Blog Post
TDI, September 11th, 2018
A US-based financial services firm decided against a joint venture with a Czech counterparty after our investigation revealed alleged ties to Russian organized crime.

TDI conducted a pre-transaction due diligence investigation for a US client considering a joint venture with a Czech counterparty. We found that the subject company’s primary shareholder was a former member of the Czech parliament and was associated with a large and complex network of quasi state-owned companies. These associations linked the shareholder to another individual who had been investigated by Czech and Slovak police, the Czech Securities Commission, and Czech Special Services for alleged ties to Russian organized crime. Based on our reporting, the client chose to forego the joint venture and sought a more suitable counterparty.