Author: Frangulian Shushan

JAILED BUSINESSMEN ACQUITTED IN LANDMARK RULING
By Ruzanna Stepanian

Radio Liberty, Czech Rep.
July 16 2007

In a landmark ruling, a court in Yerevan acquitted and set free on
Monday two businessmen who were arrested nearly two years ago after
publicly alleging high-level corruption in the Armenian customs.

Gagik Hakobian, a leading shareholder in the coffee processing and
packaging company Royal Armenia, and its deputy director Aram Ghazarian
walked free in the court after being unexpectedly cleared of smuggling,
tax evasion and fraud.

The two men were arrested in October 2005 at the height of Royal
Armenia’s bitter dispute with the State Customs Committee (SCC).

Hakobian had repeatedly claimed in the months leading up to the
arrest that his company is being illegally penalized by the SCC for
its refusal to engage in a scam that would have benefited two senior
customs officials.

The SCC has dismissed the corruption allegations, saying that Royal
Armenia itself illegally avoided paying more than 1 billion drams
($3 million) worth of taxes and import duties.

The embattled company has strongly denied this. Its representatives
have said all along that the criminal case was "fabricated" by
Armenia’s National Security Service (NSS) in retaliation for its
high-profile spat with the customs service. The latter is headed by
a figure close to Prime Minister Serzh Sarkisian.

The NSS stood by the grave accusations throughout the eight-month
trial, demanding that Hakobian and Ghazarian be sentenced to 12
and 11 years in prison respectively. The case was largely based on
incriminating testimony given by Vache Petrosian, a U.S. citizen and
former Royal Armenia supplier.

However, the court of first instance of Yerevan’s Kentron and Nork
Marash districts found the charges baseless and acquitted the
defendants on all counts. It also ordered prosecutors to launch
criminal proceedings against Petrosian, saying that he falsely
incriminated his former business partners.

It was apparently the first major court defeat ever suffered by the
Armenian successor to the Soviet KGB. The feared security agency
has until now had little difficulty securing guilty verdicts by
Armenian judges.

Gevorg Minasian, the chief Royal Armenia lawyer, said he was surprised
by the full acquittal, which many of those present in the courtroom
greeted with rapturous applause. "I though that the court will likely
come up with a compromise solution that will somehow satisfy both us
and those who fabricated this case," he told RFE/RL.

"But to our surprise, justice prevailed in full."

"The trial showed that my clients are 100 percent innocent," said
Minasian.

"The trial showed that the whole thing was trumped up," agreed Ashot
Sargsian, another defense lawyer. "I am surprised that there can be
just verdicts in this country."

Prosecutors who represented the NSS at the trial think otherwise,
though. A spokeswoman for the Prosecutor-General’s Office told RFE/RL
that they will appeal the ruling.

The SCC is reputed to be one of the most corrupt government agencies
in Armenia, with local businessmen routinely complaining about its
allegedly arbitrary practices. However, most of them avoid going
public with their grievances for fear of government retribution. In
fact, Royal Armenia is the only private firm which is known to have
publicly clashed with the SCC.

The dispute stems from the SCC’s discretionary power to determine
the market value of imported commodities before levying a fixed 10
percent duty from them. It broke out more than two years ago when
Royal Armenia charged that the deputy chief of the customs, Gagik
Khachatrian, and another senior official offered the company to
grossly undervalue the price of its imported coffee beans in return
for sharing in the resulting extra profits.

PALLONE WORKS TO BUILD SUPPORT FOR GENOCIDE RESOLUTION BY HONORING FORMER AMBASSADOR MORGENTHAU ON HOUSE FLOOR

States News Service, USA
July 12, 2007 Thursday
WASHINGTON

The following information was released by the office of New Jersey
Rep. Frank Pallone Jr.:

U.S. Rep. Frank Pallone, Jr. (D-NJ,) co-chairman of the Congressional
Caucus on Armenian Issues, made the following statement yesterday on
the floor of the House of Representatives remembering Henry Morgenthau,
U.S. Ambassador to the Ottoman Empire from 1913 to 1916, and the
first-hand descriptions he gave of the Armenian Genocide, which began
in that region in 1915. The New Jersey congressman plans to give a
series of speeches on the House floor in an effort to continue to
build support for the Armenian Genocide Resolution.

Earlier this week, the Resolution gained the support of a majority
of House members.

"Mr. Speaker, the Armenian Genocide that was orchestrated by the
Ottoman Empire from 1915 to 1918 is an irrefutable fact. Looking
at the history of this catastrophic event, it is impossible to deny
that this was genocide on all accounts. One way to hear witness to
the truth is to make reference to first hand accounts at the time
the Armenian genocide occurred.

"Henry Morgenthau served with dignity as U.S. Ambassador to the
Ottoman Empire from 1913 to 1916. In the wake of surging nationalism
in Turkey, and alarmed at reports of the Armenian genocide, he
repeatedly appealed to the U.S. government to intervene, without
success. Morgenthau addressed the genocide of the Armenians in a 1915
dispatch to the State Department in which he warned that "a campaign
of race extermination is in progress."

"He then appealed to Ottoman rulers, also without result. Finally,
he publicized his opinions in his 1918 book of memoirs, Ambassador
Morgenthau’s Story, which documented his experiences while in Turkey,
including his vivid views of the Armenian genocide.

"Morgenthau wrote: "When the Turkish authorities gave the orders for
these deportations, they were merely giving the death warrant to the
whole race; they understood this well, and, in their conversations with
me, they made no particular attempt to conceal the factI am confident
that the whole history of the human race contains no terrible episode
as this."

"In one of his addresses Morgenthau commented on the United States
efforts during the Armenian Genocide, "If America is to condone
these offenses, if she is going to permit to continue conditions that
threaten and permit their repetition, she is party to the crime.

These people must be freed from the agony and danger of such horrors.

They must not only be saved for the present but they must be given
assurance that they will be free in peace and that no harm can come
to them."

"At great personal risk and sacrifice, Morgenthau chose to intervene
on behalf of the Armenians and even managed to help rescue an
unknown number of Armenians. Of course, in the end his efforts
were unsuccessful. Drained by his failure to avert this disaster,
Morgenthau returned to the United States in 1916 and for the remainder
of World War I dedicated himself to raising funds for the surviving
Armenians. He is considered a hero in Armenia and an American man of
courage and character.

"Mr. Speaker, if America is going to live up to the standards we
set for ourselves, and continue to lead the world in affirming human
rights everywhere, we need to follow Morgenthau’s example. We must
stand up and recognize the tragic events that began in 1915 for what
they were—the systematic elimination of a people. By recognizing
these actions as genocide we can renew our commitment to prevent such
atrocities from occurring again.

"I wish to express my support for swift passage of H. Res. 106
which reaffirms the Armenian Genocide. It now has a majority of the
Members of the House as cosponsors. As the first genocide of the 20th
Century, it is morally imperative that we remember this atrocity and
collectively demand reaffirmation of this crime against humanity."

Frank Pallone: Events of 1915 were the systematic elimination of a
people

armradio.am
14.07.2007 13:42

The Armenian Assembly commended Armenian Caucus Co-Chair Frank Pallone,
Jr. (D-NJ) for his remarks on the floor of the House of Representatives
in support of the Armenian Genocide Resolution, H. Res. 106. Pallone
honored Henry Morgenthau, US Ambassador to the Ottoman Empire during
the start of the Armenian Genocide for providing first-hand
descriptions of the atrocities that were taking place. Pallone plans to
give a series of speeches to emphasize the importance of passing the
Armenian Genocide Resolution which is currently supported by a majority
of House members.

Mr. Pallone said in his speech: "The Armenian Genocide that was
orchestrated by the Ottoman
Empire from 1915 to 1918 is an irrefutable fact. Looking at the history
of this catastrophic event, it is impossible to deny that this was
genocide on all accounts. One way to hear witness to the truth is to
make reference to first hand accounts at the time the Armenian genocide
occurred."

"Henry Morgenthau served with dignity as US Ambassador to the Ottoman
Empire from 1913 to 1916. In the wake of surging nationalism in Turkey,
and alarmed at reports of the Armenian genocide, he repeatedly appealed
to the US government to intervene, without success. Morgenthau
addressed the genocide of the Armenians in a 1915 dispatch to the State
Department in which he warned that "a campaign of race extermination is
in progress."

"He then appealed to Ottoman rulers, also without result. Finally, he
publicized his opinions in his 1918 book of memoirs, Ambassador
Morgenthau’s Story, which documented his experiences while in Turkey,
including his vivid views of the Armenian genocide."

"Morgenthau wrote: "When the Turkish authorities gave the orders for
these deportations, they were merely giving the death warrant to the
whole race; they understood this well, and, in their conversations with
me, they made no particular attempt to conceal the fact…I am
confident that the whole history of the human race contains no terrible
episode as this."

"In one of his addresses Morgenthau commented on the United States
efforts during the Armenian Genocide, "If America is to condone these
offenses, if she is going to permit to continue conditions that
threaten and permit their repetition, she is party to the crime. These
people must be freed from the agony and danger of such horrors. They
must not only be saved for the present but they must be given assurance
that they will be free in peace and that no harm can come to them."

"At great personal risk and sacrifice, Morgenthau chose to intervene on
behalf of the Armenians and even managed to help rescue an unknown
number of Armenians. Of course, in the end his efforts were
unsuccessful. Drained by his failure to avert this disaster, Morgenthau
returned to the United States in 1916 and for the remainder of World
War I dedicated himself to raising funds for the surviving Armenians.
He is considered a hero in Armenia and an American man of courage and
character."

"If America is going to live up to the standards we set for ourselves,
and continue to lead the world in affirming human rights everywhere, we
need to follow Morgenthau’s example. We must stand up and recognize the
tragic events that began in 1915 for what they were-the systematic
elimination of a people. By recognizing these actions as genocide we
can renew our commitment to prevent such atrocities from occurring
again."

"I wish to express my support for swift passage of H. Res. 106 which
reaffirms the Armenian Genocide. It now has a majority of the Members
of the House as cosponsors. As the first genocide of the 20th Century,
it is morally imperative that we remember this atrocity and
collectively demand reaffirmation of this crime against humanity."

ARMENIAN SCIENTISTS DISCUSS PROBLEMS RELATED TO ARMENIA’S NON-METAL MINERALS COMPETITIVENESS ENHANCEMENT AT WORLD MARKETS

ARKA
Jul 13 2007

YEREVAN, July 13. /ARKA/. Armenian scientists discussed Friday the
problems related to Armenia’s non-metal minerals competitiveness
enhancement at the world markets.

Radik Martirosyan, president of Armenian National Academy of Sciences,
speaking Friday at the discussion focused on this issue, stressed
the importance of the problem.

"This topic is very important for Armenia, since the republic wants
to develop the economy based on scientific technologies", he said
adding that Armenian science area has capacity for development.

However, he said, Armenian scientists are badly in need of financial
support from investors and the government.

In his opinion, Armenian institutes’ achievements presented at
discussions will attract potential investments.

The Kanaker stone-processing plant re-launch was discussed among
other issues.

Suren Gevorgyan, chairman of the plant directorial board, said that
the plant’s annual output is expected to reach 15thnd tons. "It would
be wrong not to use these resources and technical base", he said.

V. CHAKHALIAN: AUTHORITIES – MEDIA – PEOPLE CONTACT DOES NOT WORK IN JAVAKHK

Noyan Tapan
Armenians Today
Jul 11 2007

AKHALKALAK, JULY 11, NOYAN TAPAN – ARMENIANS TODAY. "The role of
our media should be to present the shortcomings of the local bodies,
but they not only fail to criticize the local authorities, moreover,
they only praise them.

We, representatives of NGOs, do not fulfil our functions, do not
realize our goals, the authorities – media – people contact does not
work," Vahagn Chakhalian, a member of the presidency of the United
Javakhk people’s union, said at the July 9 round table with media
held at the European Center for National Minorities.

As Noyan Tapan was informed by Javakhk-Info, V. Chakhalian in his
speech also attached importance to the issue of presenting culture
through media.

"The central TV companies have never touched upon our culture, while
the works of our painters present Javakhk abroad, but the only media
from "abroad" during the events dedicated to Terian or Jivani is the
first Armenian channel."

Representatives of the Georgian Imedi and Rustavi-2, Akhalkalak’s
ATV-12, and Ninotsminda’s Parvana TV companies, Javakhk’s Youth Radio,
Southern Gate weekly and Javakhk-Info information-analytical center
and members of non-governmental organizations functioning in Javakhk
took part in the round table.

Armen Darbinian, the Chairman of the Civil Forum of Javakhk, said that
the goal of the round table is to present media activities in Javakhk
and to discuss their contribution in the issue of regional integration.

The problems faced by media in Javakhk were presented during the
discussion.

At the end of the meeting, a memorandum on the establishment of
cooperation among Georgian media was made up and presented to the
participants of the round table.

ARMENIAN DRAM’S SETTLEMENT RATE DECREASES BY 5.3% AGAINST USD IN JUNE 2007 COMPARED WITH PREVIOUS YEAR’S DECEMBER

Noyan Tapan
Jul 10, 2007

YEREVAN, JULY 10, NOYAN TAPAN. In June 2007, compared with December
2006, a 5.3% decrease of the RA dram’s settlement rate was registered
in Armenia in parallel with a 3.9% growth of consumer prices. A
similar tendency was registered in the same period of the previous
year: along with a 4.3% growth in consumer prices, the RA dram’s
settlement rate against USD decreased by 6.4%.

According to the data of the RA National Statistical Service, in June
2007, compared with May, a decrease of the Armenian dram’s settlement
rate against the prices and USD was registered on Armenia’s consumer
and currency markets, by 0.3% and 2.4%, respectively.

In 2007 June, the RA dram’s average settlement rate against USD was
345.19 drams, which is less than the same index of the previous year
(420.63 drams) by 17.9%.

RUBEN SAFRASTYAN: TURKEY’S POLICY OF SEPARATISM COUNTERS THE INTERESTS OF THE US, EU AND RUSSIA

armradio.am
09.07.2007 17:06

Turkey is implementing a policy of separatism in the South Caucasus. In
particular, attempts are made to create a new Turkey-Georgia-Azerbaijan
axis, said Ruben Safrastyan, Director of the Oriental Studies
Institute of RA National Academy of Sciences. He underlined that
the above-mentioned axis already has a corresponding infrastructure,
consisting of the Baku-Ceyhan oil pipeline, Baku-Erzrum gas pipeline
and the rail project that will link the three countries, bypassing
Armenia.

According to Ruben Safrastyan, Turkey intends to form the axis first as
an economic and then as a new political union, which shall result in
a military-strategic alliance between the three countries. According
to Ruben Safrastyan, such policy of Turkey is turning realistic first
of all due to crude mistakes of Russian diplomacy, including the rise
of gas fees, because of which Georgia turned to Azerbaijan.

The political scientist noted that the main objective of the new
axis is to deepen the isolation of Armenia. According to him, this
process brings forward serious concern, and Armenia should objectively
assess the present situation. I don’t think we must become part
of this axis, it is not serious, but I think we must make use of
the existing opportunities," he said. In particular, according to
Ruben Safrastyan, we must use the factor that the creation of the
above-mentioned axis is not in Russia’s interests, and the latter will
try to create obstacles for Turkey’s policy. Besides, such policy of
Turkey counters the objectives of the European Union and the US in
our region: both the EU and the US wish to see the South Caucasus as
a united integrated region, the reflection of which is the European
New Neighborhood Policy.

"One should not forget that Turkey is not the state that could
oppose to the powerful; geopolitical centers: the US, EU and
Russia. Therefore, we must try to find the way that will enable to
use the situation, that is the policy of balance, which Armenia has
not used so far and which should lay in the core of diplomacy and
politics," Ruben Safrastyan declared.

OSCE MISSION REQUESTS NKR MFA TO HELP ORGANIZE MONITORING OF THE CONTACT LINE

armradio.am
06.07.2007 17:06

The Office of the Personal Representative of the OSCE
Chairman-in-Office has addressed a letter to NKR Ministry of Foreign
Affairs with the request to assisting in holding monitoring of the
contact line of the Armed Forces of Karabakh and Azerbaijan near
Marzili settlement.

ArmInfo was informed from the NKR MFA Press Service that the leadership
of the Ministry of Foreign Affairs has expressed willingness to help
the OSCE Mission hold monitoring from the positions of the NKR Defense
Army and provide necessary security guarantees. From the Karabakhi
side the monitoring mission will be accompanied by representatives
of NKR Ministries of Foreign Affairs and Defense.

SEVEN BOARDING INSTITUTIONS OF CHILDREN’S CARE AND PROTECTION TO OPERATE FROM SEPTEMBER IN ARMENIA

Noyan Tapan
Jul 3, 2007

YEREVAN, JULY 3, NOYAN TAPAN. The status of the special schools of
Kapan Number 1, Gyumri Number 2, Vanadzor Number 2, Dilijan, and
Byureghavan for children, who are orphans and deprived of parental
care, as well as School 10 named after Petros Durian in Yerevan and
School 1 for children, who are mentally handicapped, will be changed
in the new educational year.

According to the information provided to a Noyan Tapan correspondent
by Lena Hayrapetian, the Head of the Department for Family, Women’s,
and Children’s Problems of the RA Ministry of Labour and Social Issues,
these schools will operate as boarding institutions of children’s
care and protection since September.

According to Lena Hayrapetian, the decision concerning the change
of the status of the above-mentioned schools is connected with the
fact that very often children from socially unprovided families,
who have no need of special education, attend these schools.

L. Hayrapetian mentioned that children, in particular, will get
free food, prepare their lessons, and attend the nearest schools of
general education.

As for the defined holidays, they should, certainly, spend them all
with their families.

ADOPTION OF BILL MAKING AMENDMENTS AND ADDENDA IN LAWS ON "TELEVISION AND RADIO" AND "STATE DUTY" FAILS

Noyan Tapan
Jul 3, 2007

YEREVAN, JULY 3, NOYAN TAPAN. The adoption of the legislative package
of the government, which envisaged to make amendments and addenda
in the RA valid laws on "Television and Radio" and "State Duty",
failed at the special session of the RA National Assembly held on
July 3. 63 MPs voted "for" and 2 "abstaining" for the adoption of the
bills by the second reading, whereas, in order to adopt a decision,
at least 66 MPs should have taken part in the ballot.

26 out of 91 registered MPs did not take part in the
ballot. Zharangutiun (Heritage) and Orinats Yerkir (Country of Law)
factions, as well as some independent MPs and members of the RPA and
ARF Dashnaktsutiun factions were among them.

Only 4 out of 16 MPs of the ARF Dashnaktsutiun faction were present
at the sitting and only two of them took part in the ballot: one of
them voted "for" the package and the other voted "abstaining". Alvard
Petrosian, a member of the ARF Dashnaktsutiun faction and Davit
Haroutiunian, a member of the RPA faction and the Chairman of the NA
Standing Committee on state-legal issues voted "abstaining" for the
package of the bills.

It should also be mentioned that the government suggested that the
activities of other broadcasting organizations should be prohibited
on the frequencies used by the Public Radio and Television company.