KGB links Parex Bank with Russian Mafia nukes

Posted on January 27, 2013 by admin1

A former KGB agent sent an email to Parex Bank whistleblower John Christmas. While reading about connections with the “Russian mafia” and smuggling “nuclear component,” remember that Parex is fraudulently funded by the EBRD and has been “audited” for many years by Ernst & Young and PWC. Latvian taxpayers should wonder why the highest spending priority of the Latvian government in all of Latvian history was bailing out the shell-company deposits at Parex. The email below is being posted with the permission of the author.

Date: Sat, 26 Jan 2013 08:34:11 +0000
From: xxxxx
Subject: RE: Latvian State Police – referral by Luke Harding
To: xxxxx

Dear John,

Many thanks for your emails, which I found out to be very interesting. In relation to possible exposure of Parex: First of all, apart of yourself, I have completely different background (not financial one) and therefore, my knowledge about Parex an, particularly about its two “main gurus” – Kargin and Krasovitsky – is based on slightly different info. I was familiar with both these ‘geniuses’ since the time when Parex was not a largest bank in Latvia, but when it was a small currency exchange company. At that time, I came across to knowledge that they were heavily involved into money laundry (including ‘legalisation’ of so-called soviet communist party’s secret assets) ops conducted by both the Russian organised crime and Russian security services illegally operating in Baltic region. For instance, I am aware that Parex (Kargin and Krasovitsky) actively used for these ops certain ‘commercial’ firms which were in front of the Russian security services. In addition, I am aware about one illegal deal with participation of Parex (provided cash), when the specific amount of the nuclear component has been smuggled through the territory of Latvia to the West. Secondly, all my further intel I have received regarding Parex, due the nature of my ex-espionage work, was related to that similar “business”. For instance, I am aware they used for their illegal operations some offshore “bank” located in Republic of Nauru, as well as I am aware about one shadowy deal with issuing a fictitious bank guarantee (by Parex Bank) to the representatives of Russian mafia in the amount of 50mlns USD in 1997/98. Based on all the above, I am afraid my expertise about Parex is quiet specific and differ from your own intel. In the given circumstances, please, feel free meeting me so we can discuss the possible effective way whether and how can we work together in the future.

Kind regards,

Boris Karpichkov from London

Here is an article about Mr. Karpichkov:

http://www.guardian.co.uk/world/2012/feb/22/confessions-of-a-kgb-spy

Hewlett-Packard, Russian Prosecutors Office

Posted on September 26, 2012 by admin1

The United States announced its settlement with Daimler regarding bribes paid through Latvian banks to Latvian and Russian recipients back in 2010. Germany followed up by announcing an investigation of Hewlett-Packard regarding bribes paid through Latvian banks to Russian recipients.

Now in 2012, Germany has announced that three former Hewlett-Packard managers have been charged with bribery. The bribes facilitated the sale of computers to the Chief Public Prosecutor’s Office of the Russian Federation.

We can now understand why Russian prosecutors tolerate the enormous flow of Russian money through shell-company deposits held with Latvian banks. The prosecutors themselves are receiving some of the money!

Latvian and Russian prosecutors refuse to prosecute the people involved in the Daimler case. Therefore, it seems unlikely that they will prosecute the people involved in the Hewlett-Packard case.

When will the United States and European Union help the people of Latvia and Russia by blacklisting the offshore banks licensed in Latvia?

Here is the article from Business Week:

http://www.businessweek.com/news/2012-09-13/ex-hewlett-packard-managers-charged-in-germany-on-russia-bribery

Parex Bank gave Vladimir Putin’s friend $111 million UPDATED

Posted on March 28, 2012 by admin1

Here is an article about an interesting transaction that Parex Bank booked as a “loan.”

Parex transferred $111 million to Vladimir Putin’s good friend Eduard Khudainatov in 2006. Apparently, there was no collateral. The auditors from Ernst & Young must have known about this.

Now in 2012, Khudainatov refuses to pay the money back. The entire loss will be suffered by Latvian taxpayers. Nobody is being prosecuted, as usual.

UPDATE: A new article has been added below with more details. An amazing quote is included from the Reverta lawyer, speaking about Parex Bank, “During change of ownership in 2008, the former shareholders stole certain documents pertaining to key bank deals with Russian customers.” The implication is that this “loan” money has been stolen and documents have been stolen to protect the thieves and the EBRD lied to the world when it claimed in 2009 that Parex Bank was a wonderful investment for taxpayers.

pdf snapshot of Pietiek article from 18 March 2012:

Putin loan

link to article, unless it has been censored by the Latvian authorities:

http://www.pietiek.com/raksti/parex_no_putinam_pietuvinata_uznemeja_strukturas_grib_piedzit_100_miljonus

pdf snapshot of BNE article from 12 November 2012:

www-bne-eu

link to article, unless it has been censored by the Latvian authorities:

http://www.bne.eu/storyf4214/Latvias_bad_bank_gunning_for_Rosneft_deputy

EBRD fraud explained in video

Posted on March 28, 2012 by admin1

This is a video that appeared on Youtube in October 2011.

The European Bank for Reconstruction and Development (EBRD) committed a multi-billion-euro fraud against the whole world by conducting a fake purchase of Parex Bank stock in 2009.

http://www.youtube.com/watch?v=jlqoTPM2LA4

United States Department of Justice, Daimler, Russia, Latvia

Posted on March 28, 2012 by admin1

The following document contains some details from the United States Department of Justice case against Daimler AG, dated 22 March 2010.

Bribes to Russian officials went to Latvian bank accounts.

Shortly after the announcement of the Daimler settlement came an announcement that HP also paid bribes to Russian officials through a Latvian bank. Those bribes were paid to the Russian Prosecutors Office.

Nobody has been prosecuted anywhere for any of these crimes.

pdf snapshop:

Daimler Russia

link:

http://www.justice.gov/criminal/fraud/fcpa/cases/daimler/03-22-10daimlerrussia-info.pdf

Banco Santander robbed buying Extro Bank?

Posted on March 28, 2012 by admin1

One of the items from John Christmas’ Parex Bank whistleblowing list from 2004 was that Parex secretly owned a bank in Russia.

Christmas claimed that Parex owned and operated Extro Bank. For example, the Parex Credit Committee approved the loans that Extro Bank extended. Latvian State Controller Inguna Sudraba was on that committee.

The fraud claim is backed up by an email written by Parex vice president james brown. The claim is also backed up by a Skype conversation (below) with former Parex manager Christa Rubstein. She also confirms in the conversation that Parex paid employee compensation illegally.

Even though three witnesses wrote that Parex owned Extro Bank, the auditors at Ernst & Young did not care at all and ignored the huge fraud.

Therefore, Parex was able to sell Extro Bank to Banco Santander. Santander is one of the largest banks in Europe and has millions of shareholders in Spain and the United Kingdom.

According to emails (below) from a private investigator who contacted Christmas, Banco Santander got “robbed” in the purchase. The loss could have been 40 or 50 million euros.

Law enforcement is not interested at all, as usual. Also, the media is not interested.

Continue reading →

Is Parex Bank the KGB?

Posted on March 28, 2012 by admin1

A rumor has been going strong in Latvia for two decades: Parex Bank is the successor to the KGB in Latvia.

Parex obviously controls the Latvian government since the unnecessary Parex bailout is the highest-priority spending item in Latvian history.

If Parex controls the Latvian government, and Parex is the KGB, then doesn’t that mean…

It is easy to get former Parex employees to discuss the bank’s KGB connections when talking in private over a beer. But, it is difficult to get this information in writing. Here is one rare example, from the former Parex representative to Estonia.

Yeltsin Package email

Latvia ejected a Russian spy?

Posted on March 28, 2012 by admin1

When John Christmas was hired by Parex Bank, he was contacted by Dimitry Yermolaev, the Third Secretary of the Russian Embassy in Latvia, to have lunch.

Yermolaev informed Christmas that Parex was a criminal organization.

Christmas informed Yermolaev that the new Latvian government, run by Prime Minister Einars Repse, would crack down on corruption. At the time, a large corruption issue in Latvia was the obviously criminal purchase of the “Baltic Kristina” ferry. Parex was involved. Repse said that the government would take action.

Yermolaev informed Christmas that Repse will never take action against Parex because Repse worked for the “Jewish KGB Mafia” (Yermolaev’s words). Yermolaev said that in earlier years Repse worked in cooperation with former KGB agent Grigory Krupnikov to put Bank of Latvia (Latvian central bank) deposits into KGB banks.

The allegations were never investigated. The story has been censored by the Latvian press. Repse remains a leading Latvian politician.

The only action taken by the Latvian government was to eject Yermolaev from the country. Christmas had already been ejected from the country by this time.

pdf snapshot from 20 March 2012:

Dmitry Jermolayev

link, if not yet censored by Latvian authorities:

http://nra.lv/latvija/politika/44358-ekskluzivi-intervija-ar-krievijas-spiegu-dmitriju-jermolajevu.htm

james brown, john doe, Liga Purina, Roberts Stugis, Ernst & Young, Parex Bank

Posted on March 28, 2012 by admin1

This internal email from Parex Bank indicates that (1) the Parex financial statements were false and (2) all four vice presidents and the head of accounting knew.

The email reveals that Extro Bank, Nezavisimost, Allen Finance, and Northern Investment Bank were “de facto subsidiaries.”

This was illegal in many ways. Parex was supposed to have permission from the Latvian regulator and Russian regulator to own Extro Bank in Russia. Parex was supposed to have permission from the Latvian regulator and Belarusian regulator to own Northern Investment Bank in Belarus.

These companies (and a few more leasing companies that were also undisclosed subsidiaries but were not named in this email, such as Extro Leasing) were funded with loans from Parex that were on the books as loans to unrelated parties. The total amount of these loans was larger than the bank’s equity. Therefore, the bank effectively had negative equity.

This was one of the frauds in John Christmas’ whistleblowing to Ernst & Young in August 2004. Parex reacted by changing the leasing companies from “loans to unrelated parties” into “subsidiaries” without admitting that this had been a fraud. This cover-up, done with fake purchases, was another fraud. The auditor Ernst & Young knew and did not care. Perhaps this was because two of the four vice presidents, john doe and Liga Purina, were former employees of the auditor.

When Parex gave its liabiliities to the Latvian government at the end of 2008, the government retained Roberts Stugis as head of accounting and Ernst & Young as auditor. Clearly, the government’s objective was to cover-up the truth about Parex while at the same time receiving bailout funds from foreign governments.

brown email