Six persons suspected in fraud case to obtain illegally EU financial support

Last updated: 2022-05-12 16:25
Six persons suspected in fraud case to obtain illegally EU financial support

The Delegated Prosecutor of the European Public Prosecutor's Office is leading a pre-trial investigation conducted by the Klaipėda Department of the Special Investigation Service (STT) into suspected abuse of office, fraud and forgery of documents in an organized group in order to illegally obtain European Union (EU) financial support. Notices of the suspicion were served on six persons. STT officers in Klaipeda and elsewhere have conducted over twenty searches and taken other necessary procedural steps.

According to data of the pre-trial investigation initiated by STT officials, a small partnership signed an agreement to receive EU funding in the amount of EUR 200,000 by providing false information about itself, i.e. not actually meeting the eligibility requirements for the beneficiaries. One of the eligibility criteria was to hold a certain amount of money in the small partnership’s banking account. It is suspected that the required amount was fictitiously "temporarily borrowed" from third parties. According to the available data, some of these people are subordinate to the spouse of the head of the small partnership in the company he manages.

It is also suspected that a potentially non-transparent public procurement was organized for the implementation of the planned project, after which a construction works contract worth more than EUR 480,000 was concluded with another small partnership.

There are indications that the grant documents provided false figures on the volume and timing of the alleged construction work, which led to the illegal transfer of tens of thousands of euros of EU financial assistance to this small partnership.

The managers of both small partnerships, the spouse of one of the managers, two employees of a construction company and one individual working in the construction sector are suspected of abuse of office, fraud and forgery of documents in order to fraudulently obtain EU funding for the project. The data currently available suggest that the suspects were operating in an organized group, which is an aggravating circumstance.

The pre-trial investigation allowed to prevent obtaining of approximately EUR 170,000 of EU financial assistance through allegedly illegal actions of the suspects.

We remind you that individuals are presumed innocent until proven guilty according to law.