64 COMPANIES PRIVATIZED IN ARMENIA IN 2005
Noyan Tapan
Apr 13 2006
YEREVAN, APRIL 13, NOYAN TAPAN. At the April 13 sitting, the RA
government approved that the draft law on approval of the 2005 annual
report on implementation of the state property privatization program,
which will be submitted to the National Assembly in prescribed
order. It was noted that no new program on privatization was adopted
in 2005, so under the RA Law on State Property Privatization,
the RA Law on 2001-2003 State Property Privatization Program was
in force. Taking into account that the 2001, 2002 and 2003 annual
reports on implementation of this program, as well as reports on
the 2001-2003 state property privatization program were submitted
to the RA National Assembly for consideration, the above mentioned
report includes the process of privatization carried out in the
calender year of 2005. Deputy Head of the State Property Management
Department Ashot Markosian told reporters after the sitting that
64 companies were privatized in 2005, with 37 companies being sold
through investment-oriented direct sale, while the remaining ones –
through tender. According to A. Markosian, in 2005, the state budget
revenues from privatization made 75 mln 850 thousand 21 dollars and 1
bln 310,439 mln drams (about 2.9 mln dollars). Besides, the new owners
made investments of 20 mln USD and 20 mln Russian rubles and created
3,680 jobs. The State Property Management Department filed 14 claims to
law courts for nonfulfilment of investment obligations. A. Markosian
pointed out a number of obstacles to implementation of the state
property implementation process, particularly large debts of companies
subject to privatization, as well as the fact that some of the
companies included in the program are in the process of bankruptcy
and their property is being confiscated.
From: Emil Lazarian | Ararat NewsPress

MARTIN SARGSIAN RE-ELECTED CHAIRMAN OF CHAMBER OF COMMERCE AND INDUSTRY
Noyan Tapan
Apr 13 2006
YEREVAN, APRIL 13, NOYAN TAPAN. Issues related to elections of the
management of the RA Chamber of Commerce and Industry (CCI), amendments
to the CCI Regulations, and approval of the 2006-2010 strategy of
its activities were on the agenda of the 3rd special congress of
the RA Chamber of Commerce and Industry that took place on April
12. CCI Executive Director Samvel Hovakimian told NT correspondent
that the program on construction of a new exhibition center of the
RA CCI to be built in Yerevan, as well as program measures, were
presented during the congress. According to S. Hovakimian, Martin
Sargsian was re-elected Chairman of the RA Chamber of Commerce and
Industry at the congress. Head of the RA CCI Staff Kim Galoyan said
that the amendments to the CCI Regulations were made in compliance
with the new edition (June 2005) of the Law on Chambers of Commerce
and Industry in the RA. According to the new Regulations, the RA CCI
may have honorary members who participate in its activities with
the right of deliberative vote. Besides, it was stipulated that
the RA CCI chairmanship may express no confidence in the regional
CCI chairmans and chairmanships in the event they break their
regulations. In such cases, a congress shall be convened within
two months after no confidence is expressed, with new elections of
chairman and chairmanship to be held. K. Galoyan noted that under
the new edition of the Law on Chambers of Commerce and Industry
in the RA, regional chambers of commerce and industry are reserved
the right to open their offices abroad. Regional CCI may also have
their courts of arbitration, just as the RA CCI. The regulations
and file keeping orders of arbitration courts are approved by the RA
CCI Chairaman. According to the law, term of office of chairmen and
chairmanships of the RA CCI and regional CCI is 5 year instead of the
previous 3-year term of office. Congresses of the RA CCI and regional
CCI shall be convened at least every 5 years instead of every 3 years
as was required previously.

ARTUR BAGHDASARIAN DOES NOT SUPPORT APPROACH THAT EVERYTHING WAS LEGAL DURING PRIVATIZATION PROCESS
Noyan Tapan
Apr 13 2006
YEREVAN, APRIL 13, NOYAN TAPAN. The presentation of the report on
implementation of the 2001-2003 state property privatization program
was completed at the RA National Assembly on April 12. The report,
which also includes the privatization process in 2004, will be voted
on April 13. RA NA Speaker Artur Baghdasarian noted in his speech that
he does not support the approach that everything was legal during the
privatization process. According to him, it is also evident from the
facts registered in the annual report of the Control Chamber (CC) to
be discussed in the parliament soon. He promised to send the materials
containing these facts to the Office of the RA Prosecutor General after
the discussion of the CC report. Particularly, the CC has revealed that
the 3 thousand sq.m construction at 67 Hanrapetutyan Str. Yerevan
was sold for $65 a square meter, whereas the market price is no
less than $1,200; the Nairi Cinema – for $40 a sq.m. (market price –
$1,000-1,200), while a 1,840 sq.m construction at the intersection
of Bagramian Avenue and Aygedzor Street was sold for only $50,000,
that is, for $30 a sq.m. (market price – $900-1,000). It was found
as a result of a monitoring of about 200 privatized companies that
only 27 such companies have assumed investment obligations. According
to A. Baghdasarian, most of the companies were privatized by direct
sale at a previosly known price. He also pointed out the absence
of necessary state control over investment obligations assumed
by enterprises. The monitoring of nearly 100 enterprises allowed
the Control Chamber to reveal that obligations of only 37 mln USD
were fulfiled out of a total of 140 mln USD. In his words, while
“selling buildings with one hand”, at the same time the state has to
rent other buildings to ensure the activities of some state bodies,
and the state budget envisages allocations for this purpose.

“ARMINCO” COMPANY RECOGNIZED ONE HAVING PREDOMINANT POSITION IN INTERNET SERVICES MARKET
Noyan Tapan
Apr 13 2006
YEREVAN, APRIL 13, NOYAN TAPAN. The RA State Committee on Economic
Competition Protection recongized the “Arminco” company the one having
predominant position in the market of providing internet services. As
they informed from the committee’s Press Service, such a decision
was made at the April 12 sitting of the committee during which the
application got from “ArmenTel” on the occasion of that issue was
discussed. The committee researches found out that more than 1.9 bln
drams service was provided by 10 big internet providers during 2005,
37.1% of what falls to lot of “Arminco”. According to shares, the
“Netsys” (18.1%), “Kornet-AM” (15.6%), “Exolt” (14.5%), “Web” (9.8%)
companies follow “Arminco.” 454.6 mln drams service was provided by
21 economy entities acting in the market of international services of
satellite getting of data (getting of data with the help of satellite
to provide internet service to user). But none of them, according to
the research, occupies more than 33.3% of the market, though there
is no economy entity having predominant position in this market. It
was also found out, that only “ArmenTel” provides services of line
rented for exchanging data, just which was considered the one having
a predominant position in that market.

PRIVATIZATION OF “SMALL” OBJECTS ALMOST COMPLETED IN ARMENIA
Noyan Tapan
Apr 13 2006
YEREVAN, APRIL 13, NOYAN TAPAN. 1,925 companies, 7,266 “small”
objects and 80 incompleted construction objects were privatized in
Armenia in the period from 1994 to January 1, 2005. As a result, the
funds received from state property privatization made 142 bln drams
and 45 mln USD. Head of the State Property Management Department
adjunct to the RA government Karine Kirakosian stated this at the
April 11 sitting of the RA National Assembly, when presenting the
report on implementation of the 2001-2003 state property privatization
program. According to her, since 2004 the pace of the privatization
process has slowed down due to a number of objective reasons,
first of all, low attractiveness of some enterprises on the list of
companies subject to privatization. The maintenance, modernization and
operation of most of these enterprises require considerable investments
because of their deterioration and moral depreciation. Most of state
property was sold at 25% of its estimated value for the reason of
low attractiveness. However, there were cases when state property was
sold at a higher price than the estimated value. K. Kirakosian noted
that the privatization of “small” objects has almost been completed,
and one third of 1,000 companies included in the program have filed
for bankruptcy because of their “poor operation”. 300 companies have
not yet been privatized, so they were included in the 2005-2007 state
property privatization program sumitted to the NA for approval. The
privatization process was criticized by some representatives of
Justice, National Unity and Orinats Erkir factions and independent
deputy Manuk Gasparian who said that they will vote against the
report. The deputies brought examples of various companies that
were privatized at a lower price than the market value. According
to Secretary of Justice faction Victor Dallakian, Orbita company
assessed at 3 bln drams was privatized for 150 mln drams, the 45.7%
state stake of Luys Publishing House – for 10 mln 825 thousand drams,
while the construction complex, including the office of Orinats
Erkir Party, at 14 Koryun Str. – for 45 mln drams. According to the
deputy’s information, the compex was sold to the RA Minister of Trade
and Economic Development.
From: Emil Lazarian | Ararat NewsPress

SERGE SARGSIAN APPRECIATES OSCE MINSK GROUP’S EFFORTS AND EXPRESSES HOPE THAT FINALLY THEY WILL YIELD DESIRABLE RESULTS
Noyan Tapan
Armenians Today
Apr 13 2006
YEREVAN, APRIL 13, NOYAN TAPAN – ARMENIANS TODAY. The current state
and prospects of Nagorno Karabakh settlement were discussed at the
April 13 meeting of Secretary of the National Security Council under
RA President, Defence Minister Serge Sargsian with OSCE Minsk Group
French Co-chair Bernard Fassier. As Noyan Tapan was informed by Colonel
Seyran Shahsuvarian, Spokesperson for RA Defence Minister, Minister
Serge Sargsian appreciated the efforts of the Minsk Group expressing
the hope that finally they will yield their desirable result.
From: Emil Lazarian | Ararat NewsPress

THE RESIDENTS DIDN’T WANT TO CLEAN THEIR CITY
A1+
[04:15 pm] 13 April, 2006
A mass sanitary purification was held in Sisian. The cleaning was
initiated by the workers of the Municipality, Community organizations
and enterprises.
The pupils also had their active participation in the cleaning
process. “The Sisian sanitary purification” LTD implemented the
cutting of trees and garbage taking from the city streets.
In comparison with the workers of the Municipality, Community
organizations and enterprises the city inhabitants were rather
passive. Soon the city authorities will realize tree – planting.
“Sjuni” TV channel of Sisian

RUSSIAN MEDIATOR IN KARABAKH SETTLEMENT DOES NOT INTEND TO VISIT THE REGION ON HIS OWN
)
14: 21 04/13/2006
OSCE Minsk Group Co-Chair on Nagorno Karabakh conflict settlement Yuri
Merzlyakov does not intend to visit the region on his own following
the example of his colleagues from the US (Steven Mann) and France
(Bernard Fassier), reports a REGNUM correspondent.
According to Merzlyakov, another stage of consultations between the
co-chairs will be held in Moscow, where results of Mann and Fasser’s
visits to Armenia and Azerbaijan will be summed up and issues will be
discussed concerning a visit of the co-chairs to the region planned
for March.

“THE STRIKE PLACES” DO NOT REMAIN EMPTY
A1+
[04:17 pm] 13 April, 2006
Today the dwellers of Northern and Chief Avenues organized a protest
in front of the Government premises with the following posters,
“We demand flats as a solution to our matter.” Their strike passed
without any serious incidents; there were no cries or threats; they
simply gathered to remind the Government of their existence.
As usual the strikers were received by no one; even the Human Rights
Protector Armen Haroutyunyan left the building without inquiring
of their demands. The strikers did not submit any new application
or letter.
“We gave our applications long ago but so far we haven’t had any
response to them. They found a certain Chief of Regional Department
Khachatur Vardanyan and sent him to calm us down,” said one of the
strikers.
According to the strikers’ explanations their gathering in front
of the Government building is determined by the presence of the
Justice Minister in the Government session. “Justice in our country is
presented by a person who claims that we are interested in money. We
demand David Haroutyunyan to step back from his financial interests,
to imagine himself as the representative of the Armenian nation in
the Constitutional Court on April 18 and to have a fair approach to
the matter,” says Sedrak Baghdasaryan.
The strikers are sure with 95% that they will win in the Constitutional
Court but they continue their strikes as “the remaining 5% may be
fatal. The high – rank officials may order the Constitutional Court
to reject our requests.” Sedrak Baghdasaryan is not particularly
interested in the decision of the Constitutional Court. “We turned to
all courts but none of them assisted us. My last hope is the European
Court. The Government is seriously interested in the decision of the
Constitutional Court as it is a question of honor.”
The further steps of the strikers are connected with the decision of
the Constitutional Court, but they are sure in one thing, “We shall
continue our struggle to the end,” assures Vachagan Hakobyan.

MEETING OF JUDGES OF NEIGHBOUR COUNTRIES
Panorama.am
13:58 13/04/06
Tomorrow the President of Georgian Supreme court Constantine
Kublashvili arrives in Armenia on an official visit. As we have been
informed by RA Court of cassation press secretary Ann Lazarian on
April 14 the President of RA Court of cassation Hovhannes Manoukyan
is expected to have a meeting with Georgian Supreme court Constantine
Kublashvili. It is scheduled that a memorandum of “Mutual cooperation
and exchange of legislative information” will be signed between the
RA Court of cassation and Supreme Court of Georgia.
Besides, in the scopes of the visit C. Kublashvili is expected to
meet with RA Justice Minister David Haroutyunyan and Presidnet of
Constitutional Court Gagik Haroutyunyan.