Prime Minister Kaja Kallas is facing growing criticism after Estonian media reports revealed her husband’s business ties to Russia, which will now be discussed by a parliamentary committee.
Estonian President Alar Karis — leader of the Social Democrats, the minority party in Kallas’ coalition government — said Monday that the scandal diminished Estonia’s credibility in its interaction with allies.
“The business activities of Prime Minister Kaja Kallas’ family member vis-a-vis Russia have raised many questions in the media and in society and have put the spotlight on the head of the government and the values that Estonia must follow,” Karis added, warning of a credibility crisis.
Last week, Estonian public broadcaster ERR found that Kallas’ husband Arvo Hallik held a stake in Stark Logistics, which has maintained operations in Russia since its full-scale invasion of Ukraine began last February. Stark Logistics continued to supply an aerosol container factory in Russia once or twice a week since Moscow’s onslaught began, Stark Logistics’ CEO Kristjan Kraag admitted.
Since the revelations last week, Kallas’ husband has said he will sell his stake in the company and step down from his position. Kallas denied prior knowledge of her husband’s company’s link to Russia in an interview with Estonian public broadcaster ERR last Thursday.
“I have already said this many times to different channels that I am very sorry that such a situation has arisen and I truly apologize to everyone who has been offended by this situation. Still, my views have not changed in any way — any activity in Russia or related to Russia must end. And so it is,” Kallas said.
On Tuesday, the anti-corruption and the state budget control committees will hold an emergency joint meeting to discuss the allegations. Kallas said she will not appear at the joint session. “When the relevant committees invite me, I am always ready to give answers,” she said Monday.
Conservative MP Valdor Seeder condemned Kallas’ response, claiming she has refused to appear before several committees and demanded she face parliament for interrogation.
Defense Minister Hanno Pevkur jumped to the prime minister’s defense. Kallas has handled things transparently, he said during a TV interview, making resignation unnecessary. “Kaja’s views have not changed in any way, either with regard to Russia generally or to holding Russia accountable,” he added.
