Finland-based meat and poultry company HKScan has asked Estonian authorities to investigate whether any violation of the law took place with its Baltic business.

In November 2016, HKScan Corporation announced plans to initiate an internal inquiry investigating the practices of its Baltic business. The purpose of the inquiry was to ensure that HKScan’s Baltic management is complying with the principles of good governance and the company’s Code of Conduct.

During the following month HKScan shared the results of the inquiry, affirming that certain members of the Baltic management had indeed violated HKScan’s Code of Conduct and the principles of good governance. Four members of the management team -- Teet Soorm, general manager Baltics; Mati Tuvi, vice president, Baltic pork primary production; Lauri Kallikorm, vice president, Baltic poultry primary production and Hindrek Smidt, technical manager of Baltic pork primary production.-- were relieved of their duties and warnings for breaches such as misuse of corporate funds were given.

HKScan has since requested the Estonian authorities to investigate whether any violation of the law has taken place. The Estonian Public Prosecutor has published a press release (in Estonian) related to the criminal allegations.


“It is important that these violations were brought to light and action were taken to ensure that they will not continue. HKScan is committed to a thorough investigation, and so we have turned to the Estonian authorities. We will not be giving any further comments at this time in order to let them proceed with their inquiry in peace,” said Anne Mere, executive vice president of market area Baltics at HKScan.

After the violations of HKScan’s operating guidelines were identified, the company took several measures to develop collaboration and leadership related practices in Estonia. As an example, co-operation practices between employer and employees are being developed further.

The company also adopted a new channel, known as HKScan Fair Way, that enables anonymous reporting of any suspected breaches of good conduct.