As a branch supervisor, the State Revenue Service (SRS) has inspected the company “Chatextech” in the field of proceeds of crime and found significant irregularities. As a result of the inspection, the SRS has suspended the company and imposed a penalty of EUR 100,000.
“The Latvian government is steadfast in its commitment to strengthen the integrity of the financial system and take protective measures in the interests of all members of society, including the most vulnerable ones, against harmful and dishonest activity. We will not tolerate activities carried out to launder criminal proceeds, including through malware and non-transparent transactions using virtual currencies,” states the Minister for Finance, Jānis Reirs.
Innovative technologies and solutions such as virtual currencies and transactions can have a transformative and positive impact on the diversity of opportunities for the financial system users. At the same time, the rapid development of this market in the world and the anonymity it currently enjoys is attracting criminals and people seeking easy profits in order to cover their tracks behind a seemingly legitimate company. The international collaboration between competent institutions and supervisors is one of the most effective early means against criminals who deploy their schemes remotely, encouraged by the global reach of the digital environment.
Full information is provided on the website of the Ministry of Finance: https://www.fm.gov.lv/en/article/us-treasury-suspends-company-accused-cyber-terrorism-latvia.