Russia has launched an updated bank card unblocking mechanism involving the Ministry of Internal Affairs of the Russian Federation, effective 1 December. The initiative is designed to safeguard conscientious citizens who have been wrongfully flagged as potential ‘money mules’ due to suspicious transactions, including those related to cryptocurrencies.
Under the new system, clients whose cards are blocked may now appeal directly to the Russian Ministry of Internal Affairs: after an enquiry and a case review, the case is forwarded to the Bank of Russia for removal from the list. The regulator reports receiving approximately 1,000 such appeals daily. The new approach aims to shorten response times, mitigate reputational and financial harm for individuals and businesses, and enhance transparency in the interaction between banks, the regulator, and law enforcement.
In a recent interview to the INFOX.ru News Agency, FBK Managing Partner Alexey Terekhov commented on the innovation: ‘Unfortunately, efforts to protect honest citizens inevitably lead to unintended repercussions over time.’
