Arbitration Tribunal of Stockholm Chamber of Commerce upholds binding nature of ENA decision, says Samvel Karapetyan's Defense Council

YEREVAN, January 25. /ARKA/. The defense council for billionaire and philanthropist Samvel Karapetyan announced on Saturday that the decisions of the emergency arbitrator of the Stockholm Chamber of Commerce "in the case of the possible expropriation of Electric Networks of Armenia (ENA)" are mandatory.

Earlier, on July 22, 2025, the emergency arbitrator appointed by the Arbitration Institute of the Stockholm Chamber of Commerce upheld the application of Liormand Holding Limited, Samvel Karapetyan, and his family members and ordered the Republic of Armenia to refrain from applying the provisions of the Laws "On Energy" and "On the Public Utilities Regulatory Authority," adopted in July 2025, to ENA, as well as from any further actions aimed at expropriating the company.

As noted in the defense council's statement, the Arbitral Tribunal hearing the underlying dispute stated that, in accordance with Article 9 of Appendix II of the 2023 Arbitration Rules of the Stockholm Chamber of Commerce, the emergency arbitrator's decision is binding on the parties and is subject to immediate enforcement. At the same time, the Arbitral Tribunal rejected the Republic of Armenia's arguments regarding the inappropriateness of applying the emergency arbitration procedure to the dispute related to the ENA.

The decision also notes that the Republic of Armenia did not file a motion to set aside or modify the emergency arbitrator's decision, which, as stated in the document, confirms its recognition of its binding force.

It also notes that despite instances of non-compliance with the emergency arbitrator's decision recorded by the applicants, including the suspension of the ENA's license in November 2025, the Arbitral Tribunal has refrained from assessing these actions at this stage.

At the same time, it was stated that all alleged violations will be considered at subsequent stages of the arbitration proceedings as part of the consideration of the underlying dispute and may be taken into account when assessing the Republic of Armenia's potential violation of the Agreement between Armenia and Cyprus on the Promotion and Reciprocal Protection of Foreign Investments.

On January 23, 2025, the Armenian government issued a statement that " the Stockholm Arbitration Tribunal has fully rejected all requests submitted by Liormand Holdings Limited, Samvel Karapetyan, Eteri Karapetyan, Sargis Karapetyan, and Karen Karapetyan in connection with the Electric Networks of Armenia (ENA) case. The decision was issued on December 24, 2025.

According to the government, in their petition, the Claimants had asked the Arbitration Tribunal, among other things, to confirm Armenia’s alleged non-compliance with the Emergency Arbitrator’s decision No. EA 2025/121 of July 22, 2025; to restore the license of Electric Networks of Armenia CJSC and the powers of its governing bodies; and to terminate the authority of the appointed interim administrator. The Claimants had also requested a prohibition on the forced sale, transfer, or any other form of disposal of ENA shares or other assets.

The Arbitration Tribunal rejected all of these requests in full, concluding that the interim measures sought by the Claimants were unfounded.

The Tribunal further ruled that all costs related to the consideration of the petition shall be borne entirely by the Claimants.

According to the government statement, the decision preserves the integrity and comprehensiveness of the arbitration proceedings, ensuring that any subsequent rulings will be based on all relevant evidence and in accordance with the Arbitration Tribunal’s assessment of its jurisdiction and the applicable law.

Armenia welcomed the decision, noting that it was issued by the Arbitration Tribunal competent to resolve the dispute on the merits, rather than by an emergency arbitrator.-0-