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Lithuania: mayor of Šiauliai City Municipality suspected of abuse of office and fraud

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The European Public Prosecutor’s Office (EPPO) in Vilnius is leading the pre-trial investigation related to the lack of transparency of an EU-funded public procurement project worth €1.7 million. The Special Investigation Service (Specialiųjų tyrimų tarnyba –STT) is carrying out the investigation, and a notification of suspicion to the Mayor of Šiauliai City Municipality was served today.

According to the pre-trial investigation, the director of a private company, who was a member of the public procurement committee of the same public procurement process organised by the Šiauliai City Municipality company, enabled a company to win the public procurement contract worth around €1.7 million, which was funded by the European Union. He allegedly created exclusive conditions for the company participating in the tender to win the public procurement.

In June, in the framework of the pre-trial investigation, two persons – the director of the private company and member of the public procurement committee, as well as a shareholder of the winning company – were served with the notifications of suspicion for abuse and incitement to abuse.

The Mayor of Šiauliai City Municipality has been served with the notification of suspicion pursuant to Article 228(2) of the Criminal Code of the Republic of Lithuania for abuse of official position, unlawful influence on the administration of Šiauliai City Municipality, on the director of the company managed by the municipality, and on the permanent public procurement commission, in order to simulate the lawful and transparent public procurement procedure and create a favourable situation for the winning of a public procurement for the company managed by the aforementioned shareholder.