Supervisory board (padome)

The supervisory board (padome) is the supervisory body of a Latvian capital company that represents the company's interests and oversees the management board. It is mandatory in a joint-stock company (AS); an SIA has one only if its articles of association provide for it.

The supervisory board of an AS has at least three and at most twenty members, all natural persons with legal capacity. A supervisory board member cannot also be a management board member, auditor or procurator of the same company.

In an AS the shareholders' meeting elects the supervisory board, and the supervisory board elects the management board. In an SIA that has a supervisory board, the meeting of members elects it.

In an SIA without a supervisory board the members oversee the management board themselves, for example by approving the annual report and electing or removing board members at the meeting of members.