Lithuanian PM Gintautas Paluckas Resigns Amid Corruption Allegations

Last Updated:July 31, 2025, 23:46 IST

Paluckas’ departure comes after he was issued an ultimatum on July 30.

Allegations over potentially improper business connections triggered widespread protests against him (X Image)

Lithuania’s Prime Minister, Gintautas Paluckas, has officially stepped down from his position following intense pressure from within the ruling coalition. The announcement was made on Thursday in an official statement released by the Social Democrat Party. President Gitanas Nausėda later confirmed the resignation to the media.

Paluckas’ departure comes after he was issued an ultimatum on July 30 by a junior coalition party, For Lithuania, one of the three parties forming the current government. The party warned that it would withdraw its support unless Paluckas resigned. Despite stepping down, the Prime Minister has firmly denied any wrongdoing or involvement in corrupt practices.

“Despite my decision to leave my current duties, I will continue to defend my honour and dignity and I’m waiting for the conclusions of the investigations, which I’m sure will separate the facts from insinuations," Paluckas said in a statement, standing by his position.

The demand for his resignation intensified in recent days following media reports highlighting his links to a private company owned by his sister-in-law. Allegations over potentially improper business connections triggered widespread protests across the Baltic nation, with demonstrators calling for his removal from office.

President Nausėda had also intervened, giving Paluckas a two-week deadline on July 24 to either respond to the corruption accusations or resign voluntarily.

Paluckas had only recently assumed the role of Prime Minister after being elected leader of the Social Democrat Party and guiding them to success in the October parliamentary elections last year. Though not yet confirmed, it is widely speculated that his resignation may lead to the dissolution of the entire cabinet.

The allegations revolve around claims that Paluckas’ affiliated businesses improperly managed contracts and deals, prompting official investigations by Lithuania’s anti-corruption and law enforcement agencies. The company owned by his sister-in-law has denied any wrongdoing, asserting that all contracts were secured through legitimate tendering procedures.

According to Mazvydas Jastramskis, a political analyst at the Vilnius Institute of Relations and Political Science, the next prime minister will likely be chosen from within the Social Democrat Party, which currently holds 52 out of 141 seats in Lithuania’s Parliament.

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