Latvijas Kuģniecība

LSC donates LVL 20 000 to Delna emphasizing its fundamental position on anti-corruption issues


LSC donates LVL 20 000 to Delna emphasizing its fundamental position on anti-corruption issues

january 10, 2013 / News

In response to the “Delna” donation campaign at the end of last year JSC “Latvian Shipping Company” (LSC), a part of the „Ventspils nafta” Group, has donated LVL 20 000 to the public benefit organization “Sabiedrība par atklātību - Delna”. This donation is a follow-up of the declaration by the new LSC Management Board not to be involved in corrupt transactions.

Inese Voika, Chairwoman of „Delna” Supervisory Council, explained that „Delna” accepts donations based on principles determined by the global anti-corruption network Transparency International. Donations from enterprises support achievement of the aims of “Delna” and do not impose particular liabilities. Also it is important that activities of such enterprises comply with good governance standards.

“LSC’s largest stakeholder “Vitol” that controls the „Ventspils nafta” Group including LSC, has made a great effort to turn LSC into a company that complies with the international good governance standards. It was especially important to us in regard to LSC considering the activities and bad reputation of the Company’s previous management. When analysing LSC by corporate transparency criteria, “Delna” considered the predictability of the company’s management and the transparency of the owners’ structure, as well as the clear communication of the whole Group about intolerance of corruption of any form,” stresses Inese Voika.  

As a part of its transparency and good governance principles since the spring of 2011 LSC quarterly publishes the main indicator of its operation area – the ship charter rates. It was the secrecy of the ship charter rates that previously allowed a situation where former members of the Company and Management Board were able to design schemes and to gain possibly illegal benefit. The Company has applied to courts against former members of the Management Board and Supervisory Council to recover losses caused to the Company. In order to prevent any suspicions about the use of the Company’s Supervisory Council by representatives of political parties for their own benefit remuneration of all members of the LSC Supervisory Council is currently set at LVL 0.

““Delna” has responded to the “Ventspils nafta” Group management invitation to continue development of an anti-corruption program that involves the drawing up of further systematic anti-corruption mechanisms, including training of employees on anti-corruption issues and support for reports on the possible illegal actions within the Company,” emphasised Inese Voika.  

This LSC donation is a part of the “Ventspils nafta” Group corporative philanthropy program for support of non-governmental organizations. Already for two years “Ventspils nafta” is a Silver patron of the “Iespējamā misija” (Mission Possible) and “Ventspils nafta termināls” has donated to the “SOS bērnu ciemati” (SOS Children’s Villages).

About „Delna”

„Sabiedrība par atklātību – Delna” in a non-governmental organisation registered in Latvia in 1998 and has been granted a status of public benefit organisation. „Delna” is a part of global anti-corruption network Transparency International which is represented in more than 100 countries. Delna’s mission is to decrease corruption in Latvia.


About JSC “Latvijas kuģniecība” (Latvian Shipping Company)

In the medium-sized and handy tankers categories JSC „Latvijas kuģniecība” (NASDAQ OMX RIGA: LSC1R)  is among the leading ship owners in the world, and in terms of transport volumes of petroleum products  it is also in a leading position among similar companies in Northern Europe. It owns 20 modern ships, employing more than 700 professional and highly qualified seamen from Latvia. The total carrying capacity of the LK fleet is 957 974 DWT and the average age of the fleet is 6 years. All ships have received ISM (International Safety Management) certificates.