Latvian hospitals raided in EU-funded procurement fraud investigation

Latvian authorities have raided two hospitals as part of an investigation into the suspected fraud of 657,000 euros ($749,779) in European Union funds, the EU prosecutor’s office said Wednesday.

The probe, led by the European Public Prosecutor’s Office (EPPO), focuses on two public procurement contracts for sterilization equipment and medical technology services financed through the national budget and the EU’s COVID-19 recovery package.

Investigators suspect a private company reached an illicit agreement with a member of the hospitals’ procurement committee prior to the tender process to guarantee winning the bids, which were valued at 491,500 euros and 165,500 euros.

The EPPO said the case involves allegations of aggravated fraud and abuse of office.