OREANDA-NEWS. November 05, 2014. The Federation Council of the Federal Assembly of the Russian Federation approved the Federal Law “On Introducing Changes to Some legislative Acts of the Russian Federation in the Part of Excluding the Provisions Establishing Preferences for Particular Economic Entities” drafted by FAS.

Earlier, on 24th October, the draft Federal Law (No. 295767-6) was adopted in the second and third readings by the State Duma of the Federal Assembly of the Russian Federation.

The Law devised by FAS excludes from Part 2 Article 84 of the Family Code, Part 8 Article 6 of the Federal Law “On Additional Guarantees for Social Support of Orphaned Children and Children deprived of Parental Care” and Part 3Article 19 of the Federal Law “On Guardianship and Custody” the norms that monetary resources of the categories of individuals listed in the above acts can be deposited only in the banks with state participation in the authorized capital.

To secure the monetary funds of those individuals, the Law allows depositing them in any banks provided that such deposits are insured in the system of mandatory insurance of deposits of physical persons, and the total amount does not exceed the maximum amount of compensation in such deposits.

FAS believes that adopting the Law will reduce unreasonable advantages for state banks and will further encourage competition on the market of banking services, particular, by intensifying activity of small and medium banks.