TÜV investigation: Finnish criminals run companies in Estonia to avoid business bans | Yle news

The over 900 people uncovered as part of the investigation have unpaid debts in Finland totaling over 40 million euros, including unpaid taxes and compensation related to criminal activity.

In Finland, at least 930 people accused of serious crimes own or manage companies in Tallinn and elsewhere in Estonia, according to Yle’s MOT investigative journalism department.

The investigation found that the convicted Finnish criminals were using Estonia to circumvent business bans imposed in their home country or to hide their assets from creditors.

The report identified 58 people who were banned from doing business in Finland due to financial crimes but who continue to do business in Estonia.

A business ban is imposed if the court essentially believes that the person has used a business as a tool to commit crimes. A business ban issued in Finland should also be enforceable in Estonia.

The individuals uncovered in the investigation have a total of over 40 million euros in unpaid debts in Finland, including unpaid taxes and compensation related to criminal activity.

Shell company in Estonia

A significant number of these companies have no real presence in Estonia and are merely shell companies operating from Finland.

This became clear when an MOT journalist visited the companies’ addresses listed in the Estonian commercial register. For example, in the center of Tallinn there is an address where, according to the commercial register, over 1,500 companies are registered.

At this address, a service provider sets up companies for his customers and takes over their administrative tasks. There are several such consulting companies operating in Tallinn that offer these services.

A group of Finnish companies is located in the Tallinn suburb of Pikaliiva, where more than 150 companies, mostly owned by Finns, are registered in a single residential building.

During its visit, MOT found no signs of corporate offices or business operations at the site.

The owners of 17 companies registered in the apartment building have criminal convictions in Finland, including two that were banned from doing business.

Some of the company owners also have significant outstanding debts. For example, a person has debts of over two million euros, but has still managed to accumulate assets of over 100,000 euros through his Estonian company.

Not under Finnish jurisdiction

According to the MOT report, the activities of Finnish economic criminals in Estonia often seem to go unnoticed. The Finnish police have no jurisdiction in Estonia.

The National Bureau of Investigation declined to comment on the phenomenon or give an interview on the subject.

The harm caused by Finnish economic criminals is often most visible in Finland, which may explain why Estonian authorities are not particularly motivated to investigate these cases, the MOT report says. Those who suffer are the creditors and the Finnish state.