In Latvia, an IT Specialist May Face Prison for Working for a Russian Company

Materials Have Already Been Transferred to the Prosecutor’s Office

Latvia’s State Security Service has forwarded materials to the prosecutor’s office to initiate criminal prosecution against a resident who worked for a company in Russia. The investigation believes that the provision of software services and the receipt of payments through Alfa-Bank violate European Union sanctions introduced after the outbreak of hostilities on the territory of Ukraine.

What the Investigation Established

Criminal proceedings were initiated on April 14, 2025 under an article concerning violations of the sanctions regime. Authorities concluded that since 2022 the suspect had been remotely providing software services to a Russian company.

A separate episode concerns financial transactions. For several months, payments were transferred to an account at Alfa-Bank, which is included in the EU sanctions list. Investigators view such transfers as making financial resources available to an entity subject to restrictive measures.

The Service recalled that EU citizens are prohibited from providing software and certain other services to companies in Russia, as well as from directly or indirectly making funds available to persons and entities included in the sanctions list.

Applicable Legal Provisions

The case has been classified under Part One of Article 84 of Latvia’s Criminal Law — violation of sanctions established by the European Union. This provision предусматриes liability for actions that circumvent or ignore restrictions imposed at the EU level.

The ban on providing software and other services to companies in Russia is set out in EU Regulation No. 833/2014. Separate restrictions concern financial transactions: Regulation No. 269/2014 prohibits making funds or economic resources available to individuals and entities listed under sanctions.

Alfa-Bank JSC has been included in that list since February 2023. Investigators are assessing transfers made through the bank in light of the applicable EU restrictions.

No Final Decision Yet

The materials are now with the prosecutor’s office, which must decide whether to bring criminal charges and determine the further procedural course of the case. If sufficient grounds are found, the case will be referred to court.

The Service emphasized that the individual is presumed innocent until proven guilty in accordance with the law. A final legal assessment of the suspect’s actions will be made during court proceedings.

The case may become a reference point for professionals working with foreign clients. The authorities have effectively outlined their position: remote work and financial transactions involving Russian companies are being assessed through the lens of the current sanctions regime.

Foreign Nationals in Latvia: Trends

Latvia has been consistently tightening residence rules for Russians and Belarusians since the outbreak of hostilities in Ukraine. They are prohibited from purchasing real estate in the country. In summer 2024, amendments entered into force requiring Russian citizens to confirm knowledge of the state language and reapply for residence permits, including those holding permanent residence status. Around one thousand Russians failed to renew their residence permits.

From September 1, 2025, Latvia introduced mandatory prior screening for third-country nationals: entry is only possible after submitting an electronic questionnaire at eta.gov.lv at least 48 hours in advance and receiving approval. From November 1, irregular bus services have been banned. Restrictions on the operation of the Pāternieki, Grebņeva and Terehova border checkpoints will remain in place at least until October 31, 2026, although regular routes continue to operate.

Analysts at International Investment note that particularly strict entry and residence conditions now apply in Latvia to citizens of Russia and Belarus. The country is shifting from a pan-European regulatory model to strengthened national control, under which visas and residence permits issued by other EU states are no longer regarded as sufficient guarantees of admission. This increases legal uncertainty for foreign nationals planning long-term residence or investment in the region. The criminal case against an IT specialist working for a Russian company further reinforces this trend.