STT opens corruption probe into Vilnius municipal housing company

LRT reported on Wednesday, citing the Delfi news portal, that Lithuania’s Special Investigation Service has opened a pretrial investigation into the activities of Vilnius City Housing, a company owned by the capital’s municipality.

STT spokeswoman and special agent Renata Keblienė told Delfi that investigators identified possible signs of corruption-related criminal offences while clarifying the circumstances. The investigation concerns suspected bribery and offering bribes.

Delfi also reported last week that the Financial Crime Investigation Service had opened a separate pretrial investigation into suspected fraudulent accounting, the submission of false information about income, profit or assets, document forgery or the use of a forged document, and fraud.

The reports followed an appeal to law enforcement by the Vilnius City Council’s Social Democratic faction after Laisvės TV alleged that Vilnius City Housing had conducted public procurement procedures without sufficient transparency. It also reported that some social housing renovation work may have been carried out poorly.

Questions were also raised about cost estimates for work performed by Glaskek LT and possible gifts from the company to Vilnius City Housing employees.

After the information was made public, the municipal company began an internal review, while the city council initiated an independent audit of its activities.