned banks could be stripped of the ability to make dollar-denominated transactions. Were this to occur, Kostin said, VTB Bank could not rule out having to disburse funds from dollar-denominated accounts in another currency as a way of upholding the bank’s obligations to its clients. These statements by the head of Russia’s second largest bank did not go unnoticed. Central Bank chair Elvira Naibullina was forced to calm bank customers by denying the possibility of a compulsory conversion of deposits. According to Naibullina, such moves would only undermine confidence in Russia’s banking system.

According to our analysis, foreign currency deposits held by commercial clients at Sberbank increased by $1.43 billion in September. This occurred largely due to the growth of long-term deposits by commercial firms. Deposits made for terms of three years or longer grew by $1.56 billion, while deposits for shorter terms shrunk. Also, the balances on the accounts of foreign companies grew by $902 million. The ruble-denominated balances on Sberbank accounts held by commercial clients grew by more than 222 billion rubles in September. This increase was mainly due to the nearly 151 billion rubles in additional monies raised by the Federal Treasury.

According to Fitch Ratings, the most considerable outflows in corporate funds, adjusted for fluctuations in the foreign currency exchange rate, were observed at Sberbank (117 billion rubles or 1.7%), Gazprombank (87 billion rubles or 2.8%), and Rossiya Bank (58 billion rubles or 9.4%). Retail deposits also declined mainly at Sberbank (107 billion rubles or 0.9%) and banks undergoing reorganization by the Central Bank (35 billion rubles or 3.2%), while other banks enjoyed a fairly uniform increase in retail deposits.

According to Ruslan Korshunov, director for bank ratings at Expert RA, the largest Russian credit rating agency, “Rumors of the Russian economy’s dedollarization and the possible conversion of foreign currency deposits into rubles could have pushed a segment of the populace to withdraw their money from state-owned banks, against which sanctions could be strengthened.”

At the same, Korshunov noted the outflow of retail deposits in September could also have been caused by a seasonal factor: the return of the populace from holiday and, consequently, an increase in consumer activity. However, he believed these factors had a one-off effect and such outflows were highly unlikely in October.

Translated by the Russian Reader

Sanktsionshchiki

sankts“Sanctioned product”

The Demand for Sanctions Specialists Has Grown in Russia
Svetlana Romanova
RBC
November 9, 2017

According to recruiting agencies and job search sites, he Russian job market has seen a growing demand for employees who understand the ins and outs of sanctions legislation.

According to Headhunter.ru, there were 27 published vacancies for sanctions specialists in October 2017; there were a mere nine vacancies in October 2014. Sberbank, VTB, UniCredit, Raiffeisen, Globex, and the Russian Regional Development Bank are among the companies now recruiting these specialists.

It is not only banks that have been generating the demand (they account for 44% of all vacanies) but also law firms (21%), accounting firms (11%), and insurance companies (10%). Starting pay is 250,000 rubles a month [approx. 3,600 euros a month], but experienced specialists can count on monthly salaries of 500,000 rubles, we were told by the personnel agencies we interviewed.

Vacancies advertised on websites are only the tip of the iceberg: headhunters are usually employed to find sanctions specialists. The first request for a sanctions specialist to the recruiting agencyHays was made by a major private Russian bank in late 2014, said Darya Anikina, managing consultant for financial institutions at Hays. Currently, the agency selects candidates for at least five positions a month at different companies. Our sources at the agencies Cornerstone, Kontakt, and Unity also told us about a deficit of sanctions specialists.

“The profession doesn’t exist officially. It’s not taught anywhere,” said Yuri Dorfman, a partner at Cornerstone.

Headhunters have to make compromises and use their imaginations. For example, Cornerstone recently succeeded in placing a specialist at a bank. At his previous job, he had been employeed preventing money laundering, and monitoring and stopping illegal financial transactions. Sanctions specialists are also aware of the demand and have been making the most of it. When moving to a new company, they ask for at least a thirty or forty percent raise, rather than the customary twenty percent raise.

Whereas sanctions specialists are sought out by banks and legal firms, the consumer goods retail sector has been vigorously looking for specialists to help it get round the Russian Federation’s countersanctions, meaning specialists in logistics and foreign trade. According to the website Superjob, the salaries for such vacancies increased by 18% in 2017.

______________________________

Sanktsionshchiki: Who Recruiting Agencies Are Hunting Nowadays
Svetlana Romanova
RBC
November 9, 2017

The Russian labor market’s demand for sanctions experts has been growing. People who practice this new, rare profession earn between 250,000 and 500,000 rubles a month, and employers have been headhunting them with a vengeance.

Since March 2014, the US, the EU, and other countries have been continously imposing more and more sanctions on Russian nationals, companies, and individual industries. This has provoked a demand for sanctions experts on the Russian jobs market. Some companies simply cannot do without their assistance. According to headhunters, there is a lack of such specialists. Employees who have improved their qualifications and learned how to deal with the restrictions and risks occasioned by sanctions can count on salary increases of thirty to forty percent.

Sanktsionshchiki
In March 2014, 46-year-old Artyom Zhavoronkov, a partner at the legal firm Dentons who specializes in mergers and acquisitions, was planning to travel to Washington, DC, to give a lecture to an American audience about how to build a business in Russia. But since the US had imposed the first set of sanctions against Russia [sic], the Americans cancelled the lecture. Zhavoronkov kept his head and suggested changing the subject of the lectures. He decided to talk about something more topical: the sanctions and their consequences. Ultimately, the lecture took place, and it was standing room only in the auditorium. It was then that Zhavoronko understood he had found a new business niche: legal advices on issues related to sanctions. Currently, he consults twenty to thirty international and Russian clients monthly.

Recruiting agencies received the first requests for sanctions specialists in the spring of 2014, but by the autumn of 2017 the demand for such specialists had become stable. The demand has grown not only for temporary consultants like Zhavoronkov: many companies seeks to hire in-house specialists. According to HeadHunter.ru, its website listed nine such vacancies in October 2014. By October 2017, that number had grown to 27. Candidates are usually expected to have degrees in law or finance, a good command of English, and a high tolerance for stress.

This is the tip of the iceberg, because companies usually employ headhunting agencies to find sanktionshchiki. Russian ompanies have realized no one is going to cancel the sanctions anytime soon, the lists of sanctioned companies and individuals have been expanding, and so the problem will not solve itself.

The first request for a sanctions specialist to the recruiting agency Hays was made by a major private Russian bank in late 2014, said Darya Anikina, managing consultant for financial institutions at Hays. Currently, the agency selects candidates for at least five positions a month at different companies. Compared with other professionals, this is a tiny figure, but for the time being they are all that is needed. In a company that employs a thousand people, there might be three or four such specialists, but they will earn more than their colleagues.

Who and What Banks Are Looking for

Vacancy: Specialist for international sanctions monitoring group

Duties: Vetting of bank clients and transactions against the lists of international sanctions, as imposed by the US, EU, UN, and other in-house lists. Search and analysis of additional information on the internet and the bank’s internal databases in order to analyze automatically generated warnings regarding the bank’s clients and transactions. Drafting of brief, well-argued analyses of automatically generated warnings. Filing of reports.

Requirements: Tertiary degree in economics, finance or law. No less than six months’ experience working in a credit institution. Experience working with automated banking systems. Command of written and spoken English at the intermediate level is obligatory. Ability to cope with large amounts of routine work. The candidate must be detail-oriented, focused, perseverant, able to learn quickly, proactive, diligent, and well-spoken.

Sourcejob listing on the website Headhunter.ru

Banks on the Hunt
Artyom Zhavoronkov provides sanctions-related legal services. He establishes whether the owner of a company with whom his client plans to make a business deal is not on the sanctions lists, and he drafts supply contracts that account for international restrictions. But he also provides more ambitious services. Recently, Zhavoronkov drafted a plan for an oil company: he conceived and drafted an in-house list of “sanctions” rules. For example, Zhavoronkov devised a special algorithm for sale managers that prevents them from making deals with companies and individuals on the sanctions list.

“If questions arise, sales managers contact legal counsel, and together they decide whether they can sign a contract,” Zhavoronkov explained.

Most of all, Zhavoronkov is proud he succeeded in getting a major company off the sanctions list. (He did not name the company, citing a nondisclosure agreement.) He conducted long negotiations with regulators, trying to prove to them that the circumstances that had led to his client’s ending up on the sanctions list had changed. Although the US Treasury Department’s Office of Foreign Assets Control (OFAC) has not made public a single instance in which the US has taken Russian companies off the sanctions lists, there have been precendents in other countries. In September 2014, Canada removed sanctions from two Russian banks, Expobank and Rosenergobank, acknowledging they had been placed on the sanctions list mistakenly.

The services of sanctions experts are needed by investment funds, including ones run by major banks, and the management companies of oligarchs who have been sanctioned, said Zhavoronkov.  There is also demand from consulting companies. However, judging by job search websites, it is Russian banks that are most in need of employees versed in the ins and outs of sanctions. Since 2014, banks have accounted for 44% of such vacancies on HeadHunter.ru, with legal companies coming in second at 21%.

Recently, two vacancies were posted by the country’s largest bank, Sberbank. It seeks two experts for its international sanctions monitoring group. The specialists must prepare opinions on transactions and operations, that is, check whether they are covered by the sanctions imposed by international organizations and individual governments, consult with employees, and respond to their requests. Sberbank refused to tell us whether it had succeeded in filling the positions.

Other financial institutions have placed help wanted ads on HeadHunter.ru: VTB, UniCredit, Raiffeisen, Globex, and the Russian Regional Development Bank. None of them agreed to talk with us on the record. RBC’s sources at a major state bank confirmed they have a full-time sanctions specialist on staff. But the source refused to provide details, adding that no one wants to talk about it publicly, since the “topic is painful and nothing to brag about.”

Russian financial institutions that have been sanctioned need specialists to keep from having even more serious restrictions imposed on them and avoid jeopardizing their business partners.

Banks that have not been blacklisted need such specialists to avoid violating the sanctions by working with counterparties. Otherwise, they can also have their access to western loans cut off. Primarily, this concerns the top one hundred financial institutions in terms of assets. It is they who hire sanctions specialists, said Roman Kuznetsov, senior analyst at the investment company QBF. Each major bank has a few sanctions specialists, said Andrei Zakharov, director of the financial institutions personnel recruiting department at Kontakt.

Experience Is More Important than a Diploma
Of course, not a single Russian university educates sanctions specialists, nor are there any continuing education courses on the topic as of yet. Everything has to be learned on the job. Successful candidates for sanctions specialist jobs usually have three or four years’ experience working in legal compliance or auditing departments of banks. Candidates with other financial backgrounds are considered less often, said Darya Anikina.

Dentons employs 200 attorneys. Aside from Zhavoronkov, however, only two of his colleagues, both of them under thirty, deal with sanctions-related cases. Zhavoronkov is their mentor. He made it his goal to cultivate these unique specialists in firm. Currently, there are very few experienced employees who understand the intricacies of the sanctions. Three and a half years have passed since the first sanctions were imposed. This is too short a time to form a pool of specialists.

Unlike the Russian labor market, the specialization has existed on the American job market for several decades. Sanctions compliance in the US is an entire niche business, claimed Zhavoronkov. The staff of any American law firm usually has one such specialist. His or her work is considered routine.

According to Bloomberg, the demand for sanctions expertise in the US grew in 2014. American companies frequently hired former officials from the Treasury Department, who were involved in drafting most of the restrictions. For example, until 2014, Chip Poncy was head of the unit for combating the financing of terrorism and financial crimes at the Treasury Department, but after the first sanctions against Russia [sic] were imposed, Poncy founded Financial Integrity Network, which helps businesses deal with the restrictions.

The costs of making a mistake can be quite hefty. For example, the French bank BNP Paribas agreed to pay $8.97 billion in fines after it was discovered it violated sanctions regimes between 2004 and 2012, when it did business with individuals and companies from Sudan, Iran, and Cuba, which have been sanctioned by the US.

The Reverse Side of the Sanctions
Whereas banks and legal firms have been seeking sanctions specialists, the FMCG (fast-moving consumer goods) sector has been vigorously seeking people who can help them bypass the produce embargo imposed by Russia, that is, they have been seeking experts in logistics and foreign trade. According to the website Superjob, the job of foreign trade manager was among the top jobs in terms of salary increases in 2017. The starting salaries for such specialists have increased by 18% since the beginning of the year.

The Price Tag
None of the vacancies on HeadHunter.ru that RBC examined contained information on the salaries of sanctions specialists. However, recruiters says the starting salary of a specialist with little work experience is 250,000 rubles a month.

Nevertheless, it is difficult to fill the positions quickly, admitted Anikina. Nor is it always clear how and where to find the right people, Yuri Dorfman, a partner at the agency Cornerstone, agreed with Anikina.

“This is not marketing, where the process for filling jobs is clear and formalized. The profession doesn’t exist officially,” he said.

Recently, Cornerstone managed to find a specialist for the compliance department at a bank. At his previous job, he had been employeed preventing money laundering, and monitoring and stopping illegal financial transactions. Sanctions specialists, a new and rare breed, are also aware of the demand and have been making the most of it. When moving to a new company, they ask for at least a thirty or forty percent raise, rather than the twenty percent pay rise customary on the market.

Felix Kugel, managing director of the recruitment company Unity, sees an experienced attorney who has a thorough knowledge of corporate law as the perfect sanctions specialist. The salary of an employee like this could be around 500,000 rubles a month [i.e., over 7,000 euros; by way of comparison, according to the website Trading Economics, the average montly salary in Russia as of October 2017 was 38,720 rubles or 556 euros, although regular readers of this website will know that real monthly salaries are often much lower in particular occupations and regions—TRR].

It is unlikely sanctions specialists will be unemployed.

“I would be glad if the sanctions were lifted, despite the fact I earn money from them,” said Zhavoronkov, “but I am confident this won’t happen in the near future.”

Zhavoronkov recalls the Jackson-Vannick amendment to the Trade Act of 1974, which limited trade with countries that restricted emigration and violated other human rights, e.g., the Soviet Union, China, Vietnam, and Albania. It was officially abolished in 2012, although it had de facto ceased to function in 1987.

The new specialization will be in great albeit limited demand [sic] in Russia in the coming years, agreed Roman Kuznetsov. But additional knowledge about how the sanctions are structured would come in handy to all Russian banking, finance, and legal sector employees. Understanding the ins and outs of the sanctions means you have a good chance of increasing your salary by thirty to forty percent, we were told at Hays.

Restricted Area
The first set of sanctions, occasioned by the annexation of Crimea and the conflict in Donbass, were imposed by the US, EU, Australia, New Zealand, and Canada in mid March 2014. Since then, the black lists have expanded due to the inclusion of personal sanctions (directed at specific people and companies affiliated with them) and sectoral sanctions (directed against individual industries and activities), and other countries and international organizations have joined the sanctions regime. Currently, the US has sanctioned over one hundred Russian nationals and companies, not counting foreign companies connected with sanctioned Russians. The EU has sanctioned 149 individuals and 38 companies.

Five Russian banks with ties to the Russian state have been sanctioned: Sberbank, VTB, Gazprombank, Rosselkhozbank, and Vnesheconombank. These financial institutions are not eligible for long-term financing abroad, and US and European investors are forbidden from buying shares and Eurobonds from these banks. In addition, the US has banned doing business with 33 companies in the Russian military-industrial complex, including Kalashnikov, Almaz-Antey, Rosoboronexport, Rostec, United Aircraft Corporation, and Russian Helicopters. The oil and gas industry is represented in the black lists by Rosneft, Transneft, Gazpromneft, NOVATEK, Gazprom, and Surgutneftegaz. The US and UE have imposed sanctions not only on banks, military-industrial companies, and oil and gas companies but also on completely “peaceful” firms, for example, the drinking water and beverage manufacturer Aquanika, a subsidiary of Gennady Timchenko‘s Volga Group.

In 2016, [former Assistant Secretary of State for European and Eurasian Affairs at the US Department of State] Victoria Nuland said in Kiev that the sanctions would not be lifted until Russia returned Crimea to Ukraine.

Translated by the Russian Reader. Photo courtesy of Stringer

Clouds Rose Over the City: How the ZSD Has Changed the Face of Petersburg

The Western High-Speed Diameter seen from the spit of Kanonersky Island, June 26, 2016. Photo by the Russian Reader
The Western High-Speed Diameter (ZSD) tollway, currently nearing completion, as seen from the spit of Kanonersky Island, June 26, 2016. Photo by the Russian Reader

How the Western High-Speed Diameter Has Changed Petersburg’s Look
Kanoner
August 15, 2016

The central section of the ZSD (Western High-Speed Diameter) has almost been completed and looks as it will for years to come. Petersburgers are getting used to how the tollway’s tall bridges have altered familiar cityscapes.

Construction of the ZSD’s central portion was launched in 2013. By that time, the entire southern segment from the Ring Road to the Yekaterinagofka River had been opened to traffic, and a little while later, the ribbon was cut on the northern segment, which runs from Primorsky Prospect to the Scandinavian Highway. While the city built the southern and northern segments in the guise of Western High-Speed Diameter JSC, the most complicated section has been entrusted to Northern Capital Thoroughfare, Ltd., which is linked to VTB Bank and Gazprombank.

The length of the central portion is around 12 kilometers. It runs from the Yekateringofka River to Primorsky Prospect. The segment mostly consists of a series of bridges crossing the Neva Bay on high piers. It was designed by Stroyproyekt Institute JSC. The crossings over Petersburg’s two main fairways—the Petrine Fairway (in the mouth of the Malaya Neva River), and the Ship Fairway (in the mouth of the Neva River)—were built higher. The ZSD reaches its highest point when it passes over Kanonersky Island and the Sea Channel.

A map of the western edge of central Petersburg. The ZSD's 12-km central section is indicated by the dotted pink-and-white line running roughly from north to south along the shoreline. Image couresty of OpenStreetMap
A map of the western edge of central Petersburg. The ZSD’s 12-km central section is indicated by the dotted pink-and-white line running roughly from north to south along the shoreline. Image courtesy of OpenStreetMap

The height of the cable bridge across the Ship Fairway is 35 meters. The crossing is noteworthy for its inclined pylons. According to designers, they are supposed to resemble the drawbridges in Petersburg’s historic center.

Another of its distinguishing features is its visibility from the historic center. The chunks of concrete in a tight web of cables are visible over the Spit of Vasilyevsky Island if you look from the Liteiny Bridge; they can also be seen from the Admiralty.  In addition, the bridge has risen over the far end of Bolshoi Prospect on Vasilyevsky Island. The inclined pylons have had the greatest visual impact on the view down Bolshoi Prospect from northeast to southwest.

The new view down Bolshoi Prospect, Vasilyevsky Island

The cable bridge over the Petrine Fairway reaches a height of 25 meters. However, two of its pylons have risen to a height of 125 meters, which is slightly higher than the spire of the Peter and Paul Cathedral. In recent years, the cathedral has rapidly been losing its status as the city’s visual centerpiece. The tall pencil-like pylons can now be easily seen from the Islands.

The 125-meter-high pylons of the ZSD as it crosses the Petrine Fairway at the mouth of the Malaya Neva River. Photo courtesy of The Village
The 125-meter-high pylons of the ZSD as it crosses the Petrine Fairway at the mouth of the Malaya Neva River. Photo courtesy of The Village

The bridge crosses the Elagin Fairway at the mouth of the Bolshaya Nevka River. The bridge is situated at a height of sixteen meters, but that has sufficed to wipe out one of the oldest views of the Gulf of Finland, the view that once opened from the spit of Elagin Island. Whereas previously you could catch a glimpse of Kronstadt from the Central Park of Culture and Rest (TsPKiO) on a sunny day, you now must admire the highway.

This video provides a bird’s-eye view of construction of the ZSD over the Bolshaya Nevka River and the nearby Zenit Arena football stadium, on the spit of Krestovsky Island. Posted on YouTube by Alexander Parkhomenko on April 11, 2016, it was, apparently, filmed by a drone on October 18, 2015.

But as it crosses the Sea Channel, the bridge has come to tower over an entire island, Kanonersky. Its metal girders hang right over the island’s late-Soviet residential high-rises.  Some of the buildings will have to be resettled, but no buildings have been demolished yet and, most likely, none will be.

Путиловская набережная, ЗСД

Канонерский остров, ЗСД

This stretch of the ZSD is the highest, because the main water route to the Neva (i.e., the one with the deepest fairway) runs through this part of town. The height of the span is 52 meters. Initially, it was planned to be slightly higher, 55 meters. It was lowered “to mitigate the highway’s longitudinal profile in order to ensure traffic safety on the approaches to the highest portion of the ZSD.”

The ZSD running right over the treetops of Kanonersky Island. Photo by the Russian Reader
The ZSD running right over the treetops of Kanonersky Island, June 26, 2016. Photo by the Russian Reader
The ZSD under construction near the central beach on Kanonersky Island,
The ZSD under construction near the central beach on Kanonersky Island, June 26, 2016. Photo by the Russian Reader

The 52-meter mark was cleared with the United Construction Corporation and the management of the Port of Saint Petersburg. Nevertheless, a group of activists including Rear Admiral Igor Kolesnikov and Alexander Ivanov, Honorary Worker of the Soviet Marine Fleet, issued a statement that “the bridge clearances adopted in the draft project exclude the passage of large ships, vessels, and boats.”

Морской канал

In addition to the bridge, the face of the city has been impacted by another engineering decision made by the ZSD’s designers. As it passes the western edges of Vasilyevsky Island and the Island of the Decembrists, the road has been laid along the bottom of a ditch dug into the ground. Moreover, the road bed is essentially situated where ten years ago the waves of the Gulf of Finland washed the shoreline.

ЗСД на Васильевском острове

A tunnel was built under the mouth of the Smolenka River to construct this segment of the highway. It was built using the cut-and-cover method. Due to this fact, the Smolenka flowed into the gulf via two channels. While the tunnel was under construction, they were closed in turn to drain the water away. During the first phase, the tunnel was dug under the southern channel; during the second phase, under the northern channel.

ЗСД, тоннель под Смоленкой

The reclaimed lands to the west of the ZSD have been undergoing vigorous housing development, but they are cut off from main part of Vasilyevsky Island by the ZSD itself. The only link is Michmanskaya Street, which runs over the highway via an overpass, which was built before construction on the ZSD had begun. To improve transportation accessibility over the highway, two more bridges have been erected in the vicinity of Europe Square. For the time being, however, like the entire ZSD, they are fenced off and closed not only to traffic but also to pedestrians.

Under the investment agreement, the central section of the ZSD must be delivered this year. In the wee hours of August 9, a demonstration took place that involved securing the locking section of the road bed for the cable bridge over the Ship Fairway. Next, the final guy lines have to be adjusted and tightened, and the road bed must be asphalted.

According to the most recent statements by Petersburg city hall officials, the entire highway is scheduled to be open to traffic in November.

Translated by the Russian Reader. Photos by Dmitry Ratnikov, except where noted.

_________

“Clouds Rose over the City,” from the film The Man with the Gun (1938), as sung by Mark Bernes:

Clouds rose over the city,
The smell of storm was in the air.
In faraway Narvskaya Zastava
Walked a young lad.

Ahead of me is a long, long road.
Come out, my dear, and say goodbye.
We’ll say our farewells in the door.
And you wish me luck on my way.

NTV Lies

Warning in TV listing next to NTV logo: "Be careful! TV news programs often commit distortions and false information. This tendency has been most often been remarked on NTV and Rossiya." Photo courtesy of mstrok.ru
Warning in TV listing next to NTV logo: “Be careful! TV news programs often commit distortions and false information. This tendency has been most often been remarked on the channels NTV and Rossiya.” Photo courtesy of mstrok.ru

Hygienic Modification
Regional newspapers warn readers about “false information on NTV”
Grani.ru
June 8, 2016

Beginning June 8, up to a hundred regional newspapers, most of them members of the Alliance of Independent Regional Newspapers (ANRI), will publish in their TV listings a warning next to the logo of TV channel NTV that it spreads false information. Valery Bezpyatykh, editor-in-chief of City News, a newspaper published in Redva, Sverdlovsk Region, and one of the organizers of the protest, explained their plans to TV Rain.

According to Bezpyatykh, he vetted the text of the appeal to ANRI members with lawyers before sending the letter, in which he asked members to note in their TV listings for NTV that the channel broadcasts “distorted information or propaganda” under the guise of journalism.

Bezpyatykh estimated that between twenty and forty newspapers could join the protest this week, but by the next week the number could grow to one hundred.

The protest was inspired by the newspaper Evening Yakutsk, which in late May printed a note next to NTV’s logo, warning that the channel committed “distortions and false information” on the air. The note appeared in the newspaper after the film Debtors of the State Department, which claimed the newspaper received funds from foreign sources linked to the US State Department, was aired. The film also mentioned other media outlets, including Tula News Agency, the Tomsk channel TV2, and Chelyabinsk Worker newspaper.

ntv_01
Excerpt from the TV listings in the June 8, 2016, edition of the Redva City News. The warning read, “Be careful! You might get distorted information or propaganda in the guise of journalism on NTV. Details on page 2.” Image courtesy of redva-info.ru

The Public Board on Complaints against the Press has labeled the NTV film a “mendacious denunciation” in which “manipulative techniques for impacting the minds of viewers” were used. The board supported the view of expert Svetlana Shaikhitdinova, who argued the NTV film was an “information product created by spin doctors in order to discredit the directors of Russia’s regional media.”

NTV has repeatedly broadcast made-for-TV films attempting to expose the Russian opposition. The most controversial were Anatomy of a Protest and Anatomy of a Protest 2, shot in 2012. Russian law enforcement authorities filed criminal charges based on claims made in Anatomy of a Protest 2.

In April 2016, the channel aired the film Kasyanov’s Day, based on illegal footage of members of the opposition.

NTV has been on the air in Russia since 1993. It is part of the Gazprom Media Group holding, owned by Gazprombank.

Translated by the Russian Reader. Thanks to Comrade VZ and Gabriel Levy for the heads-up