Thursday, January 31, 2008

Biggest opposition "New Era" party split! (UPDATED)

Like a lightening from the sky the news came this evening, and it is a fact now approved by LETA news agency. The biggest Latvian opposition party members - Sandra Kalniete, Kārlis Šadurskis, Ina Druviete, Ilma Čepāne and Aivars Aksenoks - left the New Era (JL) party. In addition to that also 22 members [mostly leaders] from local municipalities have left the flock.

It is BIG news and would probably take about couple of weeks to understand how would it affect OR transform the existing majority coalition in the Latvian parliament.

If only local municipality members would have left the party, I would have understood that. In Latvian unitary state it is extremely hard to survive in local municiplities, when your party is in opposition and is TOTALLY out from the loop. The fact that highly educated members of the New Era left is understood due to animosities in the party leadership. It was long known "secret" that the party was on the brink of splitting due to ambivalent role of the founder of the party Einārs Repše.

For those of you who have forgotten the results of the last [2006] parliamentary elections, Mr Repše got +44181 votes, BUT also 26371 minuses. Thus, Mr Repše was not only far behind the most popular party member and presidential candidate Ms Sandra Kalniete who got +67806 and 4420 minuses, but also below the incumbent leader of the party Mr Krišjānis Kariņš who got + 25721 and 4647 minuses - Mr Repše simply squandered his charisma.

OK, it is public now, and I assume that those who departed New Era could join forces with the newly founded party of Messrs Štokenbergs and Pabriks [announcements about cooperation in the parliament attest to that]. Thats it, and there were thus many news in an average winter day, huh, uhh! It is a bit sad that these these JL members decided to make such a radical move thus unexpetedly, but already Adlai E. Stevenson uttered, that: "Power corrupts, but lack of power corrupts absolutely."

I do not believe that this splinter group was leaving the party without a bigger plan in mind, thus tremors are expected in a seemingly calm Latvian political landscape. All in all, the comic "Lets perform the Latvian State" could not keep on like this forever, and the false stability had to unravel one day. Lets wait now, what news shall Friday bring us first:)

UPDATED

Its Friday morning and former New Era (JL) member Sandra Kalniete and Solvita Āboltiņa (JL) were talking in the Latvian Radio morning news. Discussion was down to earth or womanly, if it is possible to describe it so.

Already yesterday most of the news agencies announced that Mr Štokenbergs [MP and former minister of Regional Affairs who was thrown out from the Peoples's party (TP)] started creating his shadow cabinet and would open his organization's bureau on February 15, 2008. Also Trade Union representatives handed about 11300 authorized signatures to the Central Electoral Commission to initiate constitutional amendments, that would allow not only president [according to the present Constitution Part III Art.48 ] but also certain size of citizenry [100 000] to initiate the procedure to dissolve the parliament (Saeima).

Aforementioned news together with the breaking announcement about highly educated members of the JL splitting off from the party make me reckon that formative changes in the stagnated Latvian political playground are coming. Rumours about former PM Kalvītis becoming the head of Latvian Gas Plc. (Latvijas Gāze), outright criminal behaviour of the AAA (Šlesers, Šķēle, Lembergs) team, growing impact of the Russian business interests are probably making also the TP, Union of Greens and Farmers and other governing coalition rank & file party members uneasy.

Therefore, I assume from those events that consensus in the Latvian parliament is forming to follow the Polish 2007 example and initiate the senario of its own [Saeima] dispersal. The simple costs & benefits analysis should make them [MP's] think that whilst blindly following their self-enriching party lions they are entitled only for scavengers lot. Also government performance [throughout 2007] showed that playing a Russian rulette [as government has played so far] could possibly leave them even without a state of their own. Lets wait for news from the Saeima, and see what impact the circa 11 thousand signatures would play here. Huh, huh...at least chages are in the air, GOOD!!

FINALLY - Mandatory Income and Property Declaration in Latvia

Seventeen and twelve years later than in Estonia and Lithuania Latvian parliament finally passed the law in second reading, that would finally establish mandatory income and property declaration system in Latvia! LETA just reported from the parliament (Saeima). Huh, huh and that is a huge and simultaneously SIGNIFICANT step in making the Latvian governance system transparent.

As the old prowerb says...better late than never!!

Update in the way of article will most definitely follow, but those of you reading in Latvian may go through the LETA newsreel.

Saeima otrajā lasījumā atbalsta fizisko personu mantiskā stāvokļa deklarēšanas likumprojektu

Rīga, 31.janv., LETA. Visticamāk, ka jau no nākamā gada personām, kuru rīcībā ir vairāk nekā 100 minimālās mēnešalgas (patlaban 16 000 latu), būs jāiesniedz vienreizējā sākuma deklarācija, paredz ceturtdien Saeimā otrajā lasījumā atbalstītais Fizisko personu mantiskā stāvokļa deklarēšanas likumprojekts.

Deputāti grozījumu atbalstīja gandrīz vienbalsīgi - par balsoja 83 tautas kalpi, bet divi balsojumā atturējās.

Likuma mērķis ir konstatēt fizisku personu mantisko stāvokli un nodrošināt ienākumu un izdevumu atbilstības un ienākumu legalitātes kontroles iespējas.

Mantiskā stāvokļa deklarācija būs jāiesniedz gan pilsoņiem, gan nepilsoņiem, kā arī personām, kurām ir ārvalstu pilsonība, bet tās ienākumus gūst Latvijā.

Saeima atbalstīja ieceri no projekta izslēgt normu, ka deklarācija būtu jāiesniedz arī personām, kuras veikušas darījumus, kuru vērtība pārsniedz 16 000 latu. Par likumprojekta sagatavošanu atbildīgās Budžeta un finanšu komisijas priekšsēdētājs Kārlis Leiškalns (TP) iepriekš pauda viedokli, ka nebūtu reāli personām iesniegt deklarāciju, ja tās ir iztērējušas vairāk nekā 16 000 latu, jo tas nozīmētu, ka būtu jāvāc visi pirkumu čeki.

Likumprojekts paredz, ka sākumdeklarācija būs jāiesniedz Valsts ieņēmumu dienesta teritoriālajā iestādē pēc personas deklarētās dzīvesvietas. Deklarācija būs jāiesniedz personām, kurām skaidras vai bezskaidras naudas uzkrājumi pārsniedz 100 minimālās mēnešalgas vai to ekvivalentu ārvalstu valūtā.

Tāpat sākuma deklarācijās būs jānorāda arī informācija par ārvalstīs īpašumā vai kopīpašumā esošu īpašumu, par ārvalstīs reģistrētiem transportlīdzekļiem, akcijām, pajām un vērtspapīriem.

Sākuma deklarācijā būs jānorāda arī informācija par citu, fiziskas personas ieskatos, vērtīgu mantu, ja tā pārsniedz 100 minimālās mēnešalgas.

Saeima atbalstīja priekšlikumu noteikt: ja pēc deklarācijas iesniegšanas tiks konstatēts, ka personas izdevumi pārsniedz ienākumus, tad personai būs jāpierāda ienākumu izcelsme.

Deklarācija būs jāiesniedz par periodu līdz gada 31.decembrim.

Deklarācija būs jāiesniedz arī ārvalstu pilsoņiem, ja viņi Latvijā gūst ienākumus.

Leiškalns iepriekš stāstīja, ka deputātu bažas un strīdus rada likumprojekta autoru centieni vienlaikus ar deklarēšanu iegūt personu mantiskā stāvokļa "fotogrāfiju" uz kādu noteiktu datumu un ieviest legālās prezumpcijas principu, kas liek personai pierādīt, ka tās manta un naudas līdzekļi iegūti likumīgi. Pēc Leiškalna domām, tas var nonākt pretrunā ar nevainīguma prezumpciju, uz kuru balstās Latvijas likumdošana.

Iepriekš Leiškalns bija lūdzis tiesībsargu sniegt atzinumu par deklarēšanas likumu, tai skaitā par tajā iekļauto prasību fiziskām personām skaidras naudas uzkrājumus ieskaitīt savā kontā Latvijā vai citā Eiropas Savienības dalībvalstī, vai Eiropas Ekonomikas zonas valstī reģistrētā kredītiestādē, krājaizdevu sabiedrībā vai pasta norēķinu sistēmā. Pretējā gadījumā šie skaidras naudas uzkrājumi netiktu atzīti par esošiem.

Tiesībsargs Romāns Apsītis savā atbildē ir norādījis, ka "pats pienākums ieskaitīt skaidras naudas uzkrājumus kontā nerada būtisku tiesību ierobežojumu un sabiedrības ieguvums attaisnotu radīto tiesību aizskārumu". Tomēr, pēc tiesībsarga domām, rūpīgi jāvērtē ierobežojums, ko rada likumā noteiktā pienākuma neizpildes tiesiskās sekas. Tiesībsargs norāda, ka pienākuma ieskaitīt skaidras naudas uzkrājumus kontā neizpildes tiesiskās sekas būtu jāprecizē un jāparedz personai iespēja pierādīt prezumēto faktu nepatiesību.

Saeima atbalstīja priekšlikumu likumā noteikt, ka fiziskā persona var brīvi izvēlēties sev ērtāko uzkrājumu glabāšanas veidu.

LETA

Not just firewood, also candidates proposed (UPDATED)

LETA just announced (Ceturtdiena, 31. janvāris (2008) 09:08) that the Minister of Interior has heard about two new candidates for the director of the Latvian Intelligence Bureau (SAB) - incumbent security advisor of the president, Mr Raimonds Rožkalns and the deputy director of the SAB Uldis Dzenītis.

Allright, now is the time for investigative journalists to start their job! In the meantime Mr Kažociņš should start looking for fresh water and cool down the fire under his seat:)

UPDATED

Here we go (fast isnt it:!!) and Eurasian Secret Services Daily Review has in its report smth. about Mr Raimonds Rožkalns.

Latvian Prime Minister Aigars Kalvitis denies media reports that Alexei Loskutov will be replaced as the head of the Bureau on prevention and struggle against corruption (KNAB) by Raimonds Rozkalns, the current security adviser to the President, online paper Delfi reports.
"These are unfounded rumours", said Kalvitis. He noticed that the decision on Loskutov’s replacement could be taken only by the government.
In 1996 Rozkalns was compelled to leave the post of the chief of the Security Police (DP) because of suspicions of his contacts with the Russian secret services, Delfi adds. During the trial on illegal transportation of refugees the accused Sergei Katan submitted to the Riga district court materials, containing recordings of discussion between Rozkalns and the head of counterespionage directorate of the Russian army Vitaly Ramza. Recordings had fixed discussion on a possibility of illegal transfer of immigrants to Scandinavia. After publicising of the recordings Rozkalns was dismissed and transferred to a position in the Bureau of constitutional protection (SAB).
In an interview to LNT channel Rozkalns said that the rumours had been surprising as he had just arrived to Riga from his previous position in Brussels and had started his work in the presidential administration.

And Radio Free Europe No. 143, Part I, 25 July 1996 reports:


LATVIAN SECURITY POLICE HEAD FIRED

The Cabinet on 23 July decided to
unanimously fire Raimonds Rozkalns, on the recommendation of Interior
Minister Dainis Turlais, LETA reported. Rozkalns was implicated in a
scandal in which Russian and Latvian security forces allegedly conspired
to create a corridor for transiting illegal immigrants through Latvia.
Angered by the suicide of a drunken border guard on 23 July and 12 other
deaths in the armed forces this year, Prime Minister Andris Skele on 24
July instructed Defense Minister Andrejs Krastins to fire National
Defense Commander-in-Chief Juris Dalbins, BNS reported. President Guntis
Ulmanis appointed Navy Commander and Deputy Army Commander Gaidis
Zeibots as Dalbins's acting replacement until the parliament approves
the dismissal. -- Saulius Girnius

Wednesday, January 30, 2008

More firewood PM Godmanis!

The heat is increased under the seat of the director of Latvian Intelligence Agency (SAB). The Prime Minister met Latvian president today and after the meeting he gave and interview to journalists. In his interview (http://www.apollo.lv/portal/news/72/articles/119287) PM did not exclude the possibility to replace incumbent director of the SAB after expiry of his tenure in May 2008. It means that three members of the National Security Council (NSC) have denounced effectiveness of the present director of the intelligence service, and they are Minister of Interior Segliņš (TP), Saeima Head of the Security Committee Jaundžeikars(LC/LPP), and PM Ivars Godmanis (LC/LPP). Is it Mr Šlesers who pulls strings behind the scenes or that is bearded member of the AAA team?

It would be essential to hear what does the incumbent president reckon about Mr Kažociņš these days [until now Mr Zatlers sounded approvingly about the latter person], because if the president would turn sour on the incumbent director of the SAB it would be another sign about consolidation of the power in hads of miniscule governing gang, and Latvia gradually transforming into a proxy state with all the consequences to bear... .

Tuesday, January 29, 2008

Simple Baltic differences (updated)

Today Estonian parliament (Riigikogu) unanimously voted for the motion barring henceforth members of the Riigikogu to combine their MP duties with the work in company boards. Thus, while scrupulously following Estonian constitution's § 63 the Estonian ombudsman Mr Allar Jõks argued that also MP's must abide to the constitutional principles. Also underlining basic principles of the constitutional § 4 and § 14 Mr Jõks reiterated that the division and balance of powers should be followed in Estonia. The Riigikogu vote is not final yet, because also in Estonia there are MP's who have nothing against additional income. Nevertheless, today's vote is a sign of maturation for the Estonian political culture, and only underlines an impression that quality of Estonia's political debates are "light years" ahead of her Southern neighbor.

While Estonian politicians argue about policy issues in the only "post-communist Nordic country", to use the expression of Giustino, Latvian politicians are playing party political games in their own post-Soviet league. Thus, they have left questions about the rule of law on backburner and you may read about it (and other issues as well) in Estonian in Maailma Vaade.

In the meantime Delfi announced that the heat is turned on, and some members of the National Security Council express their growing dissatisfaction with performance of the Latvian Intelligence Agency (look yesterday's blog entry). Interesting... .

UPDATED

It is Wednesday morning and Diena confirms my predictions - the heat is turned on Mr Kažociņš. PM in his morning interview to the Latvian Radio said that he would not like to see Latvian Intelligence Organization (SAB) giving interviews [referring to the anonymous interview in www.nra.lv]. Former president commented in Diena, and compares, that the threat to the sovereignty emanating from possible replacement of Jānis Kažociņš is as great as secretive changes in law of security organizations early last year.

P.S. Latvian Russian newspaper "Chas" discusses yesterday's revelations of the Seaima Head of Education and Culture Committee Mr Pēteris Tabūns (TB/LNNK), who "discovered" that all Latvian problems are created due to lack of positive news and blamed media for tarnishing good fame of MP's ("tas ir traģiski, ka tikko Saeimā ievēlēts deputāts jau pēc pirmās parlamentā pavadītās dienas tiek saukts par sliktu un korumpētu. Žurnālisti mēģina deputātus nospārdīt ar kājām}...whoops, he did it again:)

Diena reports a citation of the day, about the Member of the Union of Greens and Farmers Mr Pauls Putniņš during the Seaima Committtee investigating trasgressions of rule of law came out with a pearl reminiscent of the 1920-30, "media here has embedded hostility [angst] against this state, but the nation cannot go on without it"["mēdiji ir iedēstījuši naidu pret valsti, bet nācija bez valsts nevar pastāvēt"]...

Monday, January 28, 2008

"Swing state" or a Troyan horse?

The Russian Ministry of Foreign Affairs demanded Latvian diplomat, Mr Pēteris Podvinskis to leave the Moscow Embassy last Friday. Thus, Russia played its tit for tat policy in the Vice Consul Mr Rogozhin affair who was expelled from Latvia early last week. The spy scandal created a storm in the teacup, and the Russian Minister of Foreign Affairs last Wednesday expressed his hope that Russian - Latvian relations would stay pragmatic and would not be impaired by scandal.

Tonight there was an interview with Mr Zatlers in the Latvian TV prime news. Whilst asked about the spy scandal incumbent president was diplomatic. He courtly argued that the present spy scandal in Latvia is over and would not affect future relations with Russia. Rather hypocritical answer came, however, when journalist asked about his plans to visit Moscow. At the end of the last year Russian outgoing ambassador Mr Kaluzhny handed Mr Zatlers an invitation to visit Moscow (Former Latvia's Ambassador in Moscow Jānis Peters thinks that thus Mr Kaluzhny wants to satisfy his vainglory). The visit is prepared but not finalized, thus incumbent president confirmed only his last week's discussion about the forthcoming visit with the Russian Minister of Foreign Affairs Mr Lavrov. Nevertheless, he did not reveal anything about the exact timing of the visit. Also, at the end of the interview, whilst asked to express his opinion about the possible decision to present the Russian outgoing Ambassador with the Latvian State Award president Zatlers diplomatically retorted that he would not propose giving such award.

Edward Lucas in his latest article rather correctly stated, that the EU member Latvia is a "swing state" where the West and Russia are competing for their strategic interests. This article's translation was reprinted in Saturday's Diena ,and referring to this article's ideas columnist Aivars Ozoliņš spent his Monday column to discuss about the future of liberal democracy in Latvia.

In the meantime the Head of Saeima Security Commission, Mr Pēteris Jaundžeikars reiterated for the second time already, that there should be a proper oversight over intelligence organizations. Therefore he thinks that the omenous law on security organiations should be amended. Mr Jaundžeikars is a long time friend of the former PM Kalvītis, and they are close chums since time when they were active in the Latvian Dairy Association. Mr Jaundžeikars is an opportunist and actually squeezed into the parliament with a soft mandate, because he had his way open only after another LC/LPP party member became the government minister.

Mr Jaundžeikars was specifically dissatisfied about the work of the Latvian Intelligence Agency (SAB). According to him it is not normal that members of the Latvian National Security Council (NSC) are not informed about Russian spies trying to buy Latvian officials. Interestingly enough, but the incumbent president in his TV interview accused the present Head of the Security Commission about the lack of interest in the security affairs of the state, and suggested him to visit or at least get into contact with the Latvian intelligence community more often.

It is known that the mandate of the SAB director Mr Jānis Kažociņš expires in May 2008. Already last year the former Minister of Health, and probably the most vulgar and controversial Peaople's Party member, Gundars Bērziņš accused Mr Kažociņš of being too subservient to the US government because of his frequent visits to the US Embassy in Riga [such accusation was in December 2007 declined as false by the SAB]. The fact that Mr Kažociņš spent most of his adult life in misty Albion, and that he was employed by Her Majesty's Armed Forces probably did not make any difference for the Latvian political boors, because he is Western to them[boors]... .

Anyway, the targeting seems already like a concerted action. In December it was Bērziņš (TP), now its Jaundžeikars (LPP/LC), and also Minister of Interior Segliņš (TP) openly question credibility of the Latvian Intelligence Agency. Autumn demonstrations and leaving the Head of Anti Coruption office Mr Loskutovs intact was a blow for the governing coalition God/masters (AAA team). They have probably realized, that to start touching Mr Loskutovs again would be too direct affront to civil society groups and Western embassies.

Thus, they probably decided to try another move. Because mandate of Mr Kažociņš expires anyway, it is convenient now to find a new "trusted" head of the Intelligence Agency (SAB), who would after his appointment be in position to mastermind leaving of Mr Loskutovs. Because the public is veary about shady deals of existing coalition government with the Russian big business it is paramount for governing coalition to discredit the SAB in eyes of public opinion, and so to find a legitimate cause for not renewing the mandate of the incumbent dirctor of the SAB.

Hereafter the technique of appointing the new head of the SAB is relatively easy. The only institution that has a mandate to propose the new candidate for the director of the Intelligence Agency for the Saeima is the National Security Council (NSC). In the Saeima the governing coalition still has a majority. In the eight member NSC four votes have People's Party (TP)-Segliņš, Riekstiņš, Veldre, Dalbiņš - , two go for Latvian Way/First party Coalition (LC/LPP) - Godmanis, Jaundžeikars - and also incumbent president and the Speaker of the Saeima, Mr Daudze (Union of Greens and Farmers) are there. It looks as if without two members from the notorious AAA team nothing could be decided in the NSC, thus I should follow whether discreditation campaign of Mr Kažociņš would increase, and it would be interesting to wait until the end of the mandate before the Saeima recess just prior Summer Solstice.

The governing coalition still feels omniscient and overpowerful. There are rumours that Western entrepreneurs are openly intimidated by Latvian law enforcement agencies and "kindly asked" to leave the place for "other businessmen". While Latvian oligarchic groups divide spoils of the privatization process with their Russian bro's they are playing on their "home turf". It is all calm and peaceful while the Lettish society is ignorant. However, there are Western businessmen who have not enriched themselves by employing questionable Post-Soviet methods, and have invested in Latvia their hard earned monies instead. I am somehow optimistic to believe that they would not allow egoistic Soviet boors to question their property rights after all.

There is a hope that the market would correct itself in Latvia. I somehow think that another prediction of Edward Lucas last Summer hit right into the bullseye however. The Achilleus tendon for Latvian economy, it is its hyperliberalism and assymetric openness to the Eastern neighbour. Thus, the only way for Latvian elite abd liberal circles, in order to sustain its Western and liberal lifestyle is to work hand in hand with its Western allies and have concerted responses together with Tallinn, Vilnius, London, Warszawa, Washingon and other liberal democracies vis-a-vis neo-patriarchal Kremlin. Today, Foreign Minister Riekstiņš said that Latvia wants to follow into steps of its EU partners and recognize the independence of Kosovo. Lets wait for official Latvian reaction to the event folowing this weekend's elections in Serbia. The Kosovo vote would very much signal whether Latvia is a mere "swing state" or already a Russian Trojan horse in the EU?


P.S. For those of you reading in Latvian I have a piece in todays Diena as well

Thursday, January 24, 2008

Back to the law on security organizations?

There is a fight for last lucrative chunks in continuous Latvian privatization process. Telia-Sonera and Blackstone Inc compete for being future owners of the majority stake in Lattelecom. Conflicting announcements come out from the government building. It is rumoured that government would make its final decision on February 5, 2008.

After omenous decision of the Latvian Supreme Court to bar Riga Freeport expansion plans has made the Maire of Riga, Jānis Birks and Freeport representatives very nervous. Member of the Riga Freeport board Vladimirs Makarovs (TB/LNNK) even announced in an interview to TV3 and LTV1 evening news, that the Riga Freeport would sue Latvia about the decision of Constitutional Court into the European Court of Human Rights! Nervousness of Latvian minigarhs is obvious because the Constitutional Court's decision to terminate Freeport expansion plans right at this moment means "estimated loss" of GBP 1,3 billion... . Such amount of money is estimated, if real estate developers would be allowed to develop their plans keeping in mind current price of the land in an area of planned expansion.

While some politicians fight for breadcrumbs from lucrative privatization deals there are some who like to serve their God-masters. The Head of Saeima Legal Commission Dzintars Jaundžeikars (LP/LCC) has opened discussion about the law on security organizations reports Delfi. Amendments in this controversial law was the reason for former president Vaira Vīķe Freiberga to veto hasty government's decision in March 17, 2007. Events that emanated from the veto of the former president called widspread protests and revived the civil society in Latvia. Head of the Legal Commission tried to assure journalists that opening of this controversial law for amendments would not touch sensitive issues that were put on referendum.

I do not trust this politician because he publicly lied about his son Pēteris, when the latter was stopped last summer by traffic police and found under influence of drugs & driving. If the law is opened again, I am afraid that they will try to consolidate the power in hands of executive again. It means that silent coup d'etat continues in Latvia. Timing for opening the law is well planned because civil society has quieted down due to winter, Russian presidential "elections" (some might call it simply a royal succession:) are coming, and Brussels is more concerned about the "terminally ill" Italy and Belgium. Unfortunately very few policy makers in Brussels are concerned about the "weird and faraway new member state-Lettonie". Present political elite I assume knows it, and that explains very smug attitude of certain MP's and ministers (for example Messrs A.Šlesers, A. Kalvītis, R.Pauls, I.Kalniņš) vis-a-vis Brussels. Smugness of Latvian political elite is very short sighted, and in combination with suicidal courting with Russian businessmen could seriously endanger sovereign existence of the state.

P.S. The 2nd Secretary and Vice Consul of the Russian Embassy in Riga, Mr. Alexander Rogozhin is the person who spied in Latvia and left the country yesterday. Russia has not yet demanded any Latvian diplomat to leave Moscow premises, as it was predicted. Russian outgoing ambassador Mr Kaluzhni finished his tenure with a Byzantine pronouncement. When journalists inquired him about Mr Rogozhin he answerd that he was a nice pal and he considers the decision of Latvian Intelligence Agency (SAB) as ludicrous, "because there is nothing to spy in Latvia, because they [Russians] know about everything in here, for example, that Latvian army just bought 6000 pairs of boots."

Wednesday, January 23, 2008

Mandatory Income and Property declaration coming?

Diena (www.vdiena.lv) just published in its online section, that the Saeima Budget and Finance Committee gave its support to the Mandatory Income and Property Declaration system in second reading.

When the decision about passing such law (initially it was planned to be passed until January 1, 2008) came in March 18, 2007 it was just after Vaira Vīķe Freiberga announced veto on proposed amendments in Latvia's law on security organizations.

Now, its seems that slimmed governing coalition (just shaky 52-55 majority coalition)has listened to opposition proposals, and probably there was also some pressure from Latvia's Western partners (actually, it is an interesting case study for future research).

The draft of the law stipulates that citizens and all legal residents will have to make their initial declaration only once. Absence of submitting the declaration would be considered as an act of declaration, just later those persons would have to prove rots of their income or properties to state authorities.

All persons who hold cash that exceeds the amount of hundred minimal monthly salaries in Latvia (circa 200EUR=20000EUR)would have to transfer that money into their bank account until the December 31 deadline of that year.

Comission declined the idea to declare also transactions that exceed the amount of hundred minimal monthly salaries, because the idea of the declaration apparently is to declare savings, and ccording to Mr Leiškalns the takes to control expenditures is the task of law enforcement agencies later on. The latter part of the declaration project looks rather suspicios and I would have to go through it again, until there will be some credibility about actual passing of this law in the parliament. Lets wait again... .

Tuesday, January 22, 2008

Neverending...hundred day plan

Latvian government accepted the plan for its first 100 days in the office (http://www.delfi.lv/news/national/politics/article.php?id=20070806). The accepted plan is well structured but dry. There are myriad of tasks and they are neatly subdivided according to specialization, whether they touch questions of governance, economics, national library construction etc. Also questions about the rule of law are among government priorities for the first 100 days in the office. To have the state administration running smoothly government could start from implementing common rules of the game, thus mandatory income and property declaration system should be the first signpost here. The closest example for the PM is not faraway, because inscription "nobody is above the law" (viens likums, viena taisnība visiem) is just above his seat in the cabinet of ministers.

The government is sinking, however, in the sea of neverending tasks. Those tasks are neatly structured but it does not help, because without clear rules of the game for all the participants of the Latvia Ltd. Inc playground, those tasks will never end.

Present servants (minister-servant lat. lang) haven't reached the level of statesmen/women yet, and they do not see the broader picture out of their stacks of papers. Instead of focusing on couple or three strategic tasks government ministers believe that tasks of state administrators are theirs to perform. It is obvious that they cannot cope with minutae tasks (who could, and why is there civil service after all), but instead of solving strategic questions the PM and his retinue hide behind the list of "very serious 100 day program", thus promoting the culture of irresponsibility and fostering depletion of trust in government among citizens.

As if to prove my assumption I peaked into webpage of the Latvian government. On the left side of this page one may notice a pollster asking opinion about the goverment's 100 day program. There is no reference about the issue of the rule of law, and obviously more than 50% of respondents have answered that cooling of Latvian economy is the most urgent task.

Cooling of economy is required indeed, but to cool or heat up economy in the situation of legal nihilism is dangerous because it creates frictions and consequent dissatisfaction in the society. Dissatisfaction about the lack of clear rules of the game is omnipresent and only Allmighty knows, how and where to this government plans to channel this dissatisfaction?

P.S. Radio news just announced that Latvian Ambassador in Moscow Mr Andris Teikmanis is summoned to the Ministry of Foreign Affairs, and we may expect extradition of Latvian diplomat now. Also, Russian outgoing Ambassador Victor Kaluzhny went to say farewell to the Daugavpils citizens yesterday, but rather clumzily compared possible Kosovo independence as giving precedence to hypothetic Latgale sessesionism from Latvia... .

Monday, January 21, 2008

Citation of the day

Latvian transport supremo known in some circles as "kickboxer" came out with a citation of the day again. According to the Baltic News Agency, Mr Šlesers in the "Riga Crossroads" conference came out with a pearl, "Do transitory birds really have no other place to spend their free time when they come back from tropical areas? We must decide whether we want to see the Riga Port as zoo and bird sanctuary."

Transport Supremo was vicariously responding to the last weeks decision of the Constitutional Court, when the latter made its final decision (it cannot be overruled) not to allow expansion plans of the Riga Freeport, and it was a legal victory for the Green activists.


P.S. To remind you, that back in 1999 Mr Šlesers was the youngest minister of the Latvian goverment and gave his interview to "Rīgas Laiks", where asked to describe women he arkwardly revealed that "the beauty of women comes from its guts" ("sievietes skaistums nāk no iekšām").

Diplomat extradited..... pollster (on the right)

The news just came in from the Foreign Ministry about Latvian government requesting Russian diplomat to leave the country in 48 hours. When TV3 announced that there is Russian spy residing in the Russian Embassy in Riga at the end of 2007, Minister of Foreign Affairs Māris Riekstiņš similarly to other Latvian officials publicly scolded journalists for looking just after cheap sensations. It seems that "cheap sensation" was neither cheap nor sensation, and an also outgoing Russian ambassador has learned his duties (bluffing) well. The metamorphosis of Latvian governing elite is not surprising after all, because since last parliamentary elections it was gradually giving in to the outright murky and corrupt deals. The present governing coalition has lost its credibility representing Latvia as a self sustained sovereign entity, and whilst following traditional appeasment policy is ready to serve anyone who pays enough money.

Luckily there is freedom of the press in this country, otherwise best traditions of the Soviet Latvian corporate culture could make Latvia already similar to neighboring Belarus.

In the meantime Latvian government managed to publish its blueprint for the first 100 days (until April 14, 2008). The language of the blueprint(http://www.vdiena.lv/lat/politics/doc/ivara_godmanja_vadiitaa_ministru_kabineta_neatliekamo_darbu_plaans) is rather dry, and it does not mention anything about preparating for the implementation of the Mandatory Property and Income Declaration system. Obviously, it is the parliament passing laws in this country, but if preparation for such law has not been even mentioned in the list of the most urgent tasks of the goverment, then it is possible to deduct from the government behaviour that the law establishing Mandatory Income Declaration would not be passed in Saeima prior April 14.

To have a better understanding about where does Latvia stand on this issue I would like to learn "temperature" of the public opinion, thus, could you please answer to the question of the pollster on the right side of this page. Thank you!

Wednesday, January 16, 2008

Et tu Freedom House...

Two days ago it was Heritage Foundation that published data about the decline of Latvian economic freedom by -1 point in 2007(look into Tuesday's blog entry). The report showed that Latvia is gradually lagging behind its Baltic cousins, Estonia and Lithuania. Yesterday Freedomhouse published its 2007 survey and according to this survey Latvia is still free, but in the survey there are words that would make any EU member civil society cautios.

"For 2007, Latvia registered a slight decline due to series of corruption scandals that implicated highranking officials". This is a quote from the Freedomhouse 2007 evaluation report and it should be underlined, that the only Europeans specifically mentioned in the report were Latvia and Bosnia-Herzegovina. The report reflects also the overall mood in Latvian society (remember demonstrations in October and November). Also Latvian pollster SKDS released its report yesterday that was commissioned by the Anti-Corruption Agency in Latvia (KNAB). The report revelead again(!), that most of Latvian state institutions reputation has declined, and the belief that corruption is still omnipresent in state and municipal administration, that fosters also petit corruption thus widespread in traffic police.

Both reports reveal dark sides of Latvian governance and should make any political elite to think about causes for decline of Latvia's credit ratings, negative performance of its administration in the eyes of the public for quite many years in the row, and now also decline of basic freedoms. As soon as the report appeared on pages of liberal Diena and Delfi first comments, probably from "busy" administrators in state institutions, hissed that 'authors of such reports should be changed', thus giving more positive light for Latvian extraordinary success story of last couple of years, to use the language of the incumbent president. Unfortunately the government, the president, parliament, and the legal system in this country are gradually merging into the corporate entity called Latvia Ltd., and it is harder and harder to see substantial balance of powers system here.

Instead of reflecting on quality of its own work, the political elite and their underlings continue to lie to themselves thus promoting the culture of irresponsibility. Living in the power bubble of Jēkaba and Brīvības streets continues, and I am not surprised about hissing of Latvian officialdome about "betrayal" of their good works in style of et tu Brutus...

In May service of the Director of the Latvian Intelligence Agency (SAB) Mr Kažociņš should be evaluated by the parliament, in August tenure of the Head of the Supreme Court Andris Guļāns should finish, and finally in December four years term for the Head of the State Audit Office Ingūna Sudraba should end. It is widely known that these three persons are not really appreciated by the corporation called Latvia Ltd. Mrs Sudraba openly scolded most of ministries and other state institutions for misuse of public funds (so far without any political consequences). Mr Kažociņš is disliked by the top notch politicians because he spent most of his life in Great Britain and Andris Guļāns, probably unwillingly, has given in to the public pressure and revealed that there are problems with corrupt judges.

2008 is in some way omenous year, because future status of the above mentioned officials would also very much determine the future of liberal democracy in Latvia.

Did Mr Leiškalns change his mind?

Halleluja, and Delfi just announced that the Mandatory Income and Property Declaration Law is still ALIVE and procceeding through the long halls of the Latvian parliament. It means that the lawmaking proceess would not be terminated!

Why did the head of the Saeima Budget and Finance Committee, Mr Leiškalns change his mind thus suddenly (watch my previous and yesterday's blog entries)? Perhaps the parliamentary majority started listening to experts and opposition arguments? Lets wait till the end of the day and follow Saeima procceedings. Are there miracles possible for Alice in Wonderlatvia?

updated...throughout the day

It looks that a sudden change of Mr Leiškalns mood is coordinated with the top notch politicians in this country, because according to BNS also incumbent president agrees now, that Mandatory Income and Property Declaration is required, because it "would be better for the state and society".

final update...

There were no more substantial news coming from the Parliament today. It is known however, that the law is still discussed and the work in upgrading it would continue next week. Thus much good news so far and should continue to wait then, and probably there will be news also why did Mr Leiškalns change his mood thus suddenly:)

Tuesday, January 15, 2008

Latvian Wonderland continues

Optimists, who hoped that the new PM would bring substantial improvements in governance culture of Latvia, must wait! Today Delfi announced that the Saeima Head of Budget Committee considers that the Mandatory Property and Income Declaration Law should be abolished in its present form because it does not make any sense ("šādā redakcijā likums ir bezjēdzīgs"). Other MP's agree with contemplations of Kārlis Leiškalns and according to Delfi article also Latvian Ombudsman office gave its negative evaluation to the above mentioned law.

Sad, very, very sad
, and probably Latvian parliament is the world champion in delaying its legislative duties. Mandatory Property and Income Declaration Law is slowly milled through the corridors of Latvian legislature since 1997, while neighbors Estonia and Lithuania passed such law last century, in 1991 and 1994 accordingly. Instead of his announcement prior the end of the 2007, when Kārlis Leiškalns openly annoyed was ready to accept that such law would probably be passed in the middle of February, it is postponed indefinitely now... .

Postponing this very law persistently widens the gap between the Latvian economic development and one of its Baltic cousins. Please do not assume the Mandatory Income and Property Declaration law as some kind of mantra, but as an example for creating order in countries public finances and thus allowing to gain quicker economic development gains. To underline my argument the latest Index of Economic Freedom by Heritage Foundation was announced today. According to the report Estonia is the 5th most competitive economy in Europe and 12th in the World, Lithuania is 14th in Europe (22nd in the World), while Latvia is 22nd in Europe and 41st in the World, thus letting even Armenia and Georgia pass.

As of symbolizing Latvian "business culture" Latvia's most prominent prisoner Aivars Lembergs, who actually sits under house arrest, announced that he would start hunger strike as from the January 17. The official reason for such a radical move is his dissapointment with the work of his guards and irresponsibility of the Latvian Prosecutor General office. According to Lembergs representative the latter office "dared" to limit his correspondence and telephone calls. Such announcements sound a bit whimsical, thus maybe former Maire of Ventspils wants to lose some weight and thus earn some advertising brownies from some weightwatchers firm? Ok, it is a joke only.

In the meantime while some members of the famous triple AAA (Aivars Lembergs, Andris Šķēle & Ainārs Šlesers) team are still hoping to manage their sound finances prior the mandatory income and property declaration would be introduced, we know that another one announced hunger strike under house arrest (his inprisonment he considers as a political farce). Such seemigly unfavourable treatment of some members of the AAA team only promotes the comprehension among the public that a judicial system is unjust and democracy is simply dysfunctional. Mr Lembergs defense team knows it very well, and they cater for creating him as a symbol of martyr, and he already has a fan club of old ladies who travel with the famous prisoner from one court house to another.

Rest of the Latvian society follow these events powerlessly waiting and hoping that Latvian judicial system would prosecute all the crooks in this Wonderland one day. Funny, how long it would carry on like this without even properly knowing what belongs to whom?

P.S. Those of you reading in Latvian may find my thoughts in Diena.

Saturday, January 12, 2008

God give more time to post-Soviet rich folks

I wanted to write about the new fashion of Latvian nouveau riche already quite some time ago. Aivars Ozoliņš from Diena (08.10.2007)reminded me about the rather peculiar tradition of the Latvian nouveau riche to buy aristocratic prefixes de, Von and Sir. I had forgotten about this topic but todays news reminded me about the way Latvian well off folks change their surnames.

Among numerous obituaries to suddenly passed away entrepreneur Aigars Lūsis(26) there are two rather peculiar last names, de Putāne. Linda and Iveta de Putāne are among many people expressing condolences to family Lūsis. After assassination of the young factory director it was rumoured already yesterday, that Mr Lūsis was gunned to pay for his fathers sins, who rather questionably acquired ownership rights in Jelgava and Cēsis meat procesing factories. The police investigation should certainly give us an answer about shootings in Garkalne. But I wanted to speak about peculiar surnames in obituaries to Mr Lūsis instead.

Information about Iveta& Normunds de Putāns and Linda de Putāne is found also in world wide web. According to www.google.com Iveta de Putāne is real estate developer, and she is among hundred richest women in Latvia. Linda de Putāne graduated from the University of London, she speaks some Spanish and she works in the Ministry of Interior.

Why did I start to speak about aforementioned folks? Because surname de Putāns for any French, Spanish Italian, and Portugese speaker creates rather funny associations to say the least. It might be that de Putāne case is singular, and that their forefathers have acquired their surname during Napoleon's war expedition to Russia in the early 19th century, for example. Napoleon Bonaparte army marched through the easternmost Latvian province Latgale en route to Moscow. It might be the case that ancestors of two ladies got their surnames due to this historic event.

If they have acquired prefix in front of their surname due to this historic event then it is a unique case, because it should have happened thus many years prior the official abolition of serfdom in Latgale in 1861. Also, what were motives of the member of the French army who enabled de Putāns to acquire aristocratic prefix? Finally, I wonder how do these ladies feel when they visit countries where they speak latin tongues? I do comprehend that aristocratic prefix in front of surnames probably rises self-esteem. However, prior choosing prefixes in front of their names I would reccommend such folks to thoroughly research ethimological meaning of their surname in different languages. Case of de Putāns (puta, putain - whore/bitch in French and Spanish) is probably just "an exception", but hypothethical Von Merde (shit in French), de Vitt (pussy in Estonian and Finnish), Dame Razgals (rascal - usual surname in Latvia), or Sir Ass (sharp in Latvian) are examples for nouveau riche to think prior they add aristocratic prefix in front of their surnames.

It is sad that shootings took place in rich Riga suburbia (Garkalne). But in Mexican TV soap operas of the early 1990's it was rather omenously said that even rich people cry. May God bless rich and poor in this country, and also may God give the rich more time to contemplate prior they buy into upward mobility of the post-Soviet society.

Friday, January 11, 2008

"Militia wars"

While the scandal of about Latvian passports being sold to the CIS countries businessmen is quieting down, shootings of prominent businessmen appear on front pages of Latvian newspapers. According to Immigration and Citizenship office from 1999-2005 about 100 Latvian old style passports in blue covers were issued to persons with false identities. The picture appearing below is the new EU format Latvian passport from the Latvian Immigration Office web page. According to PM illegal sale of passports took place not in the Immigration office but there was the theft of ID's in the citizens register office, thus the security of the new Latvian passports should be almost fool proof.



After the public debate in Kas notiek Latvijā? TV show, however, it did not become clear due to who's mistake illegal identity formation took place in the citizen's register. It was first thought that illegal passports were issued in the Immigration department but apparently nobody wants to reveal the real situation, and make full and independent inquiry due to the peculiarity of the police investigation in Latvia. Police investigation methods in this country are secretive and thus do not allow the media to keep the track on investigation. Latvia became member of the Schengen zone and it should be a sign of quality for the system of internal affairs. Luckily such "mishap" with passports was discovered early, but the slowness and obscure mode of investigation does not give one assurances about the Schengen quality mark yet.

While one scandal follow another schootings take place in rich Riga neighborhoods. Early this week co-owner of the Arena Riga Mrs Ella Ivanova (39) was shot in her home yard in Garkalne. This morning similar news came from Garkalne again, because the owner of Cēsis and Jelgava meat processing plants Mr Aigars Lūsis (26) was gunned down in similar manner like Mrs Ivanova. Together with entrepreneur gunned at the end of December in Salaspils and another one in Jēkabpils in November, these shootings have dubbed the return of Ivars Godmanis government as "a comeback of the early 1990's". Heads of Latvian police, Messrs Lieljuksis and Ķuzis have come out with conflicting announcements about this week's shootings. When the former denied the latter approved that the 1990's are back and ownership of properties are contested again.

In the meantime the Latvian Statistics Office revealed that last year Latvian upper class spent Ls 59mlj. (circa EUR85mlj.) on posh cars.


In the country with Ls 5,377 billion annual budget (2007) it makes around 1% of annual revenues. It is a free market economy and Bentley "shoppe" was just opened in Riga. In the meantime trade unions are feeling uneasy after meeting the PM because PM warned that trade unions should not expect wage increase. Also the Minister of Finance, Mr Artis Slakteris warned about bad news on horizon yesterday: "Latvian economy should prepare for worst times". For the sake of both Ministers' announcement looked into the basic macroeconomic data.

The consolidated debt of Latvia today is about 17 395 500 000 and its about 200% of its GDP which according to the Bank of Latvia data is circa 8 693 791 000 (1 quarter=2060107000, 2nd quarter=2179942000, 3d quarter=2226871000 and 4th quarter data is still not ready). Numbers are here and shall analyze them in detail during this weekend.

In the meantime ownership rights are contested on streets and yards in Riga suburbia. Prior his election the incumbent president Zatlers said that he likes the Russian TV series "Militia Wars". Police must investigate who is behind the shootings of the two entrepreneurs, but the milieu of the 1990's thus vividly exemplified in the Russian TV series is now in Latvian suburbia.

Tuesday, January 8, 2008

Old boys networks forever

The new PM is planning to find the least painful way to return overheated Latvian economy on tracks of sound macroeconomic stability. The PM has announced that regaining the trust of the Latvian public is a priority for achieving such goal. In the meantime his governing coalition partners openly announce that there is no need to worry, because dissatisfaction of broad layers of society according to Mr Brigmanis (the head of the Union of Greens and Farmers parliamentary fraction) is a myth propagated by liberal media (Diena) and Western financiers.

As I already wrote the 2007 was disastrous for the incumbent political elite but also encouraging for the budding Latvian civil society. In January 2008 it is the end of the four year tenure for the Russian outgoing ambassador Mr Kaluzhny. If there should be an award given for the antithesis of the role of an ambassador then the latter could be given to the latter gentelman. Mr Kaluzhny is leaving his tenure and also the job in the diplomatic service of the Russian Federation, nevertheless, it is hard to trust the words of an outgoing ambassador however.

Customarily to the best traditions of the soviet nomenklatura one should not trust words of an official because one could always be called back to the duty of the state to serve its collective God/masters. There are ample of such examples in the post-Soviet space. After Lithuanian presidency (1993-1998) Mr Algirdas Brauzauskas announced that he quits active politics because he wanted to give a chance for younger generation politicians, but he was recalled and served as a PM of Lithuania from 2001-2006. Ivars Godmanis after his bumpy premiership (1991-1993) and subsequent losing of the post as the Minister of Finance in 1999 announced that he would NEVER come back to the active politics, however, Mr BUT (he established such nickname due to response to journalists in early 1990's with his customary conjunction but) is back since December 2007 as a new/old Latvian PM.

Old comrades are networking and their relations are tightly knit. Relations of such old boys networks with Brussels officials are cool due to the lack of networks and very often still the lack of English skills. Thus, it is obvious that old boys networks feel better with their "ideological comrades of faith", and probably it explains why Ivars Godmanis agreed to meet the outging Russian ambassador thus swiftly after his appointment as a new prime minister.

While it is now complicated to find hard evidence about my assumptios of such general knowledge from the present political elite in Latvia it is Mr Kaluzhny who gave his omenous farewell address to the present governing coalition in the Chas (08.01.2008) interview.

"I must compliment premier Kalvītis and the governing coalition during three years of their rule. It was the victory of pragmatism and I am sad that he has left the premiership"

Pragmatism in Latvian - Russian relations was badly needed after all, thats true. The fact that such pragmatic relations are built at the expence of delayed Latvian europeanization, marginalization of the civil society, disregard and often open onslaught on the rule of law, return of the milieu of gangsters shooting on the streets, and finally estrangement from its Western allies is very, very sad, however. Baltic States are perceived as a common regional, economic and sometimes even as a political entity. Such fallout in Latvia, that is always considered as the weakest link among Baltic cousins, endangers international sovereign position of Estonia and Lithuania as well.

Thank you Mr Ambassador for your candid words after all, and I hope that such words would only help to consolidate the civil society in Latvia!

P.S. I started adding my thought in Latvian in Diena from now one from time to time as well.

Sunday, January 6, 2008

Early 2008 contemplations

Latvian new government started new year with a scandal. The so called spy scandal is nothing extraordinary because spies are in every country. Latvia is a member of the EU and NATO and therefore Russia is obviously interested how its neighbor and former province is doing. The fact, however, that the outgoing ambassador of the Russian Federation missed the fact that Latvia together with nine other EU countries joined Schengen Agreement, and thus openly scolded Latvian journalists for asking "unimportant questions" (concerning the alleged spies of FSB working in his embassy), makes one wonder about relationships between Moscow and present political leadership in Riga.

Russian outgoing ambassador made his odioze pronouncements throughout his four year tenure. While the outgoing ambassador of the US, Mrs Catherine Todd Bailey made her speech in the University of Latvia last October it made Latvian government nervous, and many rather unbalanced announcements followed. Throughout four years of Mr Kaluzhny ambassadorship Latvian government has appeased his colourful announcements, including the last ones. During the first week of the 2008, if one follows Latvian media, it becomes clear that Latvian politicians are mere appeasers without real understanding that they are NATO and EU member. Regardless of contradictory announcements of the PM and the Minister of Foreign Affairs it is unclear what kind of signal did Ivars Godmanis want to give to the EU partners, while first ambassador he met after being chosen as a new prime minister of Latvia was the Russian one?

While hypothetical gas powered station was mere possibility at the end of last year it is the Russian Ambassador hints in Diena that the decision is almost made - the gas powered station should be built at the premises of Riga TEC-2 thermoelectric station. I cant believe that outgoing ambassador would be bluffing thus much, therefore the question is still open - how the station is going to be built, if the parliament has not passed the law giving it a GO? Interesting, very interesting indeed, how would voting for the gas powered station during upcoming months affect the government stability? In the meantime what should Estonian and Lithuanian partners think about Latvian government position in prospective Ignalina Nuclear power station project?

Latvian government similarly to Estonia could simply emulate best governance practices of its Scandinavian partners. Present cabinet simply has given in to the corporate interest groups, and enables inordinate influence of Russian business interest groups over Latvian government. The saddest part is that such governance style delays thus needed structural remake of its legal, constitutional and fiscal systems. Without dispersal of the present parliament it is impossible to bridge an ever increasing dissatisfaction with present governing elite among the Latvian public. Continued consolidation of the civic society is still needed and the consolidation of the civic society and oposition parties would determine the lenght of the present interim government in the office.

Thursday, January 3, 2008

Back into the snakepit

I am back in Riga and realizing that I am in a snakepit... . PM announcements and news from the acting minister of foreign affairs sound like declarations of the servant of the Russian Federation already. Whatever media canal I choose today in Latvia, I find pronouncements of the Ambassador of the Russian Federation and meek ad hoc referances of Latvian politicanos. Mr Victor Kaluzhny is an outgoing ambassador, and still Latvian Foreign Office is meekly accepting the subservient role (with legitimate excuse of their minister being outside the country)....very sad. Instead of playing their sovereign card Latvian ministry of foreign affairs allows to muddle iself into the affair of soon to be deported Russian FSB agent.

Stories about the former PM (Aigars Kalvitis) becoming the benefactor of the Gazprom deal with the Latvia Ltd. are becoming louder. No wonder, because the Russian decisionmakers found that it is easier to strike deals with those in power rather than russophone opposition parties. There are no solid facts published because there is little transparency in those deals however. Therefore, in this situation when assets of the strategic energy sector are sold to the outside - EU company, and when it openly breaches the so called Gazprom clause of the EU common energy policy, it is very important to pay attention to all the legal aspects of such deal.

In order to make the process more transparent Latvian politicians should be bound by law. To show the impartiality of Latvian deciosionmakers their and their family member wealth declarations should be mandatory not only while they are in the office. Such prospective law should stipulate, that whoever is at the helm of Ms Latvia NOW should declare their wealth not only now, but also five years after leaving the office. Without such law independent statehood of the Latvian state is simply unimaginable, but for such law to come into existence MP' s must first pass the mandatory property and income declaration law, and here we must wait until middle of February at least (that is assumption of Mr Leiškalns, the Head of Saeima Budget and Finance Commitee)...