"It is suspected that P.Z. misused his powers as mayor to exert illegal influence on the Panevezys district administration staff responsible for organizing public procurement," the SIS said in a press release on Wednesday.
Zagunis, who is deputy to LFGU Chairman Ramunas Karbauskis, has signed a written undertaking not to leave Lithuania, STT spokeswoman Jurgita Razmyte confirmed.
The suspicions have been brought against the mayor as part of an ongoing pre-trial investigation by officials at the service's Panevezys unit into suspected abuse and bribery in public procurement in the Panevezys district municipality.
The officials suspect that some public procurement procedures for land reclamation and road and street maintenance, reconstruction and design works were non-transparent.
