bnn.lv Latviski   bnn-news.com English   bnn-news.ru По-русски
Ceturtdiena 25.05.2017 | Name days: Junora, Anšlavs
LatviaLatvia

Magonis sells capital shares worth EUR 7 for EUR 1.2 million

FaceBook
Twitter
Draugiem
print
(No Ratings Yet)

Baltic news, News from Latvia, BNN.LV, BNN-NEWS.COM, BNN-NEWS.RULast year, former chief of LDz Ugis Magonis sold shares in a company registered in Chelyabinsk worth EUR 7 for an incredibly high price – EUR 1.2 million, as reported by De Facto programme. At the same time, available financial results of that company are bad: the company’s turnover was only EUR 3,138 and losses were EUR 1,032,971 in 2014.

Last year, Magonis submitted his declaration. In it, it is stated that he had received income worth EUR 1.2 million from Cyprus-based Claresanto Investments. Magonis confirmed in his interview to the programme that he sold shares he owned in a Russian company.

In 2012, Magonis acquired 10% of shares in Chelyabinsk-registered Tretya Gruzoperevozochnaya Kompaniya. The nominal worth of capital shares at the time was EUR 30. Because of Russian rouble’s fluctuations, the worth of shares dropped to EUR 17 last year. Magonis sold 4% of shares to the Cyprus-registered company.

What is confusing is the way Magonis acquired EUR 1.2 million from this transaction. Nearly three years ago, Magonis said dividends would not grow quickly. «The project is young. Technology needs developing and adapting to the railway. It will be a long process – nothing in our industry transpires quickly.» Publicly available financial results are poor as well.

Turnover of more than EUR 7.5 million in 2012 had declined to EUR 3,000 in 2014. Revenue after taxes is also in the negative. Losses have been varied for the company – exceeding EUR 1 million one year ago. The company’s assets were mostly made up of debts, large loans and negative capital. If Magonis managed to sell his 4% of shares for EUR 1.2 million, it is hard to expect any expert to evaluate this company to be worth EUR 30 million.

The Cyprus-based company that bought Magonis’ shares for EUR 1.2 million became the sole owner of Kundzinsalas eastern project in 2014. This company was previously indirectly owned by Skonto būve’s owner Ivars Millers.

Kundzinsalas eastern project is one of the companies that have been planning the development of a new terminal on Kundzinsala for a long time. LDz has constructed a railway line that leads to the planned terminals. Magonis was proud of that, saying that ‘it is necessary to increase the railway’s capacity, considering plans to develop the construction of new terminals’.

Claresanto Investments has officially become partners of Magonis’ private deal. However, when asked if he knows that Claresanto Investments is the owner of Kundzinsalas eastern project, Magonis said: «It cannot be the owner. There is no conflict of interests. I don’t believe that company is an owner there.»

Magonis’ time in LDz has officially come to an end. He was dismissed from his post shortly after the arrest. Nevertheless, Magonis remained the CEO of LDz for a long time. «Following Ugis Magonis’ initiative, an agreement has been reached in regards to the conclusion of work relations. It happened in December 2015. We no longer have any employment relationship and other contractual relations with Ugis Magonis,» – said LDz board member Edvins Berzins.

Ref: 102.109.109.7454


Leave a reply

EC: there is a risk tax reform will increase inequality

There is a risk that Latvian government’s proposed tax reform will increase income inequality in the country instead of lowering it, said head of European Commission’s office in Latvia Inna Steinbuka.

Electronic monitoring of convicts will help have nearly EUR 500,000 for Latvia

Latvian State Probation Service believes electronic monitoring of convicts proved itself. This system has helped save nearly EUR 500,000 for the state budget since 2015.

Grandson of Stalin, who dropped Soviet tyrant’s surname, has died

Russian theatre director Alexander Burdonsky, the grandson of the leader of Soviet Communist mass repressions, Josef Stalin, has died at the age of 75.

SRS and LCCI to cooperate in search for most efficient tax payment models

Latvian Chamber for Commerce and Industry and the State Revenue Service have signed an agreement for the development of better solutions he assist the growth of Latvia’s national economy.

Searching for Manchester attack network, seven people detained

In relation to the May 22 terror attack in Manchester, seven people have been arrested in the UK and Libya, including family members of the alleged suicide bomber.

FM: planned tax reform will create conditions to reduce grey economy

After the publication of specific recommendations for EU member states, the European Commission admits that tax guidelines help resolve last year’s recommendations on reduction of the tax burden for residents with low income.

Economic influence on retail trade depends on migration

Looking at the influence of Latvia’s economy on retail trade industry in Q1 of 2016 and 2017 it becomes clear that future development of this industry depends on migration and inflation growth rates, as concluded in retail trade outlook Maxima Retail Trade Compass.

EC says it has irresistible «carrot» to attract countries to eurozone

EU’s European Commission intends to raise the attractiveness of adopting the euro in eyes of the bloc’s members now having their own national currencies, stated economics and finance commissioner Pierre Moscovici

Antane: government’s indecisiveness and rushed decisions impact transit industry

The refusal of Russian Railways to carry cargoes from Russian ports to Latvia could create a state of emergency for Latvia’s transit industry, says Baltic Association – Transport and Logistics.

Support to Rail Baltica further funding voiced by European Parliament Committee

Political support for continued funding of the railway project Rail Baltica has been acknowledged by a member of the European Parliament Committee on Transport and Tourism.

Kucinskis is not prepared to drop the tax reform

Political parties will have to decide on the extent of realization of proposed tax reforms. Finance Ministry will not work on new proposals, said Latvian Prime Minister Maris Kucinskis in an interview to LNT on Monday, 24 May.

Accessibility to new and effective medicine in Latvia is the poorest in Europe

In terms of accessibility and compensation of new and effective medicine, Latvia is on the last place among EU member states, according to Patients W.A.I.T. Indicator published by European Federation of Pharmaceutical Industries and Associations at the end of April.

Survey: How much time are you prepared to spend on your way to work?

Nearly half of interviewed Baltic residents say they are prepared to spend up to 30 minutes on the road in one direction, according to results of a survey performed by CV Market in Latvia, Lithuania and Estonia.

Latvian ambassador: the ball is on Russia’s side

NATO can reduce the threat of terrorism, but not liquidate it completely, said Latvian ambassador to NATO Indulis Berzins in an interview to Latvijas Radio before the upcoming NATO summit, which is expected to discuss the recent terrorist attack in Manchester, UK.

ECT: Most of Romania population sees domestic violence as normal

Romania has been criticised in a ruling by the European Court of Human Rights for being insufficiently committed to preventing domestic violence.

Latvia warned that budget deficit under tax reform may exceed allowed threshold

European Commission’s assessment of the effect from Latvia’s fiscal plan and intended tax reform show major risks of diversion from requirements of the Stability and Growth Pack for 2018.

British police names alleged Manchester terrorist

British police has named Salman Abedi as the possible suicide bomber, suspected of having killed 22 people and injured 59 in the city of Manchester this week.

Interest of Indian youth for study opportunities in Latvia increases year after year

Indian Foreign Affairs Minister Mobashar Jawed Akbar emphasized during his meeting with Latvian Foreign Affairs Minister Edgars Rinkevics that India has experienced very rapid economic growth in the past year. He added that the upcoming Latvian-Indian business forum will be an important step towards closer cooperation in economy.

Latvian government reduces administrative burden on amelioration

Latvian government has agreed to support Agriculture Ministry’s prepared amendments to requirements that dictate construction requirements for waterworks and amelioration systems, as well as cadastral rules. Changes were prepared to reduce administrative burden, Agriculture Ministry reports.

Survey: 32% of Latvian residents have no savings

Losing their income, 23% of respondents would not be able to cover everyday expenses, 5% would be able to maintain payments for less than a month and 20% of respondents would be able to cover a whole month’s worth of expenses, shows the survey performed by Nordea on personal finances.

Producer prices in April grew 0.1% in Latvia

Compared to March, the level of producer prices in Latvian industry grew by 0.1 % in April 2017. The prices of products sold on the domestic market increased by 0.5 %, whereas the prices of exported products dropped by 0.2 %.

LSBA: closure of gambling halls is an attempt by officials to promote their image for elections

Latvian Association of Gaming Business asks deputies of Riga City Council to reconsider their actions in relation to the planned decision to prohibit gambling halls in Riga’s historic centre.

More people have moved to Estonia than left it in 2016

13,792 people have emigrated from Estonia in 2016 and 14,822 have immigrated, Estonian statisticians have estimated, concluding that net migration in the Baltic country has been positive for the second consecutive year.

Saeima to discuss the role of the Security Department of the Bank of Latvia

Saeima’s Defence, Internal Affairs and Corruption Prevention Committee will visit the Bank of Latvia on Wednesday, 24 May, to discuss the role of the bank’s Security Department, as BNN was informed by Saeima’s press-service.

Razuks hints healthcare budget’s increase would require new fees

Sides involved in discussions about finding additional finances for healthcare have yet to reach a definite agreement. It is possible there may be a new fee introduced, said Saeima Public Health sub-committee chairman Romualds Razuks told Rīta panorama on Tuesday, 23 May.