RFE/RL – Tsarukian’s Casino Again Faces Closure

Economy Minister Gevorg Papoyan signed a relevant order, citing recommendations of the State Revenue Committee (SRC) submitted on June 8 the day after parliamentary elections in which Tsarukian’s Prosperous Armenia Party (BHK) was one of the main opposition contenders. The SRC accused the Onira Club company of financial irregularities.

Tsarukian did not immediately react to the development which came amid ongoing tax audits of dozens of companies belonging to him. The BHK leader was charged with tax evasion on June 9 just as his party accused the Central Election Commission (CEC) of illegally barring it from the new Armenian parliament.

According to the official election results, the BHK lacked just a few dozen votes to clear a 4 percent legal threshold for winning parliament seats. Tsarukian’s party lost more than 200 votes as a result of the CEC’s highly controversial decision to cancel vote results in three precincts and not rerun elections there.

Pashinian has repeatedly pledged to imprison and “dispossess” Tsarukian as well as the leaders of two other key opposition groups. During the election campaign, he announced the impending nationalization of Armenia’s largest cement plant belonging to Tsarukian. He went on to promise to “return to the people” the tycoon’s properties, notably a hilltop villa just outside Yerevan, in case of winning reelection.

Last week, Yerevan’s municipal administration decided to unilaterally rescind a long-term lease agreement on land in the city center occupied by Tsarukian’s Multi Wellness fitness center. A spokeswoman for the tycoon said the “illegal” decision will be challenged in court.

Tsarukian faced a similar government crackdown after he first demanded Pashinian’s resignation six years ago. Onira Club was stripped of its license shortly before Tsarukian was charged with vote buying and arrested in September 2020. The company regained the license and reopened the Shangri La casino just north of Yerevan a year later following Tsarukian’s decision to freeze his political activities.

Tsarukian was acquitted of the vote-buying charges in March this year at the end of a lengthy trial. Pashinian has repeatedly condemned the court ruling in recent weeks, alleging that the presiding judge was bribed by the BHK leader. The latter insisted during the election campaign that he is undaunted by Pashinian’s pledges to seize his business assets and properties.

Critics say Pashinian’s statements prove that law-enforcement authorities are illegally acting on his orders. Hundreds of opposition members and supporters were detained on vote-buying charges in the run-up to the elections. The arrests continued on election day and in the following days.

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