RIGA, April 16 (LETA) - Riga City Council today decided to buy several land plots near Riga Airport from company Cella Investment 3 in order to hand them over to the state.

The land plots are located at 53 Priedaines Street, 3 Sieksates Street, 15 Grencu Street, 20 Grencu Street, abd several unnumbered properties on Priedaines Street, Skabenu Street, Sieksates Street, Kazenu Street and Laksu Street that Riga City Council will buy for EUR 2.3 million.

The land plots will be turned over to the state for the development of infrastructure necessary for development of the Riga International Airport.

They are part of 22 land plots near Riga Airport that were sold at auction on April 14, 2022. They were purchased by Cella Investment 3, a company affiliated with real estate developer Sirin Development, for EUR 5.7 million. Both companies are part of ME Holding NT, registered in Lithuania.

Riga City Council's decision will resolve the ongoing disputes between the investor, the municipality and the state.

The land plots were sold even though the Transport Ministry had warned the municipality not to sell the 22 land plots near the airport as they were located in an area necessary for future development of Riga Airport.

In turn, representatives of the Riga City Council's Property Department claimed at the time that the Transport Ministry had waived the pre-emption right on said land plots, therefore the municipality could use its own discretion regarding the land plots, which were then sold to Cella Investment 3.

As reported, Riga City Council started tackling the matter after the prosecutor general had addressed the municipality on the illegal privatization of undeveloped land in the area needed for the future development of the national civil aviation airfield.

According to the prosecutor's office, during the privatization process the local authority failed to assess the necessity of the land plots for the performance of state administration functions or state or municipal commercial activities. All 22 land plots are located in the territory necessary for the further development of Riga Airport.

The prosecutor general obliged the municipality to restore its ownership rights to the 22 land plots and to suspend the development of the spatial plan for the area.

The prosecution in July 2024 pressed charges against Janis Vaivods, former Acting Director of the Riga Municipality's Department for Spatial Planning and Mobility, for offering a large bribe to an official of the Transport Ministry in exchange for a favorable decision. The purpose of the bribe offer was to ensure that this public official would waive the ministry's claims for the land plots in the airport area.

The other person charged in the case is Pavels Tomilins, businessman, former aide to ex-Riga mayor Nils Usakovs.