Pipeline is given to Russians in nice package

Lragir, Armenia
Oct 27 2006

PIPELINE IS GIVEN TO RUSSIANS IN NICE PACKAGE

In an effort to escape news reporters who encircled him on October 25
with questions on the possible sale of the Iran-Armenia gas pipeline
the defense minister Serge Sargsyan said he would ask the head of
Armrusgasard Karen Karapetyan to elucidate the gas pipeline project.
It should be noted that Karen Karapetyan’s reaction followed at once,
but it would be exaggerated to call it an elucidation. The head of
Armrusgasard simply noticed that the Iran-Armenia pipeline does nor
have two sections, it is a whole and he also said that it would be
illogical if this construction were not managed by Armrusgasard
because Armrusgasard owns the distribution network of Armenia.
Certainly, if there is wish, Karen Karapetyan’s words can be
considered as elucidation, but like Russians say, `for gifted
people’.

And since there are few gifted people among the Armenian public, and
all of them are in the government which deals with the gas pipeline,
the others need more elucidation. For instance, why does the Russian
Gazprom company state on its official Web site and through its
officials that it bought or is likely to buy the Armenian section of
the Iran-Armenia gas pipeline? The answer to this question may bring
light on the situation. Meanwhile, no Armenian official has stated
yet that the official messages and statements of Gazprom are not
true. Moreover, the statement by Foreign Minister Vardan Oskanyan
several months ago and the recent statement of Prime Minister
Andranik Margaryan show that Armrusgasard will have no relation to
the Iranian gas pipeline except for a formal one. The point is that
the foreign minister and the prime minister hinted at money, capital.
In other words, Armenia expects money from Russia for the gas
pipeline. Armrusgasard can be a channel for this money, which became
clear from the prime minister’s words.

What can happen? The Russians give money to Armenia for the
construction of the gas pipeline, which will transport gas from
Kajaran to Ararat. Even though Karen Karapetyan says that the gas
pipeline does not have two sections, it is known to everyone that it
is conventionally divided into two sections: the Meghri-Kajaran
section funded by Iran and Kajaran-Ararat. The money of Gazprom will
solve the question of funding of the construction of this section.
But how? One is the traditional way when Russia provides a loan and
chooses property in return. Apparently, however, the Armenian
government realizes that the pipeline cannot be this property because
there will be serious problems with Iran, and they will not give
other property because they have already taken all the attractive
property in Armenia.

Consequently, the new `property for debt’ deal is not suitable for
the gas pipeline. But the ingenuity of the Russian-Armenian
friendship of centuries has taken the test of centuries. The Russians
give the money via Armrusgasard. They increase the capital of this
company. And the Armenian government entitles Armrusgasard to
operating the gas pipeline, which funds the construction of the
pipeline on the capital that Gazprom provides. It appears that the
gas pipeline goes to Armrusgasard, not to Gazprom. But this is only
the appearance. In reality, it turns out that the gas pipeline is
packaged in Armrusgasard and given to Gazprom. When the capital of
Armrusgasard increases, it is natural that the share of Gazprom in
Armrusgasard increases. Presently, it is equal to the share of the
Armenian government, 45 percent. Itera, a daughter company of Gazprom
owns the remaining 10 percent. Hence, the Russian side possesses 55
percent of shares of Armrusgasard. Plus the share that increases as
the capital increases, and it becomes clear that the Russians possess
the controlling interest. What happens then? Do not disturb yourself
to imagine, just look through the history of Armentel.

JAMES HAKOBYAN

Russia no longer feels like home

Lragir, Armenia
Oct 27 2006

RUSSIA NO LONGER FEELS LIKE HOME

The Haykakan Zhamanak Newspaper wrote that the Armenian businessmen
are transferring their property from Russia to the United States and
Europe because the Russian government is said to be likely to start
persecution. The Lragir has learned from a reliable source that
another similar process is underway. The businessmen of Armenia, who
run businesses in Russia, are also taking their property away from
Russia.

This tendency is believed to be determined by the pre-election
situation and the costs required for a desirable outcome of the
election. However, our source says this money is too much for the
election, especially that the `pocket’ money of the Armenian
oligarchs is enough to supply the `demand’ of the election. The
Armenian businessmen were simply instructed to `pack their things’,
otherwise hard consequences were promised. In this context, there is
notable information on the visit of the Russian Attorney General Yuri
Chaika to Yerevan. Another source of the Lragir informed that during
this visit the Attorney General of Armenia and his Russian
counterpart had a confidential talk over the problem of the Armenian
oligarchs running businesses in Russia, and Yuri Chairka said the
procuracies of Armenia and Russia do not have a corresponding
agreement that would enable the procuracy of Russia to deal with the
businesses of the Armenian oligarchs at full. Eventually, this
agreement was signed, which gave rise to this process.

The Holy See is lucky

Lragir, Armenia
Oct 27 2006

THE HOLY SEE IS LUCKY

We could lose the Holy See of Echmiadzin in 1988. The former pilot of
the navy Vladimir Poghosyan made this sensational statement on
October 26. He spoke about the Yugoslavian plane which crashed on the
road to Armavir, not far from Echmiadzin. Vladimir Poghosyan said he
had taken part in the investigation of this crash, and the simulation
of the flight showed that if the pilot had carried out the
instructions of the dispatcher, the plane could crash into the Holy
See, which was on the way of the plane. There would be a double
tragedy, says Vladimir Poghosyan.

From: Emil Lazarian | Ararat NewsPress

Baghdasarov’s share is negotiated

Lragir, Armenia
Oct 27 2006

BAGHDASAROV’S SHARE IS NEGOTIATED

The vice president of VTB (former Vneshtorgbank) Vasily Titov
confirmed October 27 the information that they are negotiating over
buying 30 percent of shares of Armsavingsbank owned by Mikhail
Baghdasarov. Several months ago Mikhail Baghdasarov stated that he
negotiates with two other buyers beside Vneshtorgbank, which owns 70
percent of shares of Armsavingsbank over 30 percent of his shares.

The vice president of VTB Vasily Titov stated in Yerevan it is
possible that Baghdasarov is negotiating with other buyers because he
has the right, of course, but VTB started negotiating the deal. Titov
said they are now negotiating over 30 percent of shares. The vice
president of VTB said they are interested in buying Baghdasarov’s
share and own 100 percent of shares of Armsavingsbank. Titov said it
may become clear in 2 or 3 months, of course, if the price is
optimal, because everything depends on that price Baghdasarov will
offer.

It is interesting that Mikhail Baghdasarov told one of the newspapers
about his likelihood to sell his shares to a third party rather than
Vneshtorgbank.

Robinson leaves full of belief though the government cheated him

Lragir, Armenia
Oct 27 2006

ROBINSON LEAVES FULL OF BELIEF THOUGH THE GOVERNMENT CHEATED HIM

I was frank, said Roger Robinson, CEO of the Yerevan office of the
World Bank in his good-bye news conference on October 27 in Yerevan
when the news reporters reminded him his statement made in spring
2006. The news reporter of the Lragir had asked Roger Robinson about
the attitude of the World Bank to the possibility of selling the
Iran-Armenia gas pipleine to Russia, because by that time the deal on
the fifth generating unit of the Thermal Power Plant had been signed,
and the Russians announced that they were likely to obtain the
Iran-Armenia gas pipeline as well. At that time Roger Robinson
declined to answer, saying that as far as he knew, there are no
Russian-Armenian negotiations over the gas pipeline.

However, several days ago the Russians again stated and the
government confessed that there are negotiations. Meanwhile, now
Roger Robinson is saying that at that time his answer was sincere,
which means that the government cheated Robinson when they said they
are not negotiating the gas pipeline with Russia. And since it is
known now that there are negotiations, and Roger Robinson cannot say
that there are not, the news reporters wanted to know what he would
say now in his good-bye news conference as a World Bank official.

Roger Robinson said he cannot say who will become the owner of the
Armenian section of te Iranian pipeline. The leaving CEO of the World
Bank Yerevan office only stated that Armrusgasard will be involved in
the operation of the Armenian section of the pipeline. Robinson said
he does not think that there will be two gas-distributing companies
in Armenia, consequently it will be Armrusgasard. and he thinks that
part will be owned by Armenia and the other part will be owned by
Russia.

For Robinson, he leaves Armenia hopeful that the two-digit economic
growth will be sustained, although he believes that in the upcoming
years it will be impossible to sustain this rate. However, the
Armenian officials forecast two-digit growth, and he thinks he does
not have the right not to believe.

ROBINSON TOLD BAD FORTUNE BEFORE LEAVING

I think this government will rule long, forecast Roger Robinson, CEO
of the Yerevan office of the World Bank on October 27 before leaving
Armenia. The news reporters asked him if it is expedient to continue
borrowing foreign loans with a two-digit economic growth, increasing
the foreign debt. Roger Robinson said that 12 percent growth is not
little but it is not sufficient to settle the urgent problems. At the
same time, the CEO of the World Bank Yerevan office said that the
Armenian government does not borrow much foreign loans. He said that
in his opinion this government will rule long, therefore there is no
need to worry that the country will go on to borrow loans from the
outside, said Roger Robinson.

It is not clear on what basis and for what purpose Roger Robinson
makes such a forecast before leaving that this government will
continue to rule for a long time. On the other hand, it is possible
that the CEO of the World Bank Yerevan office prompts the public that
they had better worry that this government will remain in power long
rather than worry for foreign loans.

Who and how much sugar put to Georgian-Armenian relations?

Lragir, Armenia
Oct 27 2006

WHO AND HOW MUCH SUGAR PUT TO GEORGIAN-ARMENIAN RELATION?

It is necessary to clarify the nuances, which are essential to
answering the question why six months before the parliamentary
election the Georgian-Armenian border and tensions in Javakheti were
pushed into the political sphere of Armenia. Only after that it will
become clear who put forward this problem. But the problem has
already found its place, and it is clear that everyone is up for
using this problem for their political interest. In this sense, it is
perhaps favorable for most people that they find `fertile land’ in
this political `drought’ to sow and to reap the harvest in Armenia.
And it should be noted that the sowing has started, and rather
actively. For instance, the Republican Party used the
Georgian-Armenian problem to attack the foreign minister of Armenia,
when the young Republican Armen Ashotyan, who is the loyal defender
of the prime minister and apparently also the advocate of the
Republican Party, demanded that Oskanyan clarify the issue of the
Georgian-Armenian border. We should not forget, however, that Victor
Dallakyan, already or for the time being an independent members of
parliament, raised this issue. He is worried that Armenia may lose
territories as a result of the negotiations over the border.
Answering Ashotyan’s question in the parliament, the foreign minister
of Armenia, in fact, did not denythat this danger, but instead
Oskanyan said that the problem is that of exchange, which has been
agreed to. However, the point is that this exchange may not be equal
because it is not logical when say we give 5 sq m of our territory to
the Georgians and they give as much territory to us. Such exchange is
simply meaningless. Consequently, the problem of much or little is
concerned. And in this sense it is important whether we are going to
give much or little. If we are going to give little, what will we
have to do in return and if much, what are the Georgians going to do
in return?

The problem is, however, that in Armenia the question is viewed from
a quite different point of view, that of giving or not giving, which
means that the problem is political. And in order to discern the
vector of its development it is already important to understand who
wanted to introduce the problem to the political sphere where we
already have a dispute over giving or not giving. It is also possible
that the problem is the existing dispute, and this is an effort to
distract attention from it. In other words, when the problem of
another territory occurs, the attention of the public is halved. And
in this case it becomes easier to solve the problem of this
attention. Especially that the public is attracted by a fresh issue
rather. Ostensibly, the Georgian-Armenian border issue was pushed
forward in an effort to distract the attention of the public from the
security area of Karabakh. This is quite possible, considering that
the resumption of the talks over Karabakh was marked by `new ideas’
proposed by the mediators. However, it is also possible that the
reason why the Georgian-Armenian issue occurred is quite different.
At least, the enthusiasm of the political forces of Armenia, who are
eager to become engaged in this `process’, means that the issue is
favorable for everyone, and the impression is that if Victor
Dallakyan had not made this attempt, someone else would have done it.
However, this does not mean, of course, that it makes no difference
who put it forward. Moreover, it is interesting to know when it
started.

The question emerged simultaneously with the `last supper’, which
took place in Yerevan at the Parvana Restaurant, owned by a sugar
importer. And perhaps it is not accidental that Serge Sargsyan, Gela
Bejuashvili, Georgian foreign minister and Vardan Oskanyan had chosen
this restaurant to sweeten the Georgian-Armenian relation. The
details of the supper are not known, but whatever took place after it
allow supposing that they talked about a number of things. Moreover,
there is an attention-grabbing detail. Vardan Oskanyan officially
announced about the supper, perhaps thereby showing that he did not
take part in secret arrangements during this event and only did not
refuse Serge Sargsyan’s invitation. In other words, ostensibly, Serge
Sargsyan and Gela Bejuashvili had certain ideas they wanted to share
with Vardan Oskanyan. Meanwhile, Oskanyan publicly `denied’ this
supper which was followed by the emergence of the Georgian-Armenian
border issue along with the local elections in Javakheti. And it is
notable that as the passions grow in Javakheti, the border issue is
becoming a more burning issue.

Consequently, it is possible that it is put forward to counterbalance
the emerging factor of Javakheti.

HAKOB BADALYAN

From: Emil Lazarian | Ararat NewsPress

Armenian parliament commemorates 7th anniv. of Oct 27 terrorist act

ArmInfo News Agency, Armenia
Oct 27 2006

ARMENIAN PARLIAMENT COMMEMORATES 7TH ANNIVERSARY OF OCT 27 TERRORIST ACT

Today is the 7th anniversary of the terrorist act in the Armenian
Parliament.

Today morning Armenian MPs laid flowers on the monument to the
victims of the tragedy in the yard of the Parliament building.
Speaker of the Armenian Parliament Tigran Torossyan says that even
though 7 years have already passed since the tragedy, the witnesses
and the relatives and friends of the victims will never forget it.
"However, we should not only mourn but also learn from this tragedy
to prevent such crimes in the future. The victims of the tragedy
lived for the sake of Armenia’s development and we must fulfill their
goals," says Torossyan.

To remind, Oct 27 1999 a terrorist group led by Nairi Hunanyan killed
the speaker of the parliament Karen Demirchyan, prime minister Vazgen
Sargsyan, vice speakers Yuri Bakhshyan and Ruben Miroyan, MPs Henrik
Abrahamayn, Mikayel Kotanyan, Armenak Armenakyan and minister Leonard
Petrossyan. The terrorists have been sentenced to life in jail.

Real organizers of Oct 27 1999 Act not punished so far

ArmInfo News Agency, Armenia
Oct 27 2006

REAL ORGANIZERS OF TERRORIST ACT IN ARMENIAN PARLIAMENT ON OCTOBER 27
1999 HAS NOT BEEN PUNISHED SO FAR: HEAD OF RPA FACTION

The real organizers of the terrorist act in the Armenian Parliament
on October 27 1999 has not been punished so far, said Galust
Sahakyan, Head of the Republican party faction, at a briefing in the
Armenian Parliament, Friday.

He said that only the persons who became instruments in the hands of
the organizers of the terrorist act have been arrested. "In a
definite period of time, it will become clear wherefrom the blow was.
I can only say that the terrorist act was organized by external
forces," he said.

In his turn, representative of the People’s Party of Armenia Stepan
Zakayan said that after the murder of the speaker Karen Demirchyan
and the prime minister Vazgen Sargsyan on October 27 1999, Armenia
has lost a definite part of its sovereignty. The incumbent
authorities are waging a policy of vassals. To prove his words, S.
Zakaryan said that the whole energy system of Armenia has been
transferred to Russia. "To prove their devotion to Georgia, Armenian
authorities have arrested one of the leaders of ‘United Javakhq’
organization Vahagn Chakhalyan, who was actively protecting the
rights of the Armenian community of Georgia," he said.

On October 27 1999 terrorists killed the speaker Karen Demirchyan,
the prime minister Vazgen Sargsyan, a number of parliamentarians and
government members. The terrorists were sentenced to life
imprisonment, except Hamlet Stepanyan, who was imprisoned for 14
years.

Armenia frozen in bow to east & west: Armenian MP

ArmInfo News Agency, Armenia
Oct 27 2006

ARMENIA FROZEN IN BOW TO EAST AND WEST: ARMENIAN MP

"Armenia has got a bit confused of humanitarian generosity and
political restrictions coming from Russia and USA", an MP Alvard
Petrosyan said at the press conference today.

She pointed out that it is typical for small countries to be at the
same time attracted by East and West. But in the case of Armenia the
continuous bowing before the countries and cultures starts to acquire
a chronic character. "Armenia is speaking too loud of its demerits
and keeping silent about its merits and as usual it stresses that it
can’t survive without Russia", said the MP and added that she doesn’t
consider this position right.

A. Petrosyan said that Armenians have to raise their self-appraisal
and learn to respect themselves. "If we were really a strong state
and not a slavish one, then no one would have dared to talk about the
necessity for Armenia choosing between of Russia’s or Georgia’s
interests", said the MP.

The amount of tourist to Armenia to make 400 Thousand in 2006

ArmInfo News Agency, Armenia
Oct 27 2006

THE AMOUNT OF TOURIST TO ARMENIA TO MAKE 400 THS IN 2006

The number of tourists coming to Armenia will make up 400 ths by the
end of 2006, Ara Petrosyan, Minister of Trade and Economy
Development, said at the international conference on the role of
youth in keeping and developing cultural-cognitive tourism’.

He said that the annual amount of tourists to Armenia increases by
20-25% for the last seven years. It means that the amount has grown
10 times within the period. To compare – 320 ths of tourists visited
Armenia in 2005, and only 40 ths – in 2000.

Hasmik Poghosyan, Minister of Culture and Youth Affairs, said that
apart from reach cultural-historical sights Armenia has all
prerequisites to develop its ecological and agricultural tourism.
Investments in development of tourism infrastructures will be needed
in this case. She pointed out that the Government is regularly
carrying out investment programs to restore cultural and
architectural memorials. Ministry of Trade and Economy Development
reports that half of the tourists come to Armenia to visit friends
and relatives. By estimates, 70% of the tourists are ethnical
Armenians. 31% of tourists arrive to Armenia on business or
diplomatic visits, 5% to improve health problems, and 1% to get
education.

There are 5 ths tourist organizations and operators in Armenia. Every
tourist spends approximately 800-1000 USD during his stay in the
country. About 500 ths USD is annually spent for tourism advertising
in Armenia. Experts say that it is far from being enough to invite
tourists in the state. To compare – in Jordan over 1.5 mln USD is
spent annually in tourism advertising. Tourism experts from Georgia,
Iran, France, Roumania and Belarus participate in the two-day
conference.
From: Baghdasarian