ALLEGED BANK FRAUD MAY NOT HAVE HAPPENED.

On July 9 the government newspaper Rossiiskaya gazeta accused Oneksimbank subsidiary MFK of making off with a $400 million loan intended for the military aircraft manufacturer MiG-MAPO. (See Monitor, July 9) Journalists from NTV’s Itogi looked into the alleged fraud, but were unable to find any spokesmen from the government, Central Bank, or MiG-MAPO company willing to go on record. Oleg Sapozhnikov, spokesman for MFK, insists that no crime has been committed, and that the government specifically instructed his bank to take the money from the Finance Ministry and issue the funds as securities to MiG-MAPO. (NTV July 13)

Primakov Offers Cross-Guarantees to Baltic States.