The Riga Regional Court has upheld the claim of the liquidated joint-stock company Latvijas Krājbanka (“Krājbanka”) against nine former bank officials, ruling that they must jointly compensate the bank for losses amounting to 43 million euros, the court informed.
The Regional Court examined an appeal against a 2024 ruling by the Riga City Court, which had rejected Krājbanka’s claim and lifted the claim security measures imposed by a Riga Regional Court judge on 26 March 2014.
The appellate court concluded that the former Krājbanka officials, while performing their duties on the management and supervisory boards, did not act with the level of responsibility and diligence required by law. Their decisions allowed unjustified transfers of the bank’s funds and the conclusion of unlawful pledge agreements, thereby exposing the bank to financial risks, the court stated.
As a result of these actions, the bank suffered significant losses, the court concluded.
Therefore,
the court ruled that the former officials are jointly liable and must collectively compensate Krājbanka
in the amount of 43 million euros.
The court also ruled that the former officials must cover state fees and expenses related to the proceedings.
The judgment has not yet entered into force and may be appealed in cassation proceedings.
As previously reported, the claim was brought before the Regional Court against Krājbanka Supervisory Board Chairman Raimondas Baranauskas, his deputy Aleksandrs Antonovs, bank co-owner Vladimirs Antonovs, bank President Ivars Priedītis, management board members Mārtiņš Zalāns, Svetlana Ovčiņņikova, and Dzintars Pelcbergs, Snoras Bank Vice President Naglis Stancikas, Snoras Supervisory Board member Oļegs Suhorukovs, and the company Melfa Group Ltd. The claim was also initially filed against Austria’s Meinl Bank, but was later withdrawn.
As previously explained to LETA by Oskars Fīrmanis, a representative of Krājbanka’s administrator KPMG Baltics, the claim was filed to have collateral agreements declared invalid. “Krājbanka provided financial collateral as security for companies linked to former shareholders, but these agreements are now being challenged and the debited funds are being reclaimed,” Fīrmanis said.
As reported earlier, at the end of 2011, a shortage of approximately 100 million lats (about 142 million euros) was discovered at Krājbanka. On the 23rd of December of the same year, the Riga Regional Court declared Krājbanka insolvent. Due to the financial shortfall, the Council of the Financial and Capital Market Commission (FKTK) decided to suspend all financial services provided by Krājbanka.
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