MOSCOW, March 13 - RAPSI. The Central Bank and the Deposit Insurance Agency (DIA) proposed to cut bonuses for top managers in insolvent and bailed out banks, said Central Bank deputy chairman Mikhail Sukhanov.

He said the Central Bank and the DIA are expected to bring forward amendments to the law on credit institutions bankruptcy and the law on extra measures for enhancing banking system stability.

The Central Bank proposes to regard top managers' claims in the banks undergoing bankruptcy procedure as third-priority rather than second-priority obligations. According to Sukhanov second-priority claims are normally satisfied by 80 percent, while third-priority liabilities by 10%.

"The same could be done in course of bailout, but it is a bit more difficult," Sukhanov said.

By international standards the amount of bonuses payable to top managers depends on the bank's performance. Therefore, top executives in banks brought on the verge of bankruptcy or bailout should have no bonuses at all, Sukhanov added.