The European Bank for Reconstruction and Development is funded by 65 countries with a mission of fostering transparency and democracy in 30 countries. From 2009 to 2014, the EBRD was caught running a scam with the Latvian government to temporarily cover-up the disappearance of the assets of Parex Bank. The government claims that Parex collapsed because of the United States and Sweden, however the real recipients of the disappeared assets were likely Russian oligarchs and Latvian politicians.
From 2009 to 2013, the EBRD insisted that it really bought Parex shares and denied rumors that the privatisation was planned to be reversed by a secret guarantee (‘put option’) in 2014. When the Latvian government did reverse the privatisation in 2014, proving that the EBRD was lying and the privatisation was a fraud, then the EBRD became silent.
However now something amazing has happened. The EBRD had admitted on its own website that it is offering a fraud service! This webpage states that the EBRD will buy shares in a company if the seller guarantees to reverse the investment later! There is only one reason why a seller (for example a national government) would effectively pay the EBRD to temporarily claim to be owner of shares. This reason is fraud! Such transactions are completely illegal since they mislead creditors about the true value of the shares, which for a corrupt and looted government company is usually zero.
We wonder how many of the EBRD’s 30 countries currently have false financial statements because of this racket.
pdf in case the EBRD takes down the webpage:
Somebody put up a website with tons of info on Russian Oligarch Oleg Boiko. We didn’t know all of this, for example that Boiko represented the Kremlin trying to engineer a Communist takeover in Moldova in 2013.
Boiko is well known in Latvia as ‘business’ partner to Valery Kargin, Viktor Krasovitsky, and Andris Skele.
Hopefully the US and EU will wake up and add Boiko (and Kargin, Krasovitsky, and Skele) to the sanctions lists.
pdf in case website taken down: olegvboykowebsite
pdf in case website taken down: boykomalta
The Latvian media is reporting today that the Latvian Proxy Network was laundering money for North Korea from 2009 to 2015. Apparently the United States FBI discovered this problem and pressured the Latvian FKTK to fine the banks, however the fines are insignificant, as usual.
The articles today don’t mention another connection to North Korea. Parex Bank was caught giving $111 million cash for free to Eduard Khudainatov, a member of Vladimir Putin’s inner circle who is sanctioned by the US Treasury for his links to North Korea. Parex booked the gift as a loan even though it doesn’t have collateral. When Parex fraudulently transferred it’s liabilities to Latvia in 2008/2009, the full loss went to the taxpayers. However Latvian authorities still amazingly blame the disappearance of the assets of Parex on the US and Sweden and the mainstream media and Brussels are still going along with this absurd lie.
The collapse of Latvian and Estonian payday lender MiniCredit shows that banking oligarchs Valery Kargin and Dmitri Koval are still at it, not slowing down their activity even after Kargin’s Parex Bank was revealed as a pyramid fraud and then fraudulently bailed out by the corrupt Latvian government.
Apparently Kargin and Koval worked with Rolands Petersons of PrivatBank, which was also a pyramid fraud, to license MiniCredit in Latvia and Estonia and amazingly given their histories were granted licenses.
They then opened a bank account at Citadele Bank, which is a successor to Parex and still apparently controlled by Kargin since his top offshore banker Valery Hudorozhkovs is still there.
A large amount of money was somehow run through MiniCredit’s account and then disappeared. Some of this was presumably from low-income clients with payday loan accounts. And perhaps some of it was from Russians running money through the accounts for laundering purposes, given the size of the withdrawals relative to the size to the company’s legitimate activities.
An interesting detail of this case is about Koval, whose Saules Bank of Latvia was caught laundering money although authorities never bothered to prosecute anyone. Saules Bank is today merged into Rietumu Bank which is also a money launderer.
Just after Parex whistleblower John Christmas gave details of massive frauds at Parex to Latvian authorities in 2005, who ignored the information, Koval invited Christmas to meetings to discuss establishing a new bank in Latvia to serve Koval’s clients, who he described as Jewish billionaires in Moscow. Koval wanted Christmas to be a front for the bank, making it seem like an American bank even though the clientele would be Russian.
Kargin and Koval don’t need Christmas to be their American front anymore since they found someone better. Supposedly former Fed chief Paul Volcker is the owner of Citadele today, although we doubt Volcker has any clue what is happening there.
We continue to hope the EU and US authorities will wake up and realize that the Latvian government is running a racket to help Russians steal money from Europeans, Americans, and especially Latvians.
UPDATE: Oleg Boiko, also from Parex Bank and therefore also being protected by the European Bank for Reconstruction and Development, is also still active providing high-interest loans to desperate poor people. http://theblacksea.eu/malta-files/article/en/cash-loans-czar-maltese-tax-escape-plan
The headlines all week have been about the Trump dossier which is a memo by ex-MI6 officer Christopher Steele containing unverified information that the Putin Regime has been blackmailing Donald Trump to allow Russia to attack Ukraine.
Part of the memo is about Alfa Group of Russia, which was closely linked to Parex Bank of Latvia. Alfa Group oligarchs Mihail Fridman and Piotr Aven are close friends with Parex oligarchs Valery Kargin and Viktor Krasovitsky. According to the media, Alfa was negotiating a purchase of Parex in 2007. Alfa apparently decided not to purchase Parex and instead a billion euros of Parex assets disappeared and Parex liabilities were handed to Latvian taxpayers in 2008 as Parex’s offshore banking employees and clients were shifted to Citadele Bank and AB.LV. The government made no attempt to recover the missing billion and didn’t bother to prosecute anyone despite clear evidence of massive frauds.
Aven in particular is well known in Latvia because he together with Russian oligarch Yuri Shefler control Latvijas Balzams. When Latvian oligarch Andris Skele invited them to Latvia to become owners of this state company, there were approximately seven assassinations of Latvian citizens linked to the transaction. Parex made illegal fraudulent loans to Latvijas Balzams which were never investigated.
The memo names Latvia as a country where Russia is bribing people. This is consistent with the fact that Latvian politicians decided to give a quarter of the national budget to Parex in 2008/2009 thus causing the economic and demographic collapse of Latvia. Still today there has been no investigation and the government is still lying that “Sweden” caused the collapse.
We welcome a whistleblower from within the UK/US intelligence agencies. For many years, the UK/US intelligence agencies have been protecting Putin’s oligarchs by keeping information about their crimes secret. Maybe now they can arrest the criminals instead of protecting them.
It has been a mystery for a few years why new Latvian General Prosecutor Eriks Kalnmeiers, just like his predecessors, has been unable to prosecute any of the criminals from the KGB who have been stealing enormous amounts of money from Latvian taxpayers. For example, why couldn’t he prosecute the criminals from Parex Bank and Riga Transportation who organized the Daimler/Solaris kick-back scheme? A whistleblower gave information to the prosecutors. The FBI completed a case and gave that to the prosecutors also. But despite being handed full information and a full case, the prosecutors still didn’t do anything.
Some new information has come out giving us a glimpse into Latvia’s “deep state” which is the real government behind the fake façade of constitutional democracy.
It seems that General Prosecutor Kalnmeiers is close friends with the KGB Oligarchs which could explain his inability to prosecute them. Specifically, he is in a small hunting group with Yuri Savitsky, Leonids Loginovs, and Guntis Ravis. KGB agent Savitsky controls gas transit in Latvia on behalf of the Kremlin. KGB agent Loginovs controls Port of Riga on behalf of the Kremlin. And, Ravis runs KGB-successor Skonto which among other things charged Latvian taxpayers over a billion euros to construct a small bridge over the Daugava which should have cost a couple hundred million euros.
By extension, we can assume Kalnmeiers is also friends with the other KGB functionaries who run the Latvian economy: Viktor Krasovitsky, Valery Kargin, and Kirovs Lipmans. This could explain why the Latvian government has illegally given billions of euros to these KGB agents while ordinary Latvian people suffer in poverty and nobody ever gets prosecuted.
We continue to hope that bureaucrats in Washington/Brussels/London wake up and realize that Latvia is a KGB Mafia state. If the Western bureaucrats cut off all funding to Latvia until Latvia arrests the KGB Oligarchs, then finally Latvia can have real democracy and prosperity. Millions of people inside and outside Latvia will benefit.
The Ukrainian government announced on December 18th that it nationalized Privatbank. According to the Kiev Post, the reason is because 80% of the loan portfolio is insider loans. In other words, the bank was a pyramid fraud and the assets were stolen. Now, Ukrainian taxpayers are expected to repay the bank’s deposits.
The numbers seem to indicate that the Ukrainian national debt could double from this. It’s a repeat of the nationalization of Parex Bank which doubled Latvia’s national debt.
Privatbank maintains a subsidiary in Latvia that is specialized in money laundering. Latvia is an excellent location for money laundering because (1) it is in the European Union and (2) the government is 100% corrupt and never enforces money laundering laws.
The big money laundering oligarchs, Valery Kargin and Viktor Krasovitsky of Parex and AB.LV in Latvia, Ilan Shor with several banks in Moldova, and Ihor Kolomoisky with Privatbank in Ukraine and Latvia, all appear to be friends with each other because often their money laundering schemes are done in cooperation. They have now successfully destroyed the economies of all three countries.
We wonder when the international community will stop bailing out these frauds and instead force Latvia/Ukraine/Moldova to put these oligarchs in jail and take back the stolen money?
Latvian “businessman” Julijs Krumins has recently made some interesting confessions regarding his corrupt activities.
Besides general statements about how Andris Skele and Aivars Lembergs have been bribing and looting the government for many years, he also said a few things that tie in with the pyramid fraud at Parex Bank. The decision of the Vienotiba political party to fraudulently cover-up the fraud at taxpayer expense rather than expose the fraud and try to recover the stolen money resulted in Latvia’s economic and demographic collapse.
Krumins claims that he bribed former KGB agent and Port of Riga boss Leonids Loginovs, who was caught in corrupt deals involving Parex Bank but was never prosecuted and still retains his position today even though the government claims it is now cleaned up.
But more importantly, Krumins says that he illegally funded Inguna Sudraba and Jorens Raitums’ political party “No Sirds Latvijai.” Sudraba and Raitums were on the Parex Bank credit committee for several years prior to the Parex bailout when it was learned that a lot of the loans they approved would never be paid back, having funded several notorious oligarchs and bribes to Latvian politicians (Daimler, Alstom, etc.).
After the implosion of Parex and before the founding of “No Sirds Latvija,” Sudraba and her friend Aivars Veiss (former State Treasurer who organized trades in which millions of euros of Treasury money disappeared) left Parex and were chosen by Vienotiba to hold important government positions. She became State Auditor (responsible for investigating the loans at Parex which she approved herself, not surprisingly she didn’t find any problems) and he became Head of the Latvian Post Office.
We wish this earlier history appeared in the articles now being published about Krumins, Sudraba, and Raitums…
The Latvian government, right now in 2016, is trying to lock an anti-corruption protestor in prison. So much for any dreams that the government is getting less corrupt…
Back in January 2009, while the government was destroying the Latvian economy by fraudulently bailing out the pyramid fraud at Parex Bank, Latvian activists rightfully and correctly defended themselves by protesting at the parliament building and the Parex headquarters. The bailout fraud was a crime against Latvia on a scale not seen since World War II. The government doubled the national debt with the money mostly going to offshore account holders from Russia. Up to 20% of the Latvian population was forced to move to Western Europe to escape the economic devastation.
Parex was the main money-launderer for Vladimir Putin’s Tambovskaya Mafia. The government had full information that Parex was a pyramid fraud because a whistleblower gave details to the prosecutors in May 2005. The fraud was the largest in Latvian history, however the government didn’t investigate. Instead, the government made the fraud larger and gave awards, promotions, and cash to the criminals. The whistleblowing included information about an assassination, which the government didn’t investigate. And, the whistleblower received death threats for years, which the government also didn’t investigate.
However the government treated the January 2009 protest very differently. Suddenly the prosecutors had lots of time and energy to do investigations! They immediately opened criminal cases against 70 protestors. Some of those heroes are currently outside of Latvia and cannot return. This is ironic, since officially the government is asking Latvians outside of Latvia to please return home since the Crisis which the government says was caused by “Sweden” is supposedly finished.
For example, the government is forcing Ansis Ataols Berzins to stay in exile outside of Latvia by threatening him with 20 months in prison if he returns. He made an appeal for justice at a recent Latvian festival (see link below).
We hope the European Union and United States will wake up and realize that Latvia is a fake democracy controlled by a small circle of oligarchs who are robbing and terrorizing the Latvian people. The EU and US could help by issuing arrest warrants for the government officials who were responsible for the Parex fraud (Godmanis, Dombrovskis, Repse, Rimsevics, Karins, Maizitis, Sudraba, Rubess, Vilks, Lagzdins, etc.) and adding them to sanctions lists. Threatening an exiled European anti-corruption protestor with prison to protect corrupt Russian billionaires is horrible tyranny, unacceptable within the EU and NATO.