Latvia: Three detained in probe into possible fraud involving Municipality of Valka

(Luxembourg, 7 November 2023) – The European Public Prosecutor’s Office (EPPO) in Riga (Latvia), in cooperation with Latvia’s Corruption Prevention and Combating Bureau (KNAB), carried out searches and detained three people today, in a probe into possible fraud involving state officials from the Municipality of Valka.

It is understood that the suspects, together with representatives of a private company, committed illegal actions in order to obtain more than €740 000 from the EU’s European Regional Development Fund (ERDF) and over €30 000 from Latvia’s state budget, for a project implemented by the municipality.

Under the terms of the project, an industrial building was to be constructed and made publicly available for general use by companies operating in any industry sector. However, it is suspected that the structure was built in the interest of a previously determined company, in violation of the conditions for the implementation of the project – thus misleading the institutions overseeing its execution.

The investigation is ongoing, in order to ascertain the nature and extent of the suspected criminal activities.

The EPPO is the independent public prosecution office of the European Union. It is responsible for investigating, prosecuting and bringing to judgment crimes against the financial interests of the EU.