Spanish firm fined €1.6m in electric utility corruption case

Spanish company Iberdrola Ingenieria y Construccion S.A.U. (Iberdrola) has been fined €1.6 million in a criminal probe that is part of a major corruption case launched against several managers of Latvia's Latvenergo electric utility, a spokeswoman for the Latvian Prosecutor General's Office told BNS Tuesday.

Prosecutor General's Office spokeswoman Aiga Eiduka said that charges in the Latvenergo corruption case have been filed against nine former managers of the Latvian energy company, as well as managers of Latvian, Swiss, Spanish and Turkish companies.

In light of the large amount of evidence that law enforcement authorities must examine in order to complete the investigation, the prosecution decided on December 1 to separate the already solved crimes concerning the so called "Spanish episode" involving Iberdrola, in a discrete criminal probe.

As the case was divided, separate probes were opened against Spanish national Jose Manuel Romero and Iberdrola over influencing the outcome of a tender organized by Latvenergo to rebuild the Riga TEC-2 heat and power plant.

On December 11, 2014 the prosecutor ruled to end the criminal probe and imposed a €24,000 fine on Romero and a €1.6 million fine on Iberdrola.

The decision went into effect on December 12, 2014.

The criminal probe into corruption crimes allegedly committed by several Latvenergo managers and employees between 2006 and June 2010 was launched on June 14, 2010.

Latvenergo is a state-owned electric utility, which also provides telecommunications and IT services. The Latvenergo group has five subsidiaries -- Sadales Tikls (Distribution Network), Latvijas Elektriskie Tikli (Latvian Power Grid), Liepajas Energija heating utility in the south-western Latvian town of Liepaja as well as an Estonian subsidiary Latvenergo Kaubandus and a Lithuanian subsidiary Latvenergo Prekyba.

Seen a mistake?

Select text and press Ctrl+Enter to send a suggested correction to the editor

Select text and press Report a mistake to send a suggested correction to the editor

Economy
Economy