bnn.lv Latviski   bnn-news.com English   bnn-news.ru По-русски
Friday 22.09.2017 | Name days: Maigurs, Mārica, Māris
LatviaLatvia

SRS considers closing Gai Bei for good, as fraudulent activities continue

FaceBook
Twitter
Draugiem
print
(No Ratings Yet)

Baltic news, News from Latvia, BNN.LV, BNN-NEWS.COM, BNN-NEWS.RUBecause fraudulent activities with cash register systems continue at Gan Bei restaurants, State Revenue Service may decide on closing some of the company’s branches or putting an end to all of Gan Bei’s activities for good, notes SRS Director Inara Petersone.

Deputy Director of SRS Karspars Cerneckis notes that even though authorities had uncovered criminal activities at Gan Bei, other companies continue carrying out similar illegal tax manipulations. Nine inspections have been performed at different companies in January. All inspections have yielded violations of different kind.

«Those are popular restaurants, hotels, pool clubs and other entertainment venues in Old Riga. Considering the scandalous case with Gan Bei, these companies have started to cover their tracks more carefully: changed cash registers, often use the excuse of losing receipts and other reasons. Nonetheless, illegal manipulations with cash registers continue,» – says Cerneckis.

Last year, having published illegal activities committed by Gan Bei management, SRS hoped other companies would stop their illegal activities. Unfortunately, this year’s inspections have revealed that companies working in catering and service provision areas continue to perform illegal manipulations. The only difference is that they are more careful in hiding them, said Cerneckis.

When asked why SRS does not reveal the names of companies engaged in fraudulent activities, Petersone said SRS would gladly do it and that society would only benefit from knowing their names. «Unfortunately, the current legislation does not allow law enforcement institutions to reveal any names during the administrative process,» – said Petersone.

She noted that it is not SRS’ goal to close companies. However, because Gan Bei clearly continues its fraudulent activities, it is clear SRS will have to apply stricter penalties.

Petersone notes that SRS has yet to collect enough evidence in order to close the company through an administrative process. However, until enough evidence has been collected, this possibility remains open.

«Something has broken in our society. We’ve taken a turn in the wrong direction. We have never seen such open and confident disregard of tax regulations. It seems something is wrong with people’s abilities to reason,» – said Petersone.

BNN had previously reported that a criminal group with ties to owners of Gan Bei network of restaurants had been stealing approximately EUR 700,000 to EUR 800,000 from cash registers, which is equal to 50% of monthly revenue, on a regular basis.

On December 10th, Latvian Finance Police arrested seven members of this criminal group, including the wife of Saeima deputy Sergei Potapkin. According to authorities, she is one of the leaders of the criminal group.

During a press-conference this on December 11th, Deputy Director of State Revenue Service for combating organized crime Kaspars Cerneckis neither confirmed nor denied the possibility of searches having been performed in the office of the owner of Gan Bei restaurant – Lage Ko. He did confirm, however, that among the arrested persons is also Saeima deputy Sergei Potapkin’s wife Galina Karmaca, who is the co-owner of Lage Ko.

Director of SRS Finance Police Kaspars Podins reports that authorities have performed a total of 30 searches. Seven persons have been arrested: five of these people form the core of this criminal group. Podins adds that Potapkin’s wife is apparently one of the heads of this criminal group. Two of the arrested persons remain in custody.

The estimated damage done to the state as a result of the aforementioned criminal activity is EUR 780,000 of unpaid VAT. Additional calculations will be performed. With that, this amount may grow even more, because allegedly the company did not pay any social taxes for its employees in addition to not paying VAT, notes Prosecutor General Eriks Kalnmeiers.

Ref: 102.109.109.6375


Leave a reply

Kariņš: Unity started drifting when Valdis Dombrovskis left is management

Unity should seriously consider the option of starting in Saeima elections alongside other parties, said MEP Krišjānis Kariņš in an interview to Latvijas Radio.

CSP: average size of agricultural areas increases in Latvia

In 2016 the average size of agricultural holding constituted 43.2 ha, which is 15.5 % more than in 2013 when the average land area per holding accounted for 37.4 ha. The total standard output has risen by 24.5 %. Nevertheless, the number of economically active farms has reduced by 14.5 %.

Antāne forms a new political party in Ventspils with more than 350 associates

A new political party was founded in Ventspils this Thursday, 21 September. The name of this new party is Laiks Pārmaiņām (Time for Changes). The initiator of the founding of this new party is Baltic Association – Transport and Logistics President Inga Antāne.

NATO: suspicions about Zapad 2017 were justified

NATO views its suspicions about Russian-Belarusian Zapad 2017 military exercises as well-justified, because their scale and geography were larger than what was officially stated.

Expert: Latvia’s electronic industry productivity index on a rise

Electronics industry is the most rapidly growing processing industry in Latvia. This industry’s turnover growth in Latvia has been more rapid than that of Europe and the rest of Baltic States, says manager of wholesale trade company Lemona Latvija Sergejs Nikiforovs.

Video: How to make white-water rafting more dangerous?

If you think white-water rafting is a piece of cake, you can try getting over some rapids on six rafts.

Kaimiņš: Lembergs is Latvia’s biggest misfortune

It is no secret to anyone that the parliamentary committee in charge of investigating Oligarch case has so-called experts that are closely associated with infamous Ventspils politician Aivars Lembergs or his family. In an interview to BNN, Saeima member Artuss Kaimiņš shared his opinion about the latest scandalous development associated with Oligarch talks. He calls Lembergs Latvia’s biggest misfortune.

EC: Money for Rail Baltica in next period will be negotiated

Funding of the Rail Baltica railway project after the year 2020 will be negotiated upon as part of the EU's financial plan for the next period, has stated the European Commissioner for Mobility and Transport.

Sudraba published «false information» on parliamentary committee’s website

Parliamentarian Andrejs Judins asks to evaluate Inguna Sudraba’s possible breach of ethics with the publication of ‘false information’ on the website of Saeima’s parliamentary investigation committee responsible for the investigation of oligarch case.

Estonia plans to direct 300 million euros to healthcare

With the aim of improving the quality and access to Estonian healthcare, the country's government has backed amendments, which set forth increasing healthcare funding by 300 million over a period of five years

HTC agrees to sell part of its innovators and intellectual property to Google

U.S. computer technology firm Google has reached a deal with Taiwanese smartphone-maker HTC so that the latter would share part of its product development team and allow using HTC intellectual property.

22-year sentence for Imanta paedophile comes into force

With the Supreme Court of Justice abandoning the review of Riga Regional Court’s ruling, the 22-year sentence for the man prosecuted in the so-called Imanta paedophile case has come into force, as reported by the court.

Weekend in Latvia expected to be warm and sunny

The sky in Latvia will become clear during the day on Friday, 22 September. Rain is only expected to come to certain western areas. Air temperature will likely reach +16° C… +20° C, whereas air temperature at night will drop to +9° C… +14° C, as reported by State Environment, Geology and Meteorology Centre.

UK to offer EU 20 billion euros, if it can remain in single market

British Prime Minister Theresa May plans to offer a transitional agreement with the European Union that would concern a two-year period until the country leaves the bloc in 2019.

Number of bankruptcies down in Latvia and Estonia but up in Lithuania

Last year, the number of bankruptcies declined 12.4% in Latvia and 10.9% in Estonia. Lithuania, on the other hand, had experienced a 35.2% increase in the number of bankrupt companies, according to information compiled by Coface.

Lithuania sets off alarm bells over quality of international brands' foods

What Lithuania‘s State Food and Veterinary service announced last Tuesday was big news in Lithuania, but not so of a discovery to the majority of Eastern European consumers - food of international brands sold in Western Europe and in Eastern Europe, and Lithuania, are not just the same.

Saeima forms a group to support HIV and tuberculosis patients

On Thursday, 21 September, Latvia’s Saeima agreed with deputy Hosams Abu Meri’s proposal to form a deputy group to support HIV and tuberculosis patients, as confirmed by Abu Meri’s assistant Edgars Ikstens.

Politologist comments whether Vējoņis’ authority is at risk or not

Saeima’s vote in which Latvian President Raimonds Vējoņis’ proposal on the status of non-citizens’ children was not pushed forward was as though a strike against the president’s authority, comments Filips Rajevskis.

In pictures: Mexicans rush to find quake survivors

A massive rescue effort is continuing in Mexico City and other areas in Mexico to find possible survivors caught under buildings that collapsed in the September 19 earthquake, which has killed no less than 237 people.

Producer prices in industry grew 0.1% in August

Compared to July, the level of producer prices in Latvian industry rose by 0.1 % in August 2017. Prices of products sold on the domestic market, as well as those of exported products grew by 0.1 %.

Saeima supports simplification of investigation of less serious crimes

On Thursday, 21 September, Latvia’s Saeima conceptually supported changes to the Criminal Process Law that provide for simplification of investigation procedures of less serious crimes.

Ozoliņš: transit and logistics industries should communicate more actively

Mutual communication and information exchange among businesses working in the industry is the pre-condition for improvement of Latvia’s transit industry, said Transport Ministry’s state secretary Kaspars Ozoliņš at a meeting of the Logistics Council.

As Estonia mends ID cyber vulnerability, officials recommended mobile ID

As Estonia tries to solve potential security risks found in the chips of 750,000 national ID cards, state officials using e-services have been recommended to Mobile-ID in addition to ID cards.

Vējonis: peaceful resolution of Ukraine’s conflict is Latvia’s priority

«Russia’s unjustified aggression towards its neighbours is a serious breach of international law. Any aggressor who begins and continues such conflicts should be brought to justice for breach of international law,» says Latvian President Raimonds Vējonis.

Authorities apprehend criminal group that caused 1.7 million euros worth of damage to the state

Latvian State Revenue Service’s Finance Police in cooperation with State Police anti-terrorism unit Omega neutralized a criminal group that specialized in VAT fraud and money laundering, as confirmed by SRS representative Evita Teice-Mamaja.

Newest comments