Today, Azerbaijan
July 1 2006
Tahir Taghizadeh: “Lebanese Foreign Minister gave the best response
to the incident”

01 July 2006 [09:57] – Today.Az

The news on reception of Armenian Dashnaksutyun Party delegation
posted on the Lebanese President’s website caused serious
dissatisfaction in Azerbaijan.

As APA reports, the reason of dissatisfaction is the expression “the
delegation was composed of Armenian ambassador to Lebanon and
ex-minister of the Armenian region of Nagorno Karabagh”.
Azerbaijani Foreign Ministry issued official protest to the Lebanese
Foreign Ministry regarding this event.
“Lebanese Minister addressing the 33rd session of the Islamic
Conference of Foreign Ministers in Baku said his country always
recognized Azerbaijan’s independence, sovereignty and territorial
integrity and recognizes at present. This was the best response to
this incident,” Taghizadeh said.

URL:

DetNews.com, MI
July 1 2006
Is GM ultimate risk for Kerkorian?
Billionaire investor appreciates dangers and rewards of betting on
ailing firms, analysts say.
Bryce G. Hoffman / The Detroit News
Global stunner: Link GM, Renault-Nissan

Kirk Kerkorian, the billionaire General Motors Corp. shareholder
angling for a three-way alliance of GM, Renault SA and Nissan Motor
Co., has always liked taking risks.
But this is a big one, even for a guy who owns 9.9 percent of ailing
GM, the world’s largest automaker.
Some observers say Kerkorian is drawn to GM by the same thing that
drew him to the casinos of Las Vegas, where he became one of Sin
City’s original high rollers.
“It’s the love of the game,” said Joe Phillippi, president of Auto
Trends Consulting in Short Hills, N.J. “It’s not for money per se,
because he’s got plenty. And it’s not about saving a great American
icon, though he uses that phrase a lot.”
Phillippi thinks Kerkorian is attracted to the automotive industry by
its scale.
“Every bet in the automotive business is a billion dollars,” he said.
“It’s a very expensive game to play.”
Born in California to Armenian immigrants in 1917, Kerkorian dropped
out of school in the eighth grade and earned his pilot’s license by
milking cows for a flight instructor. He went to Canada to join
Britain’s Royal Air Force before the United States had even entered
World War II, volunteering for what many fliers regarded as suicide
missions in exchange for $1,000 a trip.
Kerkorian not only lived to tell about it, but also used his earnings
to start a small charter service back in the States when his tour of
duty ended. That took him to Vegas.
In 1962, he bought 80 acres on the Strip for just under $1 million.
He leased it to the builders of Caesars Palace and made $4 million
off the deal before selling it to the casino for another $5 million
in 1968.
Kerkorian went on to become one of the most successful hotel and
casino tycoons in Las Vegas and became the 19th richest person in
America, according to Forbes, which estimates his personal fortune at
more than $10 billion.
The billionaire investor manages his vast empire through his Beverly
Hills, Calif.-based Tracinda Corp. His interest in the automotive
industry dates back to 1990, when he started buying shares of
Chrysler Corp.
Kerkorian soon became Chrysler’s largest shareholder and a close ally
of then-CEO Lee Iacocca. Five years later, with Iacocca retired and
the company’s share price slumping, the pair made a play for control
of the company. Their hostile takeover bid failed, but Kerkorian did
convince Chrysler to put a Tracinda representative on its board, buy
back shares to increase their price and boost dividend payments.
Kerkorian acceded to what was pitched as Daimler-Benz AG’s “merger of
equals” with Chrysler in 1998. But he later sued the new company,
DaimlerChrysler AG, after then-CEO Juergen Schrempp told a London
newspaper he called the deal a “merger” just to get it done.
Kerkorian, represented on Chrysler’s board, claimed he had been duped
into supporting what had all along been a straight acquisition of
Chrysler. From the beginning, the Germans referred to the deal as
“die Uebernahme,” or the takeover.
Last year, in a closely watched case, a federal judge ruled against
Kerkorian. But John Casesa, who follows the industry as a principal
of the Casesa Shapiro Group LLC in New York, said Kerkorian had
little to regret.
“I doubt very much it would have happened without him,” Casesa said.
“He did get them to sell the company a high price. He made a lot on
that deal.”
Last year, Kerkorian set his sights on GM. Already a major
shareholder, he began increasing his stake in the company even as
other investors were abandoning it. By December, he had amassed 9.9
percent of GM’s shares and was ready to start shaking things up.
In January, Tracinda demanded that GM cut its dividend payments in
half, cut executive compensation and consider selling off some of its
weaker brands. The company agreed to the first two demands. A month
later, Kerkorian forced GM to give Tracinda representative Jerry York
a seat on its board.
Kerkorian’s moves were seen as a challenge to GM Chairman and CEO
Rick Wagoner, even though the savvy mogul insisted in regulatory
filings that his interest was purely “passive.”
“They’re persistent in pushing their agenda,” Casesa said. “These
guys will not let up.”
Why does Kerkorian do it?
Casesa said Kerkorian is a contrarian investor who fully appreciates
the risks and rewards of betting on troubled companies like GM, and
Chrysler before it. When he invests in a company, it is usually with
an eye to altering the corporate course to boost share price and book
a profit on his usually sizable investment.
“It is hard to rival buying into Chrysler at the bottom but he
certainly has been one to see the restructuring alternatives on the
other side of the blind panic that often creeps into these
situations,” said Glenn Reynolds, an analyst with CreditSights, a New
York-based research firm. “He buys when others run scared, and he
uses his leverage or even the fear of his leverage to effect change.”

Times Online, UK
July 1 2006
Cheap gas comes at a high price for Belarus
By Christopher Granville
SPEAKING in the Lithuanian capital Vilnius last month, Dick Cheney,
the US Vice-President, accused Russia of being an energy blackmailer.
The unspoken grounds for this criticism were clearly Russia’s
decision last January to stop supplying natural gas to Ukraine to
secure a higher price.
In reply to such criticism that Russia is using energy supplies for
political ends, Russian officials have argued that, on the contrary,
the highly subsidised gas prices which Ukraine and other former
Soviet states had previously enjoyed were inherently political. By
contrast, the new policy of asking customers in the former Soviet
Union to pay for gas at the current European market price is the best
way to de-politicise the region’s energy markets.
In principle, Russia’s shift to market pricing of gas rather than
government price-setting makes sense. Back in January, Condoleeza
Rice, the US Secretary of State, said that it behoved Russia as a G8
member to continue subsidising the Ukrainian economy for a
transitional period of several years. This was an interesting
addition to the qualifications for G8 membership.

The real weakness in the Russian `pro-market’ position is the
impression that it remains selective. Ukraine is required to pay the
market price for gas, while other former Soviet states continue to
enjoy cheap gas in return for political loyalty to Russia.
But Moscow has an answer to that too. Several former Soviet countries
have been able to buy Russian gas at a 50 per cent discount to the
European market gas price in return for letting Gazprom, the Russian
gas monopolist, into the local gas distribution business. In this
`downstream’ segment of the gas market, suppliers mark up the price
paid for gas at the border before selling it on to local end users.
Russia has been quite consistent in offering a discounted price for
gas in return for giving Gazprom a share in local markets. Such
arrangements are in place in countries ranging from traditional
Russian allies such as Armenia to the Baltic States, which have a
difficult and often tense relationship with Russia as the former
colonial power. The gas price rise from $50 to $95 per thousand cubic
metres which Ukraine finally agreed to last January was also
consistent with this broader picture.
Until recently, the one glaring exception to this picture has been
Belarus. Aleksander Lukashenko, the President and effective dictator
of that country, has managed to keep the price of Russian gas
supplies down to $50 per thousand cubic metres, on the grounds that
Belarus is building an ever closer union with Russia. But President
Putin now seems tired of exchanging subsidies for vague friendship.
For the past few months, Belarus has been put on notice that it too
will have to pay more for gas. Mr Lukashenko’s priority is to keep
the cash price low, since this essentially finances his dictatorship.
Instead he is offering Gazprom a 50 per cent equity stake in his
country’s gas pipeline company which ships gas westwards into the EU.
Similar such offers in the past have come to nothing over valuation
disagreements. But the fact that Mr Putin is sending in western banks
to do the valuation work shows that this time, he means business.
Christopher Granville is editor of Trusted Sources, a new online
analytical service focused on China, Russia, Brazil, India and other
emerging markets.

Electric New Paper, Singapore
July 1 2006
So… S’poreans held for 11 days
By Ng Yao Min

July 01, 2006

THEY were held for 11 days at an Armenian checkpoint.

Mr Tan Shi Jie (left) and Mr Terence Teo on the couch they slept on
for 11 nights and (below), with a group of Iranian drivers who
invited them to share a meal.
The problem: Their Singapore passports.
All Mr Terence Teo, 25, and childhood friend, Tan Shi Jie, 25, wanted
was a memorable trip to mark their graduation from the National
University of Singapore (NUS).
Certainly, the trip was memorable – for the wrong reasons.
Their passports were thought to be counterfeits by the officials
guarding the Armenian border.
They were detained in the border complex at the Meghri checkpoint
from the night of 6 Jun to 16 Jun. They spent most nights sleeping on
a couch.
‘We were told that there were some problems with our passports and
that we would have to wait,’ Mr Teo said.
However, they were not told what the problems were.
The delay was followed by a thorough check and interrogation by the
border officials. This was to determine that they did not possess
multiple copies of passports.
Said Mr Teo: ‘They persistently asked us where we bought our
passports, even though I kept insisting that Singapore issued us the
passports.’

But the duo were not ill-treated.
‘They made us write statements saying that nothing was taken from us
except our passports and that we were not subjected to any abuse,
just to be careful,’ Mr Tan said.
To add to their dilemma, there is no Singapore Embassy in Armenia.
Mr Teo was allowed to call his elder brother, Mr Herman Teo, 26, in
Singapore on the night he was detained.
He, in turn, called the Ministry of Foreign Affairs (MFA) here after
receiving the call.
Said the elder Mr Teo: ‘I was even contemplating flying over to
accompany them if all else failed, but it was a foolish thought.’
With further assistance from the Singapore Embassy in Moscow and the
High Commissions in New Delhi and London, Mr Teo and Mr Tan finally
returned to Singapore on 18 Jun after spending 11 days in Armenia.
But not before going through some harrowing moments.
Mr Teo, an electrical engineering graduate, is an avid mountaineer.
He had initially planned to climb Mount Lobuche in Nepal.
When his friend pulled out of that trip, he roped in Mr Tan to go
backpacking through the Middle East.
Said Mr Teo: ‘I wanted a graduation trip with a difference.’
SMOOTH TRIP UNTIL…
The pair flew into Iran via Bahrain on 15 May.
They then travelled to Azerbaijan, Georgia and Armenia on foot and by
bus. Everything went smoothly until they left Iran in the evening for
Armenia on 6 Jun.
It marked the start of their ordeal.
During their detention, they ate khachapuri (Georgian cheese bread)
and piroshki (Russian meat pies) almost every day.
They also had to be careful not to spend all their US dollars as
credit cards were not accepted there.
‘Sometimes, it got quite depressing but we tried means and ways, like
singing, to cheer each other up,’ Mr Teo said.
They took pictures with the people working at the border complex and
even made friends with them.
Because Iran is just across the border, Mr Teo and Mr Tan also saw a
group of Iranian drivers offloading cargo at Meghri checkpoint
regularly.
The drivers soon began recognising them at the complex and started to
communicate with them.
‘The people were very hospitable. We were even invited by some
Iranian drivers to join them for a sumptuous supper of stew on one
occasion,’ Mr Tan said.
‘We relied mainly on sign language and some writing as they
understood little English,’ Mr Teo said.
They also got occasional phone calls from worried family members and
officials from the MFA in Moscow.
Their personal belongings were not taken away. They had access to a
power point where they could recharge their handphones and talk to
their families.
They finally got their passports back on 15 Jun. But things did not
end there. They were not allowed into Iran, possibly because of the
same passport issue, and were told to go to Georgia, north of
Armenia.
Mr Teo then called Singapore officials in Moscow for advice.
‘MFA strongly advised us to leave for Yerevan, the capital of
Armenia, immediately,’ Mr Teo said.
On 16 Jun, they took a taxi to the Yerevan airport and spent the
night there.
The next morning, a Singapore official from Moscow flew to Armenia to
hand them air tickets to London.
In London, they were met by Singapore officials from the High
Commission before leaving for home.
Will he travel to the area again?
‘I’m actually thinking of going back to Georgia to climb. They have
beautiful mountains,’ Mr Teo said.

,4136,109 282,00.html

The Standard, Kenya
July 1 2006
Mystery of foreign impostors grows deeper

By PATRICK MATHANGANI and BIKETI KIKECHI
Real estate businessman Raju Sanghani took the witness box yesterday
morning on the third day of Shedrach Kiruki’s Commission of Inquiry
sitting.
He told the Commission the story of how he was first introduced to
the Artur brothers as Arthur and James in Dubai and how he finally
hosted them in Kenya.
The following are excerpts from yesterday’s sitting:
Dorcas: You have admitted that you are the one who introduced them to
Hon Kalonzo Musyoka. Apart from him, who else did you introduce them
to?
Sanghani: Introduced them to many people like; the lawyer and many
business friends. You see, like when we go to a restaurant for
example and we meet some people.
Dorcas: So is it right if I say that you introduced them to some
significant people in the country and you also introduced them to
some others?
Sanghani: If you can be more specific…
Dorcas: You also introduced them to other people? So if someone came
here and said I was introduced to these people by Mr Sanghani that
would be correct?
Sanghani: In the business world…
Dorcas: That’s what I’m saying, if somebody came here who is a
businessman in Nairobi and say that I did not know these people but
were introduced to me by Mr Sanghani that would be correct.
Sanghani: It could be. Not everybody but some of them.
Dorcas: Now, this commission is concerned with their dealings in this
country, and I would like you to tell us what was your business in
Kenya?
Sanghani: As I said, I was looking for a business opportunity and an
opening when I first met them. It was not me who brought them here. I
want to verify that. It was Mr Zakir who brought them to Kenya and I
was introduced to the Artur brothers by Zakir. I saw some potential
in business, especially in the property line and I was basically
trying to see if I could take an opportunity and if I could get into
business.
Dorcas: So in the cause of the introduction, you introduced them as
who?
Sanghani: As I said, when Zakir introduced me to them he said they
were his business friends and they are from the royal family in
Armenia?
Dorcas: While in Dubai, did they take you to any of their investments
– to show you their factories whatever, whatever?
Sanghani: Yes they did. They took me to one of their steel factories.
Then they took me to some of their properties. They didn’t show me
any titles. They looked like people with resources.
Dorcas: I want to show you a business card. And I want you to
sincerely tell the commission if you came across this card and if you
met somebody with this name when in Dubai or Kenya (shows him the
card).
Sanghani: Yes Hon commissioners, I have seen a card like this.
Dorcas: Go back to the photographs I gave you this morning. This is
Arthur Gervokyan?
Sanghani: I didn’t realise I mean… I had seen the card, but I didn’t
realise the second name… sorry but…
Dorcas: But you remember the second passport I was talking about
belongs to somebody Gevorkyan?
Sanghani: Yes
Dorcas: If you look at the email, it is [email protected]
Sanghani? Yes it is.
Dorcas: So, is it right if we say the name Artaq is also associated
with these people?
Sanghani: I believe so.
Dorcas: Now in this card, they were doing business in the style of
brothers’ group of companies. Correct? Did you visit the headquarters
of this group of companies?
Sanghani: Yeah, but can I clarify my position here? I had this card;
I think I must even be having one. I have never called this number I
didn’t see any need to. I always used to deal with Zakir.
Dorcas: Do you know anything about (the) brothers’ group of
companies?
Sanghani: Not really . They showed me a few factories. I did not see
any sign of (the) brothers’ group of companies.
Dorcas: After what you have told us this morning, and apart from the
press release, there is really no evidence that you disassociated
yourself from the dealing of these people.
Sanghani: All I can say is that I have not worked on their properties
after March. After my statement, I have not undertaken to… last I did
for them the housing scheme they wanted to put up in Mlolongo.
Dorcas: But you realise they still had your cars, you were still
paying rent on their behalf…
Sanghani: I’m not saying I was paying the rent. They used to give the
owner a banker’s cheque.
Dorcas: So how would you describe your relationship with them?
Sanghani: As I said, I was looking… they wanted to build 3,000
houses. I wanted to become their agent, definitely like anybody else
could have. There were lots of estate agents who were actually
campaigning to get this project. So I just put it on hold and said
once it gets off the ground, I was ready to talk to them.
Dorcas: Of all the business ventures that you discussed, did any of
them materialise?
Sanghani: Lots of things happened in between, they were called names…
they were involved in so many other things so I just backed out.
There were also dealings with other agents… many other business
people besides me.
Dorcas: What was happening in the house? You went there once or
twice? Did anyone complain about any dealings in that house?
Sanghani: Not really. Somebody called our office to say there were a
lot of dogs and they were disturbing them at night.
Dorcas: How many people were living in that house?
Sanghani: I only used to go when this gentleman was in town. I never
even discussed any dealings with the so-called James or Margaryan. I
know like two of them and two of their brothers.
The commission resumes on Monday.

The Standard, Kenya
July 1 2006
Impostors who lived like kings

By Biketi Kikechi and Patrick Mathangani
The offensive and sometimes arrogant lifestyle the Armenians lived
left a bad taste in the mouths of many.
It has now turned out that the Arturs were impostors who wanted to
impress with material things they did not work for.
In Dubai, they claimed to be engaged in steel milling and estate
development.
“They took me to a steel factory and other properties in Dubai,” said
a witness, Raju Sanghani yesterday.
Sanghani, a Nairobi businessman, told the Kiruki Commission that they
drove him around in flashy cars in Dubai, just like they did here.
The brothers lived at the five-star Grand Regency Hotel in Nairobi
before moving to Runda, where they paid about Sh180, 000 in monthly
rent.
A printout from the Grand Regency Hotel shows that they enjoyed Super
Corporate Class 3A accommodation, paying Sh6, 435 per night, and
frequented the neighbouring Serena Hotel.
“They drove in Toyota Harriers and were escorted by the same make of
cars,” said assisting counsel Dorcas Oduor during yesterday’s
hearing, at the Kenyatta International Conference Centre, Nairobi.
At one point, police questioned the ownership of all the 13 vehicles
that were in their possession.
They were merrymakers, who frequented Nairobi’s nightspots with a
bevy of local beauties.
Evidence so far adduced at the Commission shows that they not only
lived large, but also dined and wined like kings.
The Commission has established that they travelled on fake and stolen
passports, faked their identity and engaged in fraud.
Their modus operandi was to display huge amounts of cash in public,
perhaps to create panic or to enhance their status as “untouchables”.
While in Dubai, they once splashed Sh37 million on a table and also
displayed Sh700,000 on TV for all and sundry to see.
According to Sanghani, the Artur’s also gave him Sh1.8m in cash.
Evidence shows that their work permits were processed in less than 48
hours.
The process included application, entry into registry, security
vetting by the National Security Intelligence Services and approval
by an inter-ministerial committee before notifying the applicant.

The Standard, Kenya
July 1 2006
Brothers travelled with shared passport

By PATRICK MATHANGANI and BIKETI KIKECHI
The Artur passports mystery deepened yesterday as it emerged they
used the same travel document at least once and were cleared by the
Immigration Department.
Also, when they were kicked out of Kenya, none of the names in their
air tickets corresponded with the names in the deportation order
signed by Immigration minister, Gideon Konchella.
It was further revealed that when Artur Sagarsyan was deported,
immigration officials gave him a travel certificate exclusively
reserved for Kenyans wishing to travel within East Africa.
This means Sagarsyan can still travel to Uganda, Kenya or Tanzania
until July 9, the expiry date of the certificate that should have
been valid only for the day he travelled.
The principal Immigration Officer in charge of Jomo Kenyatta
International Airport, Mr John Cheruiyot, said despite the security
issue raised by the discrepancies, the Arturs were still allowed to
travel.
JKIA is regarded as Kenya’s most secure airport, and travellers are
extensively vetted before boarding planes. Cheruiyot admitted that if
such discrepancies had been noted on a foreigner entering the
country, he or she would have been turned back. When the Armenians
finally left, no records were kept at JKIA to show they had been
deported.
“Our system does not capture deportation. Anybody going through the
system won’t know if they were deported,” Cheruiyot told the
commission sitting at Kenyatta International Conference Centre.
Despite the inconsistencies in their travel tickets, Kenya Airways
allowed the foreigners to travel, following consultations with the
immigration department, he said.
Evidence adduced by businessman Raju Sangani showed the two first
came to Kenya on November 10, 2005. Sangani sent his `acquaintances’
to meet them at the airport.
However, Cheruiyot said records at the Immigration Department show
while Artur Margaryan came to Kenya on the said date, Sargasyan
arrived on December 13, 2005.
He produced the records showing the Arturs’ movement in and out of
Kenya from the first day to the date they were deported.
Instead, the records show it was a man named Arthur Gevorkyan who
accompanied Margaryan to Kenya on November 10. It emerged that this
is the passport Sargasyan had used when he first came to Kenya in the
company of Margaryan on November 10.
When he was finally deported, Margaryan used Gevorkyan’s passport,
meaning the two brothers used the same passport on different dates
and were cleared to travel.
Cheruiyot told the commission of inquiry investigating the conduct of
the Artur brothers that he was learning for the first time about how
they kept changing their identities. “After looking at these records,
I realise they played a trick,” Cheruiyot told a hushed sitting.
Records further show none of the Artur’s travelled on the day they
held a press conference at JKIA’s VIP lounge, which is reserved for
senior people in the Government and dignitaries.
On that day, (March 13, 2006) records show it was the man named as
Gevorkyan who arrived from Dubai.
Cheruiyot said Kenya does not have a document to issue to deportees.
In the case of Sargasyan, officials had to improvise and gave him one
reserved for Kenyans travelling in East Africa, he said.
He explained that they forgot to cancel the segment that gave
Sargasyan the go ahead to return.

The Standard, Kenya
July 1 2006
Raju: How I brought the `Arturs’ to Kenya

By Patrick Mathangani and Biketi Kikechi
A friend of businessman Kamlesh Pattni who invited the so-called
Artur brothers to Kenya and ensured they lived like kings yesterday
narrated to the Kiruki Commission the story of their grand arrival
and stay.
Mr Raju Rajendra Sanghani narrated how he met the bogus brothers,
invited them to Kenya, booked them in a five-star hotel – linked to
Pattni – and later secured them a posh home.
He also generously spoke about how he hooked them onto the right
connections, including memorable sessions with former Foreign
minister Kalonzo Musyoka, who they wanted to use as the gateway for
their “businesses” in the region.
The emergence of Sanghani’s face in the latest saga, added to the
fact that Pattni was pictured dining and wining with the
gold-bedecked impostors at their Runda home, gave a fresh spin to the
latest nightmare for President Kibaki’s Government. (Pattni later
said that he had gone to see the alleged brothers in order to solicit
funds for his children’s home.)
In political circles, the dramatic entry of the bogus brothers into
Kenya, the curious manner in which they were deported despite arrest
with illegal guns and fake passports, and the general manner
high-ranking public officials kid-gloved them, is being seen as
having inflicted on the Kibaki administration more political wounds
than Anglo Leasing scandals.
The man fondly referred to as Raju in business circles, and who has
spent time in the Kenyan jail for assaul , said he first met the
impostors in Dubai. At the first introduction, the burly bearded
“younger brother” went by the name James while the clean-shaven
elder “brother” was Arthur.
Sanghani – who was in 2002 jailed with his brother for ordering
guards to beat up men sent by a solicitor to list the goods they
owned – downed several glasses of water as he fielded questions on
the foreigners for whom he rolled the red carpet, ostensibly on
behalf of a mutual rich friend he met in India.
Raju said he was mesmerised by the “brothers” when they poured
half-a-million US dollars (Sh37 million) in cash onto the table in
Dubai for him to carry to Kenya.
For the second time, the name of little-known Mohamed Zakir Oomer
featured, this time not just as a co-director with the Artur’s in
Brotherlink International Ltd Company, but as the big-time player at
whose behest Sanghani rolled the red carpet for the bogus brothers.
Raju, a man with a silvery hair patch at the front of his head, said
he hoped to make a windfall in business with the so-called Armenians.
Raju’s side of the story was that he accidentally met Oomer, an old
pal, in Mumbai in May 2005 and they agreed to discuss investment in
Kenya.
Although the deal wasn’t sealed they agreed to try property
development in Kenya and Oomer called five months later to say he was
travelling to Kenya with some investors.
They were allegedly looking for an investment worth about $5 million
(Sh365 million) and wanted Raju’s assistance during their stay in
Kenya.
Oomer arrived at Jomo Kenyatta International Airport with two other
people who were introduced him as Arthur and James. “These people who
are commonly referred to as “Artur Brothers” were also introduced as
members of the Armenian royal family,” said Raju.
He booked them at Grand Regency and it was during the period, that he
also introduced them to Kalonzo at Serena Hotel after they
accidentally met in the corridor.
Sanghani said they requested to meet Kalonzo again because as a
former Minister, he would help them establish business connections in
neighbouring states.
The main session was held at the Grand Regency where the Mwingi MP
met with a different group later in the evening.
The three impostors left the country on November 15, 2005 most
probably impressed with the hospitality of the local people and how
easily they could get connected to people in high places.
Sanghani travelled to Dubai where he met the brothers two weeks later
. They attempted to give him the thousands of dollars to purchase
property for them in Kenya.
He declined because it was not the “proper manner” of transacting
business and transferring money. A few days later, Oomer and the
brothers arrived in Nairobi, and informed Sanghani that they had
received other offers from people he didn’t know.
A month later they requested for a house that was leased to them in
Runda through Sanghani’s real estate agency. They also allegedly
requested for cars from Sanghani and he offered them three Toyota
Harriers from the six he had purchased for sale in Uganda.
Sanghani claimed that he was assured that the cars would be used in
Uganda and they agreed to follow the right procedures by paying the
relevant duties. He gave them three luxurious cars, all Toyota
Harriers, with a verbal sale agreement that was never honoured.
He is now pleading that the vehicles, now in the hands of the police,
be returned to him because they were worthy Sh7.5 million and the
Armenians handed him a measly Sh1.8 million without documentation.
Sanghani who guzzled several glasses of water, and appeared to be
navigating strange waters, was shocked when he was told he should
take responsibility of the “Armenians brothers” presence in Kenya.
“Although you say you didn’t bring them, I believe you did and you
should take that responsibility,” said assisting counsel Ms Dorcas
Oduor.
She told Sanghani that he invited them to the country, sent his
people to the airport and booked them at Grand Regency Hotel.
Sanghani told the Commission that he later took the bogus brothers
around Nairobi up-market estates in search of a house.
He said whatever happened to the two masqueraders before and during
their deportation was unfortunate. “Because you invited them and now
that they have been deported, what can you say to this Commission?”
asked Oduor. “It is just unfortunate. I don’t know what to say,”
replied Sanghani.
>From Sanghani’s testimony it turned out that the Armenians were
masters in undercover money-deals. All their payments were always in
six-figure digits and were made in cash despite the risk involved.
“Why did you let them handle transactions in cash when there is too
much risk in the world of business?” Asked Oduor. Sanghani’s response
was as those to earlier questions.
He said: “I believed them in good faith and remember they had put $
500,000 on the table in Dubai.”
Following is the verbatim exchange between Oduor and Sanghani on his
role in their coming to Kenya:
Dorcas: Although you are saying that you did not bring these people
into this country, I believe you did bring them from what you have
explained. If our documentation shows that the November 10 is when
they first came into this country, then they were coming to do
business with you and you were their host.
Sanghani: Can I just say something. Zakir had been visiting this
country many times before 10th November. He is the one who said he
must organise them to come and do business here and if you read my
statement, I have said he told me if I can assist him, meaning Zakir
knew many other people besides me. They were not full time with me…
Dorcas: But on this particular day at least we can safely say that
you communicated that they were coming . You went for them at the
airport; you arranged for them to be booked at the Grand Regency
Hotel…
Sanghani: Ok, I can say that, but…yeah, ok…I mean it depends on how
you look at it.
He revealed they have been communicating since they were deported and
that they have called either twice or thrice. “They are normal calls
because they were trying to get a copy of the lease agreement.”
Evidence provided by Immigration officers showed that Oomer first
came to Kenya last November contrary to Sanghani’s evidence that they
first came eight years ago.
Sanghani said he introduced them to many significant people
especially in the business world.
He admitted that he visited their home in Runda several times and
that at one point two other people stayed in that house.

IF THEY UNDERSTAND, THEY WILL FINANCE
Lragir.am
1 July 06

On June 30 U.S. Ambassador John Evans stated that the United States
assists in working out a long-term energy strategy in Armenia.
John Evans affirmed that the Unites States perceives the importance of
the use of alternative energy sources and diversification of energy
supply, and knows that in this context one of the options under
consideration is the building of a new atomic power plant. Evans
announced that the project of building a new atomic plant involves
participation of international donors, which depends on the
possibility to perceive fully the strategy of Armenia in the sphere of
energy and closing of the old atomic power plant.
John Evans suggested that Armenia discuss how the settlement of
complicated problems with Azerbaijan will affect diversification of
energy supply and finding new markets for generated electricity.

VAHRAM BAGHDASARYAN BLAMES U.S.
Lragir.am
1 July 06
Commenting on the revaluation of the Armenian dram at the Pastark
Club, Member of Parliament Vahram Baghdasaryan, Deputy Chair of the
Committee of Finance and Budget, asked to forget about revaluation of
the dram on June 30.
`Let us forget about the revaluation of the dram. Revaluation of the
dram and generally currency results from economic reforms or
significant economic growth in that country, which is felt by people
rather than seen on paper.I think you agree that we did not have
significant achievements,’ says Vahram Baghdasaryan.
It does not mean, however, that the instigator of the dram-dollar
operation is in Armenia. `There are, of course, negative phenomena, I
can speak about some of them, moreover, these are the political
intrigues, the games of the United States rather. To execute someone
who is earning billions. It is possible that they are earning a sum,
that there are negative phenomena. But there is a serous political
problem rather than a small country would be able to make such changes
with the dram or with the dollar,’ says Vahram Baghdasaryan.
According to him, if the dram is in harmony with the economy, it means
our economy is sustainable, whereas fluctuations show that there is a
problem. `We need not be concerned about the dollar. We need to find
the remedy in our economy, and become adjusted to outside games. We
should compare now the fluctuations of the dollar in another country,
such as France. If we have the same here, it means it is not our game,
if unusual things are happening, it means our economy is not
sustainable, or may be it is a matter of control,’ says the member of
parliament.