Estonian prosecutors taking closer look at Nordica executives' activity
Late this February, the Prosecutor's Office launched criminal proceedings to investigate whether executives at the Estonian state-owned airline Nordica abused trust in them when the company ended up facing economic difficulties under their management.
In a written comment to ERR, Daniel Toom, prosecutor at the District Prosecutor's Office for Economic Crime and Corruption, confirmed that the Prosecutor's Office on February 26 launched criminal proceedings to review the past management of AS Nordic Aviation Group (Nordica).
"The criminal proceedings were launched pursuant to the section of the Penal Code on abuse of trust," Toom said.
According to the prosecutor, to be reviewed in the course of proceedings is whether someone may have intentionally caused Nordica economic losses and committed a crime, or whether this was the realization of business risks.
"Currently no suspicions have been brought against anyone, and the Central Criminal Police is dealing with investigating the legality of the company's former management," he continued. "Thus, it isn't possible to predict the duration of proceedings or whether the evidence will provide the grounds to bring suspicions against anyone."
Pretrial proceedings are being led by the District Prosecutor's Office for Economic Crime and Corruption and conducted by the Central Criminal Police.
This February, the special audit commissioned by the Ministry of Climate and conducted by consultancy firm Ernst & Young Baltic and law firm FORT Legal on the state-owned airline Nordica found that poor management was to blame for the company's difficulties.
Minister of Climate Kristen Michal (Reform) likewise confirmed that the special audit's final report revealed that the company hasn't been well managed.
Immediately after the special audit's final report was published, the Prosecutor's Office announced that the report was general enough that it could not be used as grounds for deciding to launch criminal proceedings.
Online news portal Delfi, the first to report on the launch of the criminal investigation (link in Estonian) said that as of the end of 2022, Nordica's management included Jan Palmer (CEO) and Eteri Harring (CFO). The company also had a five-member supervisory board including David James O'Brock-Kaljuvee (supervisory board chair), Priit Karjus, Camiel Eurlings, Kaupo Raag and Taivo Linnamägi.
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Editor: Mait Ots, Aili Vahtla
