MOSCOW, October 16 - RAPSI. VTB, Russia’s second largest bank, has filed an application with law enforcement bodies to open a case with regard to $32 million allegedly stolen from its Volgograd branch, a close source told Prime Information Agency.

VTB’s press service has confirmed that it has requested a criminal case to be initiated over the theft of funds by a group of individuals.

According to the source, the former VTB Volgograd branch management led by Andrei Gavrilenko issued over one billion rubles ($32 million) in loans to companies affiliated with Evromost. Evromost is engaged in car maintenance, repairs and sales.

After the loans were transferred, the management left the branch and the borrowers went bankrupt. Moreover, some loans had been issued less than a month before the companies decided to close their business.

“The VTB loans have never been repaid and after Gavrilenko and his deputies left the bank, the borrowers filed for bankruptcy, while the loans have still not matured,” said the source.