In 1940 it was relocated to Soviet-occupied Latvia with units of the dissolved Latvian Army joining the corps.

In September the corps contained 24,416 men but in autumn more than 800 officers and about 10,000 instructors and soldiers were discharged.

Before leaving the camp, Latvians drafted in 1939 were demobilised, and replaced by about 4,000 Russian soldiers from the area around Moscow.

After the German attack against the Soviet Union, from June 29 to July 1 more than 2080 Latvian soldiers were demobilised, fearing that they might turn their weapons against the Russian commissars and officers.

[1] After completing a fighting retreat to Staraya Russa and beyond, the corps was dissolved in September 1, 1941.