Kulbergs sees no reason for Brencis to give up parliament seat after KNAB searches

Latvian Prime Minister Andris Kulbergs (United List) said on 29 October that he sees no grounds for his former adviser Mārtiņš Brencis to renounce the Saeima seat he has just won. The comment followed searches carried out on Wednesday by the Corruption Prevention and Combating Bureau (KNAB), including criminal procedure actions at Brencis's premises, in a case opened by the European Public Prosecutor's Office (EPPO) over suspected misuse of EU funds.

The prime minister's explanation

Kulbergs stressed that no charges have been brought against Brencis and that he does not hold suspect status. Brencis himself has acknowledged that he has the status of a person against whom criminal proceedings have been initiated, with the right to a defence. According to the prime minister, investigators are examining a matter linked to Brencis's earlier work at the Central Finance and Contracting Agency (CFLA), not to the prime minister's office. Kulbergs said Brencis had been caught up in the case "in passing".

Brencis was elected to the 15th Saeima for the United List and previously held senior posts at CFLA, which oversees the use of EU funds. In the prime minister's office he performed administrative duties, coordinating the agenda of cooperation councils.

The Alūksne project case

EPPO, which investigates crimes against the EU's financial interests, said KNAB carried out the searches at its request in a case of suspected procurement fraud and abuse of office involving Alūksne municipal officials. The probe concerns a European Regional Development Fund project to build three production facilities to be leased to companies. Officials and company representatives are suspected of unlawful actions to obtain more than 1.4 million euros. EPPO says suspects misled the responsible authorities and built the facilities for pre-selected entrepreneurs, although tenants were supposed to be chosen through an open auction.

Alūksne council chairman Dzintars Adlers maintained that the premises were leased through auctions and that the municipality broke no rules. No municipal employee was detained. Documents, cash and ammunition were seized during the searches. EPPO opened the case on 11 February this year; the number of people involved is unknown.