Lithuanian prosecutors have asked a court to annul capital increase deals of AmberCore DC and Arcus Novus, which are building the country's largest privately-owned data center close to Vilnius. Intelligence services say the project could have links with the Russian Federal Security Bureau (FSB).
State Security Department
© DELFI / Tomas Vinickas

On February 24, a Vilnius court backed the plea from the Prosecutor General's Office to apply interim measures, i.e., banned Arcus Novus from transferring shares in AmberCore DC purchased as part of its authorized capital, as well as selling land sites that were used to pay for the shares.

Prosecutors want the court to invalidate the AmberCore DC share signing contract and apply restitution. Arcus Novus paid 376,000 euros for the shares in a monetary deposit and four land sites estimated at 83,300 euros.

A negative conclusion about the decision Arcus Novus took in February of 2015 to raise the AmberCore DC capital has been published by the governmental watchdog for potential violations of national security interests. The panel said Arcus Novus had failed to turn to the commission, thus violating the law.

The commission's conclusion was based on materials provided by the State Security Department. Darius Jauniškis, the department's director, has told BNS that the SSD considered the AmberCore data center project, developed by Arcus Novus, posed a threat to Lithuania's national security due to links to Russia's Federal Security Service (FSB).

Sources have told BNS that the SSD warned the government that the data center could be connected to FSB's radio-electronic intelligence center via fiber optic lines to Russia.

Representatives of Arcus Novus and AmberCore DC have not halted the project, filing a complaint against the negative conclusion to court. The businessmen say the commission's conclusion contains circumstances that affect the company's business reputation and are misleading.

Amber Core DC began implementing the data center project in 2012 and obtained building permits in January 2015, but it has not yet started the actual construction. The company said that the data center would be the largest in Lithuania and that investment in the project would amount to around 60 million US dollars, or around 57 million euros.

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