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Over 60 building licenses implying investments of $ 450 million suspended in Armenia due to judicial acts

24.06.2020, 15:19
More than 60 construction licenses implying investments totaling $ 450 million were suspended in Armenia due to judicial acts, First Deputy Minister of Justice Rafik Grigoryan said Wednesday at an extraordinary parliamentary session.

Over 60 building licenses implying investments of $ 450 million suspended in Armenia due to judicial acts
YEREVAN, June 24. /ARKA/. More than 60 construction licenses implying investments totaling $ 450 million were suspended in Armenia due to judicial acts, First Deputy Minister of Justice Rafik Grigoryan said Wednesday at an extraordinary parliamentary session.

At today’s extraordinary session the Armenian lawmakers are discussing at the first reading the amendments to the Code of Administrative Procedure and the law on the basics of administration and administrative procedure.

The deputy minister noted that under the current law, when disputing issues, the administrative act is suspended and certain exceptions are envisaged in the suspension of execution.

“As a result, in connection with building permits, there was a situation where, in the event of an administrative or judicial dispute, the construction process is suspended. Now about 60 construction licenses are suspended, and investments in projects, in particular, about $ 450 million, have been suspended as well," Grigoryan said.

He noted that only Yerevan does not carry out construction work on an area of 125 thousand square meters, which led to the need to revise the legislative norms that were discussed with the  city municipality and other interested parties.

"We propose that in case of challenging the acts, the suspension of activity should not be forced, but only if the petition is satisfied by the court," Grigoryan said.

He said that after the entry into force of the law, all construction work suspended by judicial acts will be resumed, and the parties will have the opportunity to submit additional motions.

He also said that in case of incorrect administration of compensation to the affected party, the company will be paid to the developer by the state or the community.

In his words, in parallel with this, work is also being done to facilitate the regime for granting construction licenses.

In connection with the proposed amendments, some MPs expressed concern that such an amendment could become the reason for unjustified suspension of the activities of some construction companies. Another concern of the deputies is the question that the court will be able to impose an act to suspend construction, and compensation will have to be paid from the budget of the country or community.

In response, the deputy minister called such fears groundless. -0-