Banks, Financial Services, Latvia, Legislation

Andrejs Grisins, head of the Criminal Police Administration, told the press on Tuesday that the police has been focusing on breaches in the insolvency processes. Last year 17 criminal procedures were started about possible violations conducted by insolvency administrators. Seven criminal procedures were launched this year, and four cases have been sent for criminal prosecution.

The police in cooperation with other law enforcement institutions, including Corruption Prevention and Combating Bureau, has launched two cases this year in relation to insolvency processes. In one of the cases, administrator Ilmars Krums, Maris Spruds, and financier Jorens Raitums were detained. Grisins confirmed that the case is related wth liquidation process of Trasta Komercbanka. The three suspects are charged with distortion in an organized group and money laundering.

In the second case, administrator Nauris Durevskis has been detained for involvement in an insolvency process of a company.

In order to ensure possible confiscation of property, the property has been arrested – EUR 380,000, three premium class cars, real estate properties and shares in companies.

Riga Latgale District Court on June 9 decided to arrest Durevskis, Spruds, Krums, and Raitums. A couple of days later Raitums was released.