Judgment of the Supreme Court of the Republic of Latvia in the case of KIA Auto AS and TKM Grupp AS

On 22^nd of December 2025, the Supreme Court of the Republic of Latvia delivered its judgment in the proceedings concerning the legality of the decision of the Latvian Competition Council dated 7 August 2014 ((initial company announcement dated August 21, 2014) with respect to TKM Grupp AS and its subsidiary KIA Auto AS. The Supreme Court decided to dismiss the cassation appeals filed by TKM Grupp AS and KIA Auto AS and upheld the judgment of the Administrative Regional Court of 4 June 2025 (company announcement on June 6, 2025), which confirmed the Competition Council’s decision to impose a fine of EUR 135 thousand on KIA Auto AS, of which EUR 95 thousand was imposed jointly and severally on TKM Grupp AS. The judgment is final and cannot be appealed. TKM Grupp AS maintains its position that it has not violated competition law; however, KIA Auto AS will comply fully with the judgment and continue its normal business operations.