Arturs Krišjānis Kariņš
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Favourable Decision Regarding the Donor and Co-Member of the Party

In 2005 while holding the office of the Minister of Economics, K.Kariņš signed a resolution that provided the enterprise "S&G" an opportunity to receive LVL 1 141 941 from EU Structural Funds for modernisation of the process of polygraphic manufacturing. At that time the owners of the enterprise were the member of New Era party Mārtiņš Greste and his wife Silvija Greste, both of whom after this decision donated substantial amounts of money to the party New Era represented by K.Kariņš. Economic Police initiated criminal proceedings, however, after over a year proceedings were ceased as no constituent elements of a criminal offence were established.

In order to claim EU funding, in August 2004 "S&G" submitted a project application to the Investment and Development Agency of Latvia (LIAA). In March 2006 the newspaper Neatkarīgā Rīta Avīze (Independent Morning Newspaper) wrote that some deficiencies were detected in the project, therefore LIAA inquired to improve it. However, even after corrections were made, LIAA recognised that the project is not eligible to the provisions of regulations of the Cabinet of Ministers, and in October 2004 made a decision to reject it. Company appealed the rejection of LIAA to the Minister of Economics of that day Juris Lujāns (Latvia’s First Party), though after a short while – in December 2004 – the position of the Minister was gained by K.Kariņš. On 27 January 2005 K.Kariņš repealed the decision of LIAA, allowed "S&G" improve their project application once more, and required the project to be submitted to the Ministry, instead of LIAA.

Between October 2005 and February 2006 M.Greste and S.Greste donated total of LVL 15 000 to the New Era. M.Greste continued to donate also in 2007, 2008 and 2009, however considerably lower amounts – altogether just EUR 5595.
Following the application of the parliamentarian of Harmony Centre Oļegs Deņisovs, the Economic Police initiated criminal proceedings in order to investigate, if providing an opportunity to receive funding from EU Structural Funds has been lawful. K.Kariņš indicated that the reproach is not well-reasoned, because the procedures of allocating EU funding have been followed, namely, any enterprise is entitled to appeal the decision of LIAA to the Minister, and it is afterwards reviewed by a special commission. According to the suggestions of the commission, administrative acts issued by LIAA regarding rejection of the funding have been similarly revoked for 24 other enterprises. K.Kariņš assumed that addressing the Economic Police was the revenge of the leader of the Latvia’s First Party at that time Ainārs Šlesers responding to the scheduled reorganisation of LIAA. It was one of the reasons New Era left the government coalition several days later.

After over a year into investigation Economic Police ceased the proceedings as no constituent elements of a criminal offence were established. Whereas State Audit Office admitted that the actions of K.Kariņš, passing a resolution regarding appeals on decisions about EU Structural funds instead of assigning the task to LIAA, were not fully accurate, however they were not declared as unlawful. It concluded that discrepancies between the provisions of the Administrative Procedure Law and State Administration Structure Law exist; therefore the actions of K.Kariņš can be interpreted differently, and suggested competent institutions to prevent such discrepancies.

Rozenbergs, R. Dreiblats, U. Kariņa lēmums ļauj tikt pie miljona. Neatkarīgā Rīta Avīze. 30.03.2006
Bagātais, J. Kariņš noliedz īpašu palīdzību partijas biedram piederošai komercfirmai ES finansējuma iegūšanā. Leta. 30.03.2006
Bagātais, J. EM: Struktūrfondu projektu atkārtotā izvērtēšana noritēja atbilstoši likumu prasībām. Leta. 04.04.2006
Rutule, E., Ozolnieks, E., Kozule, E. Policija uzsāk kriminālprocesu saistībā ar iespējamiem pārkāpumiem ES līdzekļu piešķiršanā firmai "S&G". Leta. 03.03.2006
Zālīte, I. Eiropas naudas sadalē novērsīs likumu interpretēšanas iespēju. Diena. 16.08.2006
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