Negotiations procedure started to end food procurement contract with Zitari LZ - Murniece

RIGA - A negotiations procedure is underway to terminate  the food procurement contract with Zitari LZ company, Defense Minister Inara Murniece (National Alliance) said in an interview with Latvian Television on Friday. 

The minister said that the state authorities would not provide details of the negotiations because the process is confidential.

The minister underlined, however, that everything possible would be done to make sure Latvia does not suffer any loss as a result of the contract's termination. 

As reported, Zitari LZ, a catering company based in Roja, western Latvia, has been awarded a EUR 220 million contract to supply food to the National Armed Forces (NAF) for the next five years, according to information available from the public procurement database.

The Corruption Prevention Bureau (KNAB) launched a criminal case in relation to the food procurement for the armed forces and detained three persons. KNAB conduced 14 court-sanctioned searches in relation to the case.

It has also been reported that the Defense Ministry has launched an official probe into a EUR 220 million food procurement tender for the National Armed Forces. The ministry also has informed KNAB and the Prosecutor General's Office about the probe.