Latvia Uncovers Money Laundering Scheme

Published: 14 April 2020

money laundering 4315218 960 720Latvia uncovers money laundering scheme (Photo: mohamed_hassan)

By Laura Mallene

Authorities in Latvia have launched criminal proceedings against a group that allegedly laundered more than €7 million (US$7.67 million) through a string of fictitious plastic granule companies.

The Latvia State Revenue Service (VID) said end of last week that it had launched a pre-trial examination of evidence after a series of raids were carried out on businesses and personal residences in Riga.

Officials seized documents, computers and mobile phones in the course of the search. These reportedly suggest that a group of individuals, who as yet remain unidentified, had since August last year used companies registered in Latvia, Belarus, Russia and Austria to sell overpriced biopolymer granules in order to launder illicit funds.

The authority also seized 520 tonnes of biopolymer granules, worth approximately €5 million ($5.48 million). It said it would not provide further information on the investigation at this time.