News

2019.07.26 16:30

Heating company ordered to pay €10m to Vilnius

BNS 2019.07.26 16:30

City Service, an Icor business group company which was in charge of the heating business of Vilnius kindergartens and schools, has been ordered by a court to pay €10.3 million to the Lithuanian capital; the company plans to appeal.

The Prosecutor General's Office and the local municipality sought to prove that City Service caused damage worth over €20 million to the city from 2002 through 2012.

Vilnius Regional Court satisfied their lawsuit in part and ordered the company to pay half of the sought sum of money to the city.

The municipality said that over 200 Vilnius kindergartens and schools paid for heating based on the contractual formulae, and not according to heating meters' reading, for ten years, leading to a difference of €20 million.

City Service claims the court ruling is unfounded and illogical. The company says it made heating supply more effective since 2002, which let Vilnius to pay considerably less for the heating of kindergartens and schools than before and “save around 20 million euros”.