Estonian Internal Security Service searches home of businessman Parvel Pruunsild

Officials of the Estonian Internal Security Service (ISS) brought suspicions of corruption against Deputy Mayor of Tartu Priit Humal (left) and businessman Parvel Pruunsild (right) on Tuesday. Photo: Kollaaž

Officials of the Estonian Internal Security Service (ISS) brought suspicions of corruption against Deputy Mayor of Tartu Priit Humal and businessman Parvel Pruunsild on Tuesday.

The deputy mayor is being suspected of violating procedural restrictions on a large-scale basis and the businessman, who is linked to Humal economically, is being suspected of aiding and abetting the violation.

The suspicion pertains to the property located at 9 Kuperjanovi Street in Tartu, which became vacant after the relocation of the Estonian National Museum in 2017. The state real estate manager RKAS conducted a public auction for the property in 2017, but since the City of Tartu also wanted to acquire the property, the then minister of public administration canceled the auction and granted the city a priority right to purchase the property. The City of Tartu planned to use the building for cultural institutions' activities in accordance with the development plan made until 2025. In September 2022, RKAS submitted a draft contract to the city for the acquisition of the property.

According to the suspicion, Pruunsild was also interested in the property and wanted a non-profit organization that won the auction in 2017, with which the entrepreneur himself is affiliated, to acquire the property. From August 2022, after RKAS had sent the city the draft contract, the entrepreneur allegedly influenced the deputy mayor to persuade the city to abandon the transaction and allow RKAS to organize a new public auction. Aware of the entrepreneur's interest, the deputy mayor allegedly did everything in his power to persuade the city to give up the acquisition of the property, despite its previous plans.

Gerd Raudsepp, a prosecutor at the Southern District Prosecutor's Office, said that although the City of Tartu had made plans for the use of the property, the deputy mayor responsible for municipal assets and finance started saying at various meetings that the city should give up its priority right.

«Based on the evidence collected, we suspect that the entrepreneur, who is economically affiliated with the deputy mayor, repeatedly expressed his interest in the property and exerted pressure on the deputy mayor to influence the decision-making process. Therefore, the deputy mayor knew that the entrepreneur had an interest in seeing the city abandon the acquisition of the property, and according to the suspicion, he did not recuse himself from the decision-making process, even though he should have done so,» Raudsepp said, adding that it is a preliminary suspicion that will be further investigated.

This spring, after the City of Tartu had abandoned its priority purchase right, RKAS organized a public auction for the property, which was won by the non-profit association affiliated with the entrepreneur.

Jaanus Kann, head of the southern department of the ISS, said that the purpose of procedural restrictions is to ensure that officials making decisions fulfill their duties honestly and impartially.

«The purpose of procedural restrictions is to protect the transparency and credibility of decisions. It is not about whether the official or institution themselves benefit from the decision,» Kann explained. «If, in the performance of public duties, the official is aware of their personal interest or the private interest of a person connected to them that could influence their decision, the official must recuse themselves from the decision-making process. This way, the official can ensure that the decision is both perceived and actualized as fair and impartial.»

The criminal proceedings are being conducted by the ISS and led by the Southern District Prosecutor's Office.