Latvian police have initiated a criminal investigation into a significant fraud case involving IT procurement. The investigation, launched at the end of last year, is focused on a group of individuals who allegedly conspired to illegally determine the winners of public procurement processes in at least six projects valued at approximately 1.5 million euros, which are financed by the European Regional Development Fund (ERAF). The legal framework for the investigation includes charges of fraud perpetrated by an organized group and money laundering on a large scale.

During the investigation, authorities uncovered evidence that this organized group entered into a secret and illegal agreement to ensure that predetermined companies would receive project assignment tasks. Profits obtained from these illicit activities are reported to have been divided among the group members. Additionally, there are suspicions that these illegal contracts were secured with the complicity of state officials, highlighting potential corruption within the government sector.

On March 17, operations took place in Riga and the surrounding region, with law enforcement conducting a total of 67 searches in residential and business premises. This extensive sweep aimed to gather substantial evidence related to the fraudulent activities and the individuals involved, signaling a robust response by Latvian authorities to combat corruption and uphold the integrity of public procurement processes.