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By Alessandra Prentice and Pavel Polityuk November 15 at 9:37 PM

KIEV Ukrainian President Petro Poroshenko issued several decrees Saturday to shut state institutions and banking services in pro-Russian eastern regions, pressing a move to cut links with the rebel-held territory.

Ukraine has cut all state funding to separatist parts of the Donetsk and Luhansk regions after separatists held elections that Poroshenko condemned as illegal and in violation of a cease-fire pact made in September. The rebels say Ukraine violated the deal by moving to revoke a law granting the regions autonomy, putting an already fragile accord in doubt.

A decree posted on the presidents Web site said all state companies, institutions and organizations should end their work within a week and evacuate workers, with their permission, [and] where possible remove property and documents.

The ruling, which formally asks parliament to revoke the special status of the regions, also suggests Ukraines central bank take measures to close down all banking services in certain parts of separatist-held areas, including card operations.

Poroshenkos rulings, which are based on decisions made by Ukraines Security Council, also require Ukrainian gas producers to supply all their output in the 2014-2015 seasons to the population, rather than to industry.

Russia cut off gas supplies to Ukraine in June over a pricing dispute and while some flows may restart in the coming weeks after an agreement brokered by the European Union. Ukraines dependence on Russian natural gas and other resources have financial implications for both countries.

Russian President Vladimir Putin said Saturday that Russia would not demand early repayment of $3billion that Russia lent to Ukraine last year, the Interfax news agency reported, citing comments by Putin to German TV channel ARD. But Putin said that Russian state bank Gazprombank could demand early repayment of loans made to the Ukrainian state energy firm Naftogaz, the Itar-Tass news agency reported.

Ukraine accuses Russia of sending more soldiers and weapons to help rebels prepare for a new offensive. The Kremlin has repeatedly denied aiding the separatists.

Reuters

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Ukraine to close state offices, bank services in rebel-held east

Kiev Ukrainian President Petro Poroshenko issued several decrees on Saturday to shut state institutions and banking services in pro-Russian eastern regions, pressing a move to cut links with the rebel-held territory.

Ukrainehas cut all state funding to separatist parts of Donetsk andLuhanskregions after separatists held elections in late October which Poroshenko condemned as illegal and in violation of a ceasefire agreement made in September.

The rebels, in turn, sayUkraineviolated the deal by moving to revoke a law granting the regions autonomy, putting an already fragile ceasefire in doubt.

A decree posted on the president's website said all state companies, institutions and organizations should end their work within a week and "evacuate workers, with their permission, (and) where possible remove property and documents."

The ruling, which formally asks parliament to revoke the "special status" of the regions, also suggestsUkraine's central bank take measures to close down all banking services in certain parts of separatist-held areas, including card operations.

UkraineaccusesRussiaof sending more soldiers and weapons to help rebels prepare for a new offensive and has cut off state funding to the war-shattered eastern regions as it refuses "to finance terrorists."

The Kremlin has repeatedly denied aiding the separatists, driving relations with Kiev to an all-time low.

A Reuters reporter saw an unidentified 40-vehicle column of military vehicles, including personnel carriers and artillery guns, traveling across separatist territory towards the rebel-held city ofLuhanskon Saturday.

A Ukrainian military spokesman said seven soldiers had been killed in the past 24 hours, while the press service for the 'Donetsk People's Republic' said six civilians, including two children, were killed in shelling on Friday. More than 4,000 people have been killed in the conflict so far.

The presidential rulings, which are based on decisions made byUkraine'sSecurity Council, also require Ukrainian gas producers to supply all their output in the 2014-15 seasons to the population, rather than to industry.

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Ukraine closes state institutions, banking services in east

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