Former Armenian President Robert Kocharyan, his son, and four others have been detained in connection with the illegal acquisition of property
YEREVAN, August 25. /ARКА/. Six individuals have been detained in a criminal case being investigated by Armenia's Anti-Corruption Committee, including the former president of the republic, his son, and others allegedly involved in criminal schemes. This was reported by the agency's press service.
Earlier, the Anti-Corruption Committee confirmed to Novosti-Armenia that second president of Armenia Robert Kocharyan and his son, Sedrak Kocharyan, had been detained.
According to the investigation, the former president of Armenia, acting in collusion with associates and abusing his official position, withdrew a number of valuable public and economic assets from state ownership under various fictitious pretexts and purchased them at prices significantly below market value.
According to the Anti-Corruption Committee, to conceal the actual ownership and criminal origin of the assets, they were registered to interconnected companies. The acquired properties were subsequently disposed of through development and sale, alienation to third parties, and transfer of the owner companies' shares, including through gifts.
What properties are involved in the case?
Specifically, an 8.3-hectare plot of land adjacent to Acharyan and Tsarav Aghbyur Streets was acquired for 44.657 million drams. In 2002, the Play City entertainment center was built there, and on November 15, 2004, a 50% stake in the Fast Kart company, which owned the property, was donated and registered in the name of the former president's son.
According to the investigation, a 2-hectare plot of land on the left side of the Cascade complex was acquired for 39.63 million drams. It was subsequently exchanged for a state-owned plot of the same size in a more advantageous part of Yerevan, which was then alienated for 1.741931 billion drams.
The building at 8 Paronyan Street, which was on the books of the company "Yerspasarkum," was acquired for 40 million drams. Subsequently, the public areas of the apartment building constructed on the site, with a total area of 600 square meters, and two parking spaces, with a market value of 331.8 million drams, were registered in the name of the former president's son through fictitious purchase and sale transactions.
The "Kaputak Sevan" recreation complex, located in the Gegharkunik region, was acquired for 83.669 million drams. On January 15, 2010, a 50% stake in the company "Art Build," which owned the complex, was registered in the name of the former president's son through a fictitious purchase and sale transaction.
A 29,000 square meter plot of land and a 1,700 square meter building located on it were acquired. The 7/1 Tsitsernakaberd Highway property, formerly owned by the Children's and Youth Sports School of the Olympic Reserve for Tennis, was acquired for 12.267 million drams. In 2008, the premium Orange Fitness club was built on the property, and in 2009, a 50% stake in the property owner was registered through a fictitious transaction to a company founded by the son of the former president.
Investigators Allege Bribes in the Form of 56 Real Estate Properties
The Anti-Corruption Committee also reports receiving information indicating that a bribe was allegedly paid to the former President of Armenia for organizing the transfer of the Officers' Club building at 20 Vazgen Sargsyan Street, a historical and cultural monument, and the unfinished building at 16 Nalbandyan Street from state ownership in violation of several legal norms, followed by their subsequent alienation to the Piazza Grande company.
According to the investigation, the 56 properties in question are worth a total of 2.633934 billion drams. To conceal their actual ownership and origin, the properties were registered to members of the former president's family and related organizations through fictitious purchase and sale agreements.
The Toyota Yerevan Episode
Another episode concerns land plots belonging to the Armenian Ministry of Defense at 22 and 22/4 Admiral Isakov Avenue, including a plot designated for the construction of a research and production station.
Their combined market value, according to the report, was 1.393870 billion drams, but they were sold to a company owned by a person close to the former president at a price four times lower.
According to investigators, in exchange for selling the plots at a significantly reduced price and ensuring the smooth establishment of a representative office of the Japanese Toyota company in Armenia, a 30% stake in Toyota Yerevan was given as a bribe to the incumbent president on May 9, 2006. To conceal its criminal origins, the stake was registered in the name of the former president's son through fictitious purchase and sale agreements.
What else is the investigation looking into?
Six individuals have been detained as part of the criminal investigation, including the former president, his son, and others who, according to investigators, were involved in these schemes.
Furthermore, the investigation is examining the circumstances of money transfers made between 2001 and 2019 in the name of the former president's son. These transfers involve approximately 144 billion drams, $309 million, 77 million euros, and 18 million Russian rubles.
The acquisition of more than three dozen real estate properties in Armenia and abroad, owned by individuals connected to the investigation and their family members, is also being investigated.
To prevent the possible transfer or alienation of the property, steps are being taken to seize it, the Anti-Corruption Committee reported.
Novosti-Armenia has contacted the office of second President Robert Kocharyan for comment.
