Lithuania’s Cabinet backs lower threshold for asset confiscation

Marek Sadowski
Marek Sadowski
Reports on procurement law, review decisions and how the rules change. Based in Warsaw.
4 Min Read

This article explains what the proposed confiscation changes would alter and why they matter when organisations assess public-contracting counterparties.

Lithuania’s Cabinet has approved proposals from the Interior and Justice ministries to change the country’s civil asset confiscation framework. The Civil Asset Confiscation Law would be renamed the Law on Confiscation of Unjustifiably Acquired Property, signalling a shift in how the regime is described and applied. The decision is an approval of proposals rather than evidence that the final rules are already in force. The source article does not say that the decision changes tender evaluation, supplier eligibility or contract award procedures directly. Its procurement relevance is therefore indirect: buyers and bidders may need to understand how a wider confiscation regime could affect assets, counterparties and transactions connected with public business.

The proposed trigger would cover more offences

The ministries propose removing the specific list of criminal offences that currently frames when confiscation proceedings may begin. Instead, proceedings could be initiated in cases involving very serious, serious and moderately serious criminal acts from which a financial benefit was obtained or could have been obtained. The Cabinet describes this as lowering the threshold for applying confiscation to unjustifiably acquired property. This is a change in the trigger for a civil confiscation procedure: the proposed test would focus less on whether an offence appears on a named list and more on the seriousness of the offence and its possible financial benefit. The source does not establish that any particular company or person has breached the rules.

Settlements and urgent freezing would add procedural options

The package also proposes legalising the possibility of reaching an amicable settlement concerning asset confiscation and expanding the circumstances in which property can be frozen urgently. These are separate procedural changes from the proposed lower threshold. A settlement would create a recognised route for resolving a confiscation matter by agreement, while wider urgent-freezing powers would allow authorities to act more quickly to restrict dealings with property in relevant cases. The source does not set out the proposed settlement terms, the conditions for an urgent freeze or the safeguards that would accompany either measure. Those details will determine how the reforms operate in practice for asset holders and their commercial partners.

What public buyers and bidders should take from the proposal

For public procurement, the immediate lesson is to distinguish a confiscation risk from an automatic procurement exclusion. The source does not say that a supplier whose assets are frozen would automatically be barred from bidding or that a public buyer must reject a contract. It does show why ownership, financial benefit and the status of assets may become more significant issues in commercial checks if the proposals become law. Organisations involved in public contracts would need to follow the final legislation and any implementing rules before changing tender processes. Until then, the Cabinet’s decision is a policy step that may widen the situations requiring legal and financial assessment, rather than a completed change to procurement practice.

IN NUMBERS
2026-09-23
Cabinet approval reported

The proposals would broaden the circumstances in which Lithuania can pursue confiscation, while adding settlement and urgent-freezing options. Their practical effect on procurement will depend on the final legislation and implementation rules.


Reported from 15min.lt, 2026-09-23. The Tender Wire is published by Otnox.

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Reports on procurement law, review decisions and how the rules change. Based in Warsaw.
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