Riga company officials face criminal charges for tax evasion

The Tax and Customs Police (NMP) has initiated two criminal proceedings against officials from Riga-based companies for suspected tax evasion. The actions allegedly resulted in a loss of 823,240 euros to the state budget by concealing nearly two million euros in true company profits through fictitious VAT transactions.

In the first case, involving a building maintenance and operations company, the chairman of the board allegedly used fictitious transactions with several fake companies registered in Hungary to hide profits between March 2021 and October 2022. This resulted in an avoided income tax of 332,672 euros. The company has since reached an agreement with the State Revenue Service and repaid 281,063 euros of the losses.

The second case involves an official from a company specializing in the wholesale of metals, metal ores, waste, and scrap. Similar methods were used to conceal profits between February and December 2022. In both instances, assets have been seized, and legal proceedings regarding the application of coercive measures against the legal entities have begun.