Lithuanian court rejects appeal by “Istanas” over exclusion from defence procurement tender

A Lithuanian court has upheld a decision by the Ministry of National Defence to exclude Istanas, a company linked to businessman Arūnas Tuma, from a tender for a military logistics warehouse, rejecting the firm’s demand for access to classified security assessments, LRT reports.

The Regional Administrative Court ruled on April 23 that the ministry lawfully withheld intelligence data justifying why the company was deemed a national security risk. The court dismissed Istanas’ appeal, stating that its claim of needing the information to continue operations did not override restrictions on classified material.

Istanas had participated in a 2023 tender announced by the Lithuanian Armed Forces but was removed after authorities cited assessments from security agencies. The company argued in court that the lack of transparency hindered its ability to compete in public procurements and conduct business, and requested details on how its activities—or those of its controlling figures—were tied to Belarusian or Russian entities.

The ministry countered that its decision relied on conclusions from the State Security Department, the Second Operational Service, and the Prosecutor General’s Office, all of which remain classified. The court affirmed that Istanas had no legal right to access such restricted information.

The defence procurement tender, which included a warehouse and administrative facilities, ultimately concluded without a contract being signed. Istanas is majority-owned by Tuma’s family-controlled Kamineros grupė and UK-registered Emea rei Ltd. Tuma, a Klaipėda city councillor since 2019, has faced prior legal scrutiny, including a 2018 acquittal on fraud and bankruptcy charges.

The company previously leased a logistics centre to Lietuvos paštas (Lithuanian Post), a state-designated critical infrastructure entity, though that agreement ended after disputes over alleged overpayments and procurement irregularities.