RIGA - The Saeima Defense, Interior and Corruption Prevention Committee on Tuesday endorsed draft amendments prohibiting Russian and Belarusian citizens from holding significant or controlling stakes in companies important for Latvia's security.
Under the draft amendments proposed by Economics Minister Ilze Indriksone (National Alliance) to the National Security Law, Russia or Belarus, their citizens or legal entities registered in either country will not be allowed to acquire a significant or controlling stake in a company important for Latvia's national security or to become beneficial owners of such companies.
Originally, it was proposed to apply the ban on persons 'belonging' to these countries, but that wording was dropped due to its vagueness. Eventually, it was decided to apply the ban on citizens of Russia and Belarus.
As for the companies that are already owned or co-owned by Russian or Belarusian citizens, the voting rights of these shareholders or their authorized representatives will be revoked from the day the company has been officially recognized as important for national security.
The aforementioned regulation will apply to capital companies and partnerships.