Azerbaijan, Russia Agree to Disagree on Arms Transfer and More

EurasiaNet, NY
March 12 2009

AZERBAIJAN, RUSSIA AGREE TO DISAGREE ON ARMS TRANSFER AND MORE
Shahin Abbasov 3/12/09

Russian Foreign Minister Sergei Lavrov’s two-day official visit to
Baku ended on March 12 with all the traditional tributes to bilateral
partnership. But the visit provided little indication of how far
Russia has actually succeeded in assuaging Azerbaijani outrage at an
alleged Russian arms transfer to Armenia.

Lavrov’s trip came after more than a month of warm-up diplomacy by
Moscow following the eruption of the Armenian arms scandal in late
January. [For background see the Eurasia Insight archive]. Russian
President Dmitri Medvedyev called Azerbaijani President Ilham Aliyev
twice over the last several weeks, while Sergei Narishkin, chief of
staff of the Russian presidential administration, visited Baku on
February 26-27.

During a March 12 press conference with Azerbaijani Foreign Minister
Elmar Mammadyarov, Lavrov adhered to the Kremlin line, repeating
earlier assertions that the Azerbaijani media had "published
completely false information" about the transfer. Russia, he
continued, is carrying out military-technical cooperation in the South
Caucasus without violating its international obligations, and tries to
avoid further instability in the region.

But whatever overtures were made did not appear to cut through
official Azerbaijani reserve. Mammadyarov responded that Azerbaijan
will nevertheless continue its investigation into the issue — an
investigation that Lavrov termed unnecessary in a March 10 interview
with the Azerbaijani news agency Trend.

Some hint of a difference also was apparent in comments concerning
Azerbaijan’s unresolved Nagorno-Karabakh conflict with
Armenia. Mammadyarov told reporters that the Kremlin was in favor of a
speedy resolution, while Baku remains firm in its position that a
settlement can only come about if Karabakh remains territorially part
of Azerbaijan, while enjoying broad autonomy.

Lavrov did not directly react to Mammadyarov’s comment, stating that
Moscow is talking with Turkey, Azerbaijan’s closest foreign ally,
about the Karabakh dispute. "Many countries are interested in the
quickest resolution of the conflict and Turkey is one of them," he
said, adding that "[t]here are no parallel talks which would
contradict the existing format" overseen by the Organization for
Security and Cooperation in Europe Minsk Group.

One Baku political columnist argues that Lavrov was treading
carefully. In his interview with Trend, Lavrov noted that "The
resolution [of the Nagorno-Karabakh conflict] should not turn the
region into a field of international political and military rivalry."

Opined Zerkalo’s Rauf Mirkadirov: "It means that Moscow wants to keep
Armenia as its major ally in the South Caucasus, but to keep
Azerbaijan at least neutral towards Russia and its policy."

The future of the Gabala radar station makes that neutrality even more
desirable. Lavrov noted that Moscow is interested in prolonging its
rental of the Gabala radar station after it expires in 2012. The
Russian foreign minister also noted that an earlier proposal for joint
use of the station with the US remains on the table. "When and if our
American and European partners will show interest in it, we are open
for discussion," Lavrov said. [For details, see the Eurasia Insight
archive].

Mammadyarov, in turn, indicated that Gabala was not under
discussion. He denied media reports about the upcoming arrival of a
Pentagon delegation to discuss the potential transfer of Gabala to the
US after 2012. "The issue of the station’s transfer to a third party
or the prolongation of an existing agreement is not on the agenda," he
said.

On the energy front — increasingly, a sensitive issue as Azerbaijan
strengthens its ties to non-Russian pipelines — the ministers said
that both sides are preparing for a potential summit in Baku on
finalizing the Caspian Sea’s legal status. Additional details about
energy ties were not provided.

In his Trend interview, Lavrov emphasized that "it is Azerbaijan’s
sovereign right to participate in international energy projects and we
respect this right." At the same time, in apparent reference to the
jockeying surrounding the US and European Union-supported Nabucco gas
pipeline, he underlined that Russia opposes the "excessive
politicization of this process."

In line with that theme, Elhan Shahinoglu, head of Baku’s Atlas
political research center, believes that Lavrov actively promoted the
outstanding Russian offer to purchase all of Azerbaijan’s export
gas. "It is difficult to say what Baku’s reaction to it was, however,
Ilham Aliyev will likely continue balancing between the West and
Russia on this issue," Shahinoglu said.

Prior to his arrival, Lavrov had identified the expansion of economic
ties with Azerbaijan as a priority for discussion, but no comments on
this topic were forthcoming during the March 12 news
conference. According to Lavrov, trade volume between the two
countries reached $2.4 billion in 2008, almost a 40 percent increase
from 2007. Russia remains the top exporter to Azerbaijan, and accounts
for nearly 19 percent of its imports.

Cultural ties proved smoother sailing. Lavrov and Mammadyarov attended
the inauguration of a Russian information and cultural center in Baku
that will run exhibitions, promote Russian businesses and run various
bilateral educational projects.

Earlier, on February 27, President Aliyev and Russian presidential
chief-of-staff Narishkin opened a Baku branch of Moscow State
University. Aliyev’s sister-in-law, Nargiz Pashayeva, the sister of
First Lady Mehriban Aliyeva, will run the school, which has faculties
in language and literature, chemistry and mathematics. "We appreciate
the attention which the Azerbaijani leadership pays to the Russian
language and Russian culture," declared Lavrov.

That attention, however, did not extend to language use during the
press conference. In a departure from usual Foreign Ministry practice
for press conferences with visiting Russian officials, Mammadyarov who
is fluent in Russian, made his statements in Azeri.

The choice served as a subtle reminder that Azerbaijan’s government
remains keen on pursuing its own interests and friendships in the
region without kowtowing to Moscow’s traditional influence.

Iran is increasingly emerging as a potential foil to both Russian and
US interests in Azerbaijan. Lavrov’s visit to Baku followed on the
heels of President Aliyev’s March 10 visit to Tehran for talks with
Iranian President Mahmoud Ahmadinejad. No important statements were
made after the visit, although seven various cooperation agreements
were signed.

Editor’s Note: Shahin Abbasov is a freelance correspondent based in
Baku. He is also a board member of the Open Society
Institute-Azerbaijan.

Joao Soares: OSCE PA wants peaceful, balanced solution to NK

Joao Soares: The OSCE Parliamentary Assembly has always supported the
efforts to negotiate a peaceful and balanced solution to the conflict
on Nagorno-Karabakh, in conjunction with the OSCE Minsk Group.

2009-03-14 13:48:00

ArmInfo. ‘We have also reiterated that there is no military solution to
this conflict. The only way to settle this issue is through political
means, with the full engagement of both countries’, Joao Soares,
President of the OSCE Parliamentary Assembly said.

‘The OSCE Parliamentary Assembly has sponsored several meetings between
the parliamentary delegations of Armenia and Azerbaijan. These
meetings, together with the participation in the PA Sessions, are
important steps to reinforce the engagement of both countries in
dialogue and to keep all lines of communication open. Armenia and
Azerbaijan are integrated in the same geopolitical space
and would greatly benefit from a greater economic cooperation. These
exchanges would be the basis for further enhancement of economic ties
and would include the region of Nagorno-Karabakh. The Eastern
Partnership of the European Union can also play an important role by
increasing exchanges and thus facilitating reconciliation among the
different communities.

To this regard we continue to support all initiatives of the OSCE field
missions in the region.

Recently President Emeritus Goran Lennmarker, whom I have appointed as
Special Representative, was in Armenia and Azerbaijan, where he held
talks with the leadership of both countries. He underlined
theimportance of giving refugees and internally displaced persons the
possibility to return while also referring to the need to ensure the
rehabilitation of damaged areas.

The OSCE Parliamentary Assembly has been following the talks between
Armenia and Azerbaijan and it is convinced that there is a real chance
for peace. This opportunity must be seized.

Recent developments in the region are somewhat worrying. Allegations
that one of the parties has received a large amount of weapons must be
fully investigated. Any escalation has to be avoided at all costs.

The international community must give all of its support to the
peaceful settlement of this conflict. To this end the role of the OSCE
is crucial, particularly of countries such as Russia and Turkey.
However, the main responsibility remains with Armenia and Azerbaijan.
We all know that in a negotiation the parties must compromise to reach
a common principle. This is what we expect from both leaderships’.

Previous head of Central Bank: Arrears of budget revenue side will b

Previous head of Central Bank: Arrears of budget revenue side will be
recompensed at the expense of SMEs

2009-03-12 14:28:00

ArmInfo. Arrears of budget revenue side will be recompensed at the
expense of SMEs, Bagrat Asatryan, the previous head of the Armenian
Central Bank, a member of the Armenian National Congress, told media
Thursday.

‘Budgetary revenues for 2009 has already been underperformed. This
means that tax agencies that have a certain plan to perform will
collect the necessary amount by all means possible. The only way to
do that is to toughen the pressure on the "humble" small and
medium-sized enterprises, which is evident’, B. Asatryan said.

To recall the budgetary revenues for Jan 2009 totaled 41.8 billion
dram, expenses – 34.5 billion drams, which ensures only 22.7% and 17.8%
of the government plan for quarter. As compared to Jan 2008,
the budgetary revenues were down 11.8% and tax revenues – 10.6%.

ANKARA: FM Armenia-bound on eve of key date

Hürriyet , Turkey
March 11 2009

FM Armenia-bound on eve of key date

ANKARA – Foreign Minister Ali Babacan has accepted an invitation from
his Armenian counterpart to attend a regional summit in Yerevan. The
move has been interpreted as a further step by Ankara to avoid a
U.S. presidential proclamation of the alleged genocide of Armenians
this April 24, daily Hürriyet reported yesterday.

Babacan will participate in the foreign ministerial meeting of the
Black Sea Economic Cooperation set for April 16 and 17 at the
invitation of Armenian Foreign Minister Edward Nalbandian. The move is
expected to give Ankara an upper hand before a critical visit by
President Barack Obama, who is expected in Turkey next month. But
Turkish diplomats speaking to the Daily News said nothing yet was
certain, but that the Foreign Ministry was also contemplating possible
consequences of Babacan not visiting Yerevan before April 24.

In a televised interview at the weekend, Babacan said he was invited
to Yerevan for the summit, adding that he had not yet decided because
there were other programs that overlapped with next month’s meeting.

The Armenian question was on the agenda during U.S. Secretary of State
Hillary Clinton’s trip to Turkey last Saturday, although diplomatic
sources in Ankara said it was off the table. A joint statement
released after the Babacan-Clinton meeting highlighted efforts to
normalize Turkish-Armenian relations.

Babacan still sees risk

Babacan said the new U.S. administration appreciated Turkey’s opinions
and sensitivities regarding the alleged 1915 killings but said there
was still a "risk" over the U.S. stance on the issue. Obama said on
several occasions during his election campaign that he would recognize
the 1915 incidents as "genocide."

"I can easily say that the current U.S. administration perceives
Turkey’s opinion and sensitivity on this matter. We have no
difficulties with communication in that sense," Babacan said, adding
that the issue could be solved without overshadowing relations between
Turkey and the United States.

The Black Sea Economic Cooperation was founded in 1992 in order to
promote stronger economic cooperation among Black Sea countries and
promote peace and stability. BSEC member states are Bulgaria, Georgia,
Romania, Russia, Turkey, Ukraine, Albania, Armenia, Azerbaijan,
Greece, Moldova and Serbia. Armenia assumed the rotating presidency of
BSEC on November.

Venice Commission will express opinion

A1+

Venice Commission will express opinion
[04:59 pm] 11 March, 2009

The Council of Europe Venice Commission will discuss the following
issues at its forthcoming plenary session on 13-14 March in Venice
(Italy):

amendments to the Criminal Code of Armenia in relation to the March
2008 events;

1) 2) adoption of an opinion on the draft Law on freedom to receive
information in Armenia.

Barack Obama to visit Turkey next month

Barack Obama to visit Turkey next month

2009-03-09 12:24:00

ArmInfo. US President Barack Obama is going to visit Turkey next month,
US Secretary of State Hillary Clinton said over the joint
press-conference with Turkish Foreign Minister Ali Babacan, the
Associated Press reported.

As Turkish Hurriet newspaper says Obama’s decision is a cue for
Turkey’s central role in the new administration’s foreign policy and
likely the beginning of an era of intense cooperation that will
amount to a strategic partnership.

The timing and scope of Obama’s visit remain unclear but he is expected
to come at the end of a European tour next month, which will include a
G-20 summit in London and a NATO summit in Strasbourg during the first
week of April. It is likely that Obama will be in Turkey between April
6 and 8, when he is expected to participate in an Istanbul summit of
the United Nations-sponsored Alliance of Civilizations.

For many in Ankara, both the talks with Clinton and the upcoming
Obama’s visit mark the beginning of a new era between two allies, whose
ties had become strained in recent years over Turkey’s refusal,
in 2003, to open a northern front to the U.S. in its war in Iraq.
"Turkish-American relations have entered into a new era," Babacan said.

Diplomatic sources said efforts for the U.S. Congress to recognize the
killings of Armenians in 1915 as genocide did not appear on the agenda
of the Clinton-Babacan talks. But a joint statement released
following the meeting highlighted U.S. support for "the efforts of
Turkey and Armenia to normalize relations."

Still, that does not rule out the possibility of U.S. recognition of
Armenia’s claims. "I still see a risk," Babacan said. "Mr. Obama made
the promise five times in a row," Babacan said.

Mourning Passing of Former Mass. House Speaker George Keverian

HULIQ, NC
March 7 2009

Armenian Community Mourns Passing of Former Mass. House Speaker George
Keverian

WATERTOWN, MA ` The Armenian National Committee of Massachusetts
joined with Armenian Americans throughout the commonwealth today in
mourning the passing of former House Speaker and government reform
champion George Keverian.

`Speaker Keverian’s commitment to free speech and open government set
the standard for civic reform throughout the Commonwealth ` a legacy
which has touched all levels of Massachusetts governance,’ said ANC
Eastern Massachusetts Chairwoman Sharistan Melkonian. `At the same
time, his commitment to proper U.S. recognition of the Armenian
Genocide and devotion to Armenian American concerns garnered the
respect and admiration of our communities nationwide.’

Keverian grew up in Everett, MA, and attended Everett High School and
later Tufts College and Harvard College. He began his political life
in 1953 at the age of 21, with his election of to the Everett Common
Council. He would later serve 24 years in the Massachusetts House, six
of which as Speaker.

During his years in the House, Keverian organized the first Armenian
Genocide observance at the State Capitol ` an event which continues
annually to this day.

In addition, Keverian’s commitment to education touched the lives of
many. On the morning of his death he was scheduled to read Dr. Seuss
to students at an elementary school in his home town that bears his
name. He had also served on the boards of directors of vital
institutions including the St. Stephen’s Armenian Elementary school in
Watertown, Massachusetts and the Massachusetts Service Alliance.

Massachusetts House Speaker Robert DeLeo told the Boston Globe earlier
today that `[Speaker Keverian] led the House during a tough fiscal
time and was not afraid to make difficult decisions for the benefit of
the entire commonwealth. On a personal level, Keverian was a kind man,
who made a tremendous contribution to his hometown of Everett, which
he loved so much."

Armenian gets 22 years in arms-trafficking sting

Chicago Tribune, IL
March 7 2009

Armenian gets 22 years in arms-trafficking sting; tells NY court he
was irresponsible

By Associated Press
8:03 PM CST, March 6, 2009

NEW YORK (AP) ‘ An Armenian immigrant was sentenced Friday to 22 years
in prison for plotting to sell anti-aircraft missiles and other
military weapons from the former Soviet Union to an FBI informant.

"I should have known better," Artur Solomonyan, 30, told a federal
judge before learning his sentence. He said he had been irresponsible
but got caught up in the scheme because he thought the informant could
get him a green card.

Prosecutors said Solomonyan led a ring that conspired to import
shoulder-fired surface-to-air missiles, rocket-propelled grenade
launchers, anti-tank guided missiles and other weapons without a
license. The only weapons actually delivered were a dozen firearms,
including a machine gun.

Solomonyan and five co-defendants were convicted in July of charges
including arms trafficking and firearms trafficking conspiracy.

During the trial, prosecutors said greed spurred the group to try to
get into a dangerous business: dealing in weapons designed to pierce
armored tanks and shoot aircraft out of the sky.

Prosecutors said the case began when one of the defendants approached
the government informant to ask about the sale of machine guns. The
informant reported the offer to law enforcement and began making
recordings, generating hundreds of pages of reports.

Solomonyan said at his sentencing that he had once dreamed of winning
a Nobel Prize in science.

"Maybe I was overconfident," he said, adding later: "I realized I
failed, and it didn’t start with the weapons ‘ it started earlier."

A1+: "My Son Was Killed Deliberately"

"MY SON WAS KILLED DELIBERATELY"

A1+
[05:42 pm] 06 March, 2009

"I am convinced that my son was killed deliberately and not
accidentally," Sargis Kloyan, the father of a March 1 victim Gor
Kloyan, said during today’s sitting of the NA ad hoc Committee looking
into the events of March 1-2.

Sargis Kloyan said Gor used to shoot everything he saw and on March
1 Gor had a photo camera with him. Sargis Kloyan added that Gor had
been fired point-blank which was confirmed by the members of the AGO
group who visited them after the deadly events of March 1.

Remind that Gor Kloyan died of internal bleeding after receiving a
missile wound in the result of a misuse of a Cheryomukha 7 over-sized,
gas powered special device. Doctors were unable to save Gor Kloyan. He
died on the operating table after the explosion of the gas grenade
which was meant to explode in the air and produce teargas.

The Committee members wondered what connection Gor Kloyan had with
the demonstrators. "No connection," followed the answer. Above all,
one of Gor’s brothers-in-law is a policeman, the other works in the
National Security Council. "Generally, all Gor’s acquaintances and
friends are either policemen or businessmen. Gor was a member of the
Prosperous Armenia Party (BHK). During the Presidential election of
February 19 he worked the BHK," said the father.

The Committee members also wondered with whom Gor had gone to
Lusavorich Street on March 1, whether there were eye-witnesses to
give evidence in the murder and the like.

Sargis Kloyan said the questions had never occurred to him and promised
to hold a private inquest. He only knows that a driver of some taxi
service took Gor to Hospital N3. The Committee promised to find the
taxi man for further inquiry.

World Bank Praises Armenia Dram Devaluation

WORLD BANK PRAISES ARMENIA DRAM DEVALUATION

Agence France Presse
March 4, 2009 Wednesday 1:38 PM GMT

The World Bank praised Armenia Wednesday for allowing its currency to
devalue but also warned against allowing the move to stoke inflation
in the ex-Soviet republic.

The dram lost 20 percent in value against the US dollar at exchange
offices Tuesday after the Central Bank announced that it had decided
to limit its interventions on the foreign currency market, returning
to a free-float policy.

"Greater flexibility of the exchange rate will help Armenian companies
to compete more successfully in global and domestic markets and will
pave the way for high and sustained growth," the World Bank’s director
in Armenia, Aristomene Varoudakis, told reporters.

He said that the central bank had spent 500 million dollars (400
million euros), a third of its foreign currency reserves, on propping
up the dram since October.

But Varoudakis also called on Armenia to ensure strict controls on
prices for basic goods.

"Economic competition bodies must monitor strictly to ensure there
is not a sharp and unreasonable increase in prices," he said.

After rising from 305 drams to the dollar to more than 400 drams by
late Tuesday, the dram’s rate fell to 360-370 drams to the dollar at
exchange offices Wednesday. The central bank’s official rate Wednesday
was 372 dram to the dollar.

Armenia has been hard hit by the global economic downturn, with
thousands of people losing their jobs in the small Caucasus mountains
country, according to local media.