WHERE 5 BILLION DRAMS OF RESERVE FUND DISAPPEARED?
Aram Zakaryan
Lragir.am
16 June 06
In 2005, 21.1 billion drams of the reserve fund of the government of
Armenia was spent totally. However, 4.8 billion drams was allocated
by over 100 government decisions, and the target is often unknown. In
other words, it was spent for aims that only the government of Armenia
knows. The society is unaware, the taxpayers either.
First it should be noted that the 363.7 million drams spent by two
confidential decisions in January and September 2005 is not included
in this 4.8 billion. We will simply add that the money was spent for
the sake of national security. Whereas the other cases are beyond
logic because everyone is supposed to learn about every dram that
is spent. It is unclear, for instance, what happened to the 8.168
million dollars allocated by the 1064-A decision of July 28, 2005 or
36.2 million allocated by 1038-A decision of July 21. Although the
official website of Armenia the government offers detailed information
about government decisions, meetings of the prime minister and other
activities of the government, there is not a hint of decisions on
allocating money without a specified target. It is notable that the
government adopted most of these decisions in the second half of the
year. The address of some decisions is specified but the purpose
is unclear. All the government agencies, including the president
administration, the government administration, the National Assembly,
courts of law, ministries and the Public Television, received sums
without a specified purpose. In particular, the Ministry of Foreign
Affairs of Armenia received 748 million drams, the Ministry of
Agriculture 300 million, the City Hall 269, the Ministry of Finance
140 million drams.
Another notable observation. On October 13, for instance, the Ministry
of Defense received 56.8 million and 35.6 million drams from the
government reserve fund on two different decisions, 1638-A asnd
1639-A. Hence, the purposes were apparently so different that the
necessity to pass two different decisions occurred. It is not clear,
however, what the purposes were. Without an address and a purpose,
the largest sum was allocated on October 20, on the decision 1742-A
of October 20, with a simple formulation “On Allocating Funds from
the State Budget of the Repubic of Armenia.”
However, the odyssey of the reserve fund of the government of the
Republic of Armenia does not end thus. Though 190 million drams
was allocated from the state budget for local elections, another 15
million drams was allocated from the reserve fund on 11 decisions for
scheduled local elections in some rural communities and towns. It is
not clear why this 15 million was not simply added to 190 million.
Instead it is clear that the early elections were to be funded from
the reserve fund: 24 decisions and 10.9 million drams.
This is not the end, however. The indices of performance of this or
that expenditure are rounded. And if 0.5 percent seems so little that
can be overlooked, in absolute numbers it is not. For instance, by
the decision on funding the preparation and conduct of the referendum
on constitutional reform on November 27, 2005, 283.449 million drams
was allocated, but 282.786 million drams was transferred. 1 percent
was overlooked, and performance was assessed at 100 percent, although
in absolute numbers 663 thousand drams were not transferred. 21.187
billion out of the 21.206 billion drams of the reserve fund was
spent. Again 100 percent performance and … 18.597 million missing.
Nobody knows where this 18 million is except those who know where
that 4.8 billion is. The public is unaware of the way it has passed.
Crime or not, it is something that should be decided by law-enforcement
agencies. In the meantime, economists say with a budget deficit it
would be logical if the reserve fund of the government were spent in
cooperation with the parliament.

June 15, 2006
PRESS RELEASE
Western Prelacy of the Armenian Apostolic Church of America
H.E. Archbishop Moushegh Mardirossian, Prelate
6252 Honolulu Avenue
La Crescenta, CA 91214
Tel: (818) 248-7737
Fax: (818) 248-7745
E-mail: [email protected]
Website:
HOLY MASS, ORDINATION OF ACOLYTES, AND THE GRANTING OF STOLES, ON THE
FIRST ANNIVERSARY OF THE LA CRESCENTA PARISH
SERVE THE ARMENIAN APOSTOLIC CHURCH WITH FAITH, AND BY RECEIVING THE
STOLES REPRESENTING THE YOKE OF JESUS
HUMBLE YOURSELVES IN FRONT OF GOD,
SO THAT HE MAY EXALT YOU
Declared the Prelate
One year ago, with the guidance of His Eminence Archbishop Moushegh
Mardirossian, Prelate, and the support of the Religious and Executive
Councils, the Armenian faithful of the Crescenta Valley made their
dream of having their own parish community a reality.
On the afternoon of Sunday, June 11, 2006, and on the first anniversary
of the establishment of the Crescenta Valley parish, the Prelate
conducted Holy Mass at the parish church, assisted at the altar by
Very Rev. Fr. Barthev Gulumian and Rev. Fr.
Ardag Demirjian. They entered the church in a procession accompanied
by the “Hrashapar” hymn.
During the Mass and prior to the sermon, ordination of acolytes
took place and the granting of stoles to eight candidates who serve
the local parish, and also St. Mary’s Church of Glendale and Holy
Martyrs Church of Encino. Those granted the privilege of wearing
a stole were Dikran Der Sarkissian, Varouj Bedigian, Aram Bekarian,
Harout Odabashian, Setrak Karadolian, Vahe Kassabian, Raffi Demirjian,
and Raffi Garabedian.
The ordination ceremony was conducted in modern Armenian so that
those in attendance would be able to fully comprehend the prayers.
The candidates knelt before the Prelate on the altar and received the
four ranks of acolytes; porter, reader, confessor, and illuminator,
and the privilege of wearing a stole at the conclusion.
In his sermon, the Prelate recognized that although kneeling during
an ordination can be difficult, it is necessary, because he who wants
to serve God must first humble himself to God.
He stressed that it is God’s Grace and Spirit that gives us wisdom
and guides us and it is with the Lord’s guidance that these eight
individuals became worthy of the rank of acolyte. “Study the Lord’s
commandments attentively and apply them to your daily lives. Learn
from God and use what you learn to serve the community. Let God’s
Word radiate from within you and let the Holy Spirit lead you.
Now that you have received the stoles that represent the yoke of
Jesus, humble yourselves in front of God so that He may exalt you.
Serve the Armenian Apostolic Church with love and faith”, said the
Prelate, reminding the faithful that it was the first Sunday after
Pentecost and the only one that bears the name of a prophet, the
Prophet Elijah. “Live with faith in the example of Elijah, because
faith transforms and enlightens us. Just as today we conducted the
ordination of acolytes and the granting of stoles, in the future there
will be further ordinations and you will soon have your own church,
which we will anoint with this same faith”, said the Prelate thus
concluding his sermon.
Following the sermon, the eight candidates received Holy Communion.
At the conclusion of Holy Mass, the faithful sang “Giligia” and
“Oorakh Ler” along with the Prelate and the procession.
Following church services, the faithful enjoyed a reception organized
by the parish council.

RF SUPREME COURT TO INVESTIGATE THE CASE AGAINST LEVON CHAKHMAKHCHYAN
ArmRadio.am
16.06.2006 15:33
RA Supreme Court will start today investigating the case against Levon
Chakhmakhchyan, former Senator of Armenia, attorney Boris Kuznetsov
told RIA Novosti.
He noted that the General Prosecutor’s Office submitted a corresponding
mediation to the Supreme Court.
“According to the Law, in case the Court finds that criminal signs
existed in the activity of my client, a criminal case may be launched
against him, and he will be presented accusations,” Kuznetsov said.
To remind, Levon Chakhmakhchyan, representing the Parliament of the
Republic of Kalmikia at the Russian Federal Council, was arrested
when taking a bribe of US$300 thousand.
Employee of the Counting Chamber of Russia was also arrested.

PARLIAMENTARY GROUPS AND FACTIONS DISAGREE WITH THE CBA PRESIDENT
ArmRadio.am
16.06.2006 16:22
During today’s briefings Parliamentary groups and factions, except for
the Republican faction, expressed their disagreement with the comments
of the President of Central Bank of Armenia Tigran Sargsyan on dollar
deflation. Head of the ARF faction Hrayr Karapetyan said that the
increase of the exchange rate of the Armenian dram is artificial and
it hits the interests of local producers. This, of course, does not
refer to “People’s Deputy” and “Businessman” factions and the United
Labor Party, since they were not participating in the last briefings
of the spring session.
Turning to the latest conclusions of the Venice Commission regarding
the Electoral Code, Head of “Justice” block Sepan Demirchyan
reconfirmed that in case the coalition refuses to accept the four
preconditions they suggest, they will recall their signatures from
the document. Stepan Demirchyan underlined that execution of reforms
is important rather than the reforms themselves.
Speaking about future plans, the Parties noted that in summer they
will be engaged in settlement of internal party issues, preparing
for the prelection period to start in the fall.

COMMEMORATION EVENT HELD IN SOCHI
Gevorg Harutyunyan
“Radiolur”
16.06.2006 17:11
All 113 people on board of the A-320 plane of Armavia Company of
Yerevan-Sochi flight died as a result of the crash in the Black Sea on
May 3. Some of the relatives had difficulties with leaving for Sochi
to participate in the commemoration ceremony to mark 40 days after
the tragedy. Many were afraid to fly in a plane. The Presidency of
Armenian-Russian and Armenian-Georgian Business Cooperation Association
undertook the resolution of the complex issue.
For 14 years the border between Georgia and Abkhazia has been closed,
only international peacekeeping forces are allowed to move along
the highway. An exception is made also for settlers of neighboring
Georgian and Abkhazian villages. The tragic death of the passengers
and crew of the A-320 upset not only our Russian colleagues, but
also our Georgian and Abkhazian neighbors. The will of many of the
relatives to participate in the commemoration ceremony could have
stayed unfulfilled if the Russian, Georgian and Abkhazian authorities
did not allow to travel via the car way.
This exceptional; transportation of more than 70 people in three
buses became possible due to the efforts of the Presidency of
Armenian-Russian and Armenian-Georgian Business Cooperation
Association.
Co-Chair of the Armenian side, MP Volodya Badalyan did not conceal
that this unprecedented cooperation can serve as an impetus for
reinforcement of interethnic peace.
Before reaching to Sochi from Georgia throughout Abkhazian territory,
on June 13 a commemoration liturgy was served at St. Gevorg Church
of Tbilisi.
The relatives of the victims reached the site of the tragedy 6
kilometers away from the shore in the “Dagamis” catamaran. Very
quickly the surface of the sea at the site of disaster was covered
with a dense mass of flowers and wreaths. The next place of gathering
was the newly constructed St. Sargis Church of Sochi, in the yard of
which the memorial to victims will be erected.
From: Emil Lazarian | Ararat NewsPress

MINISTRY OF CITY BUILDING TO SET NORMS OF COMMISSIONING BUILDINGS
Panorama.am
15:35 15/06/06
The Armenian Ministry of City Building plans to develop a number of
documents concerning seismic resistance of buildings as well as norms
on commissioning the buildings in the course of 2006, deputy minister
of city building Karen Gevorgyan told an international scientific
conference today.
Gevorgyan noted that Armenia adopted a document on norms of seismic
resistance in 1995. The document underwent several amendments since
new technologies have come about since that time. Particularly,
it requires that seismic insulators be used.
Armenia is one of the first countries to use seismic insulators,
the conference participants noted. Japan has used them long ago with
much success. 10 000 such buildings are built in Japan, using seismic
insulators. 8 buildings in different towns of Armenia are also equipped
with this new technology using the technology of Michael Melkumian,
head of Association on seismic resistance constructions.

LEVON CHAKHMAKHCHYAN HOSPITALIZED
ArmRadio.am
16.06.2006 17:18
RF Supreme Court postponed today the case of existence of criminal
components in the activity of Levon Chakhmakhchyan, former Senator
from Kalmikia.
ITAR-TASS informs that the court hearing will take place on June 22. It
was delayed because Chakhmakhchyan is currently in hospital. Senator’s
attorney Boris Kuznetsov informed that he submitted an exceptional
mediation today, which was, however, rejected.
To remind, Chakhmakhchyan is charged with bribery.
From: Emil Lazarian | Ararat NewsPress

KIRKILAS: RA FLAG IN MILITARY EXERCISE IN LITHUANIA IMPORTANT FOR US
Yerkir
16.06.2006 17:13
YEREVAN (YERKIR) – “Our country is always open for the training of
Armenian sergeants and officers,” Lithuanian Defense Minister Gediminas
Kirkilas said at a meeting with Armenian MOD head Serge Sargsyan.
As reported by the Public Television of Armenia, the meeting proceeded
in an atmosphere of mutual trust. Kirkilas attached importance to
the participation of the Armenian military in the exercise to be held
in Lithuania.
“The availability of the Armenian flag is principal for us,” he said
adding that next year he would like to see a full unit but not several
officers. At that he expressed readiness to discuss the organization
issues, including the financial ones.
From: Emil Lazarian | Ararat NewsPress

GHARAKHANIAN PLEADS GUILTY
By Jennifer English
City News Service
June 14, 2006 Wednesday 7:44 PM PST
A Van Nuys man whose investment scam took in about $20 million,
primarily from Armenian-Americans, was sentenced today to three years
in federal prison.
Melkon Gharakhanian, a 43-year-old Canadian citizen who also used the
name Mike Garian, pleaded guilty in January to one count of mail fraud.
Gharakhanian asked U.S. District Judge George Schiavelli to sentence
him to just under one year behind bars — 364 days — to avoid
triggering rules under which he could be deported after serving
his time.
Schiavelli refused, telling Gharakhanian his scam was “absolutely
inexcusable.”
“… this was done by concerted fraud, systematic fraud,” the
judge told Gharakhanian. “The impact this has had on the victims
is profound.”
In pleading guilty, Gharakhanian admitted that between 1999 and 2001,
a Glendale investment firm he and others ran, National Investment
Enterprises Inc., took money from people who believed they were
investing in specific stocks — including initial public offerings
for Internet businesses and other high-tech companies.
Contracts and other documentation seemed to show that the purported
investments were real, Gharakhanian’s plea agreement states. But
investor funds were actually used to buy non-liquid stocks never
listed on account statements, according to the court document.
Investor money was also being used to pay returns to other investors,
a hallmark of what is known as a Ponzi scheme.
Although some of the investors were paid more money than they invested,
Gharakhanian and prosecutors have agreed the amount victims lost in
the scam was between $2.5 million and $10 million.
Assistant U.S. Attorney Michael Wilner said today that the government
believes about $13 million was returned to investors either in the
form of profits, or as refunds after they complained — leaving about
$7 million investors appear to have lost.
The prosecutor said an obstacle in determining the exact losses of
individual investors — some of whom invested hundreds of thousands
of dollars — is that the records of National Investment Enterprises
were destroyed.
That made it difficult to know how much individual investors were
repaid, and exactly how much they invested, Wilner said. And although
authorities believe they know the rough amount the scam took in,
they are unsure if they have located all the investors, he said.
The factors combined meant the government was unable to determine
what amounts Gharakhanian should be ordered to repay to individual
investors, Wilner told the court.
Even if such determinations could have been made, much of the money
investors lost was spent on Gharakhanian’s losing stock investments,
Wilner said.
One of the investors, 57-year-old veteran David Howard, told the
judge he has so far been unable to collect on a civil judgement of
about $120,000 from a lawsuit he filed against Gharakhanian. He said
he invested $100,000 with Gharakhanian, an amount that represented
his savings.
After losing the money, Howard said, he had to borrow money to pay
his son’s college tuition. He said his financial problems caused a
flare-up of his post-traumatic stress disorder.
“He was instrumental in destroying my family, and he robbed me of
my financial freedom,” Howard said of Gharakhanian. “He hasn’t given
any of it back yet.”
The U.S. Securities and Exchange Commission previously won a $2.6
million judgment against Gharakhanian on behalf of investors, but is
still attempting to locate assets, Wilner said.
For his part, Gharakhanian apologized to the court, and said he lost
his own money, as well.
“I thought I could make money for everybody, but I failed, and I wish
I could pay them back,” he told the judge.
Schiavelli ordered Gharakhanian taken into custody immediately to
begin serving his 37-month sentence.

CALMY-REY EHRTE ARMENISCHE OPFER DES GENOZIDS
Doppelbesteuerungsabkommen in Eriwan unterzeichnet
Associated Press Worldstream – German
12. Juni 2006 Montag 2:36 PM GMT
Eriwan/Bern
Bundesratin Micheline Calmy-Rey hat am Montag bei ihrem Besuch in
Armenien an der Erinnerungstatte des Genozids einen Kranz niedergelegt
und einen Baum gepflanzt. In Eriwan unterzeichnete die Aussenministern
ein Doppelbesteuerungsabkommen, wie das EDA mitteilte.
Calmy-Rey fuhrte beim offiziellen Arbeitsbesuch Gesprache mit
ihrem Amtskollegen Vardan Oskanian, dem Ministerprasidenten
Andranik Margarian und dem Staatsprasidenten Robert Kotscharian. Die
Bundesratin sprach dabei auch die politische Situation in der Region
an, einschliesslich der Frage von Nagorno-Karabach. Die Schweiz
messe dem Sudkaukausus eine wachsende Bedeutung bei und sei an der
Schaffung stabiler und demokratischer Verhaltnisse in der Region
interessiert, halt das Eidgenossische Departement fur auswartige
Angelegenheiten (EDA) weiter fest. Calmy-Rey habe in den Gesprachen
auch die tragischen Massendeportationen und die Massaker erwahnt, die
das Ende des Osmanischen Reichs pragten. Sie ehrte die armenischen
Opfer, indem sie an der “Erinnerungsstatte fur den Genozid” einen
Kranz niederlegte und einen Baum pflanzte.
Das EDA erinnert, dass die wirtschaftlichen Beziehungen zwischen den
beiden Landern noch bescheiden sind, aber der juristische Rahmen
und damit das Potenzial besteht. Seit 2000 ist ein Abkommen uber
Handel und wirtschaftliche Zusammenarbeit in Kraft. Seit 2002
ein Abkommen uber den Schutz von Investitionen und neu nun ein
Doppelbesteuerungsabkommen, das am Montag zwischen den beiden Staaten
unterzeichnet wurde. Seit 1988 hat die Schweiz Armenien mit ungefahr
30 Millionen Franken unterstutzt.