Latvia has not proven the facts that led to the suspension of the Governor of Bank of Latvia, Ilmārs Rimšēvičs, confirmed the European Court of Justice in a judgement delivered on Tuesday 26 February (Cases C-202/18 and C-238/18).
Mr Rimšēvičs and the European Central Bank (ECB) brought actions before the European Court of Justice after Mr Rimšēvičs was suspended from office by the Latvian Corruption Prevention and Combating Bureau. He is suspected of influence peddling in favour of the Latvian bank ABLV (see EUROPE 11996).
These are the first cases before the Court under the jurisdiction conferred on it by Protocol No 4 on the Statute of the European System of Central Banks (ESCB) and of the ECB annexed to the TEU and TFEU Treaties (Article 14(2), para. 2). This competence is intended to guarantee the independence of the governors of the national central banks.
In its judgement, the Court ruled in favour of Mr Rimšēvičs and the ECB, thus confirming the position of the Advocate General (see EUROPE 12163). However, it specifies that it is not for it to substitute itself for the competent national courts to rule on the criminal responsibility of the Governor concerned or to interfere with the preliminary criminal investigation in progress.
On the other hand, the Court examines whether the decision to increase Mr Rimšēvičs's salary was taken in the presence of sufficient evidence that he was guilty of serious misconduct justifying this measure.
The Governor of the Bank of Latvia claims that he has not committed any of the alleged misconduct and considers, like the ECB, that Latvia has not provided any evidence of such misconduct.
During the written procedure phase, as well as at and after the hearing, Latvia did not provide any evidence of such a nature as to establish the existence of sufficient evidence as to the merits of the corruption charges on which the contested decision was based, the Court notes.
Consequently, the Court finds that Latvia has not proved that Mr Rimšēvičs was guilty of serious misconduct within the meaning of the Protocol on the Statute of the ESCB and the ECB annexed to the Treaties. It therefore annuls the contested decision prohibiting it from exercising its functions as Governor of the central Bank of Latvia. (Original version in French by Mathieu Bion)