Russia's war against Ukraine is leading to a tightening of the sanctions regime, as indicated in the report by the Financial Intelligence Service (FIU), which is presented today at the Cabinet of Ministers meeting by Interior Minister Janis Dombrava (National Alliance).
In light of Prime Minister Kuldīga's directives for a complete cessation of economic ties with neighbors to the East, the role of law enforcement agencies becomes paramount.
Informants Have Reported
Since January 1, 2019, the Financial Intelligence Unit (FIU) has been an independent institution directly subordinate to the Cabinet of Ministers, overseen by the Ministry of the Interior. The motto: "Human. Patriotism. Courage. Cooperation." The main support for law enforcement remains concerned citizens. In 2025, according to FIU Director Toms Platicis, the Service received 5,539 reports of suspicious transactions (+0.7% from the previous year), and 807 reports of sanction violations.
Law enforcement checked 99,460 threshold declarations (+4.1% from the previous year), sent 612 analytical materials (269 to the State Police, 138 to security structures, 123 to tax authorities), and conducted 10 strategic and 12 tactical studies.
"59% of reports come from outsourced accountants, as well as lottery and gambling organizers," financial intelligence sources revealed. "In turn, a significant increase is observed specifically in the group of sworn notaries, auditors, and lawyers."
The Frost Intensified...
Last year, the Financial Intelligence Service froze funds amounting to €870,000. Just last year – "the historic status of a regional financial center"... There were times when there was a literal dismantling of the banking system established by non-residents: in 2022, €357.25 million was frozen!
The origin of the legal entities whose finances were frozen is exclusively NATO and the EU: Canada, the United Kingdom, the British Virgin Islands, Ireland, and Latvia itself. However, the true beneficiaries were individuals with passports from Russia, Ukraine, Azerbaijan, Cameroon, and Latvia itself. "It was precisely Latvian individuals who had the largest portion of funds frozen," the report noted.
Since 2024, the Financial Intelligence Service has implemented a Black-Box information search system, allowing other state structures to compare their data; last year, 4,948 requests regarding individuals and legal entities were processed.
Here is another harmful trend that has begun in the country:
"Due to tax evasion and related payments, in 2025, cases were noted of Latvians using legal entities registered in other EU countries that do not engage in real economic activity to declare transactions that did not actually occur and payments made for these transactions to their accounts. This ensures that legal entities registered in Latvia achieve conditional profits, distribute without paying corporate income tax, and then withdraw funds in cash or by other means."
But business does not act out of thin air; it is trying to survive under the order established by our rulers.
