“Latvijas Gāze” still pays dividends to Russian companies?! What will the court say?

Kveps is suing the company because he believes the dividends were paid out of compliance with “public order and morals,” which is considered a violation of EU sanctions. Kveps is convinced that Itera Latvija, which has not disclosed its true ownership structure for a long time, does not have the right to participate in shareholder meetings; accordingly, there was no quorum to make their decisions.

LG does not name the exact amount that was paid to Russia in the form of dividends last year.

The Economic Court plans to announce a decision in the case at the end of the month.

It was previously reported that the LG group’s net turnover last year amounted to 159.819 million euros, which is 4.4 times less than in 2022, when natural gas prices rose sharply, and the company also suffered a loss of 56.911 million euros compared to a year earlier.

In 2022, LG had a turnover of 702.604 million euros and a profit of 40.8 million euros.

LG’s largest shareholders are the Russian Gazprom (34%), Rietumu Banka (28.97%), the German company Uniper Ruhrgas International GmbH (18.26%) and Itera Latvija (16%).