Desperately seeking investment
Another key business forum on horizon in Tbilisi
By M. Alkhazashvili
The Messenger, Georgia
Nov 25 2004
Central to the administration’s economic policy is the attraction
of foreign investments to the country. To attract investment, the
government is straining to improve the investment climate as quickly
as possible, as well as to push forward its privatization program.
The new, more liberal tax code, which will come into force from next
year is intended to create not only the conditions for local business
to develop, but also the right conditions for investment from abroad.
According to the official statistics, between 1996-2004 foreign
investments amounted in total to USD 1.7 billion, the equivalent of
USD 386 per citizen. This is far from impressive: in 2003 alone,
Sakartvelos Respublika reports, foreign investment in Azerbaijan
equaled USD 410 per resident. Investment in Georgia is even less when
the two pipelines (BTC and Baku-Supsa) are taken out of the equation.
In 2003, as a result of the uncertainty surrounding the Rose
Revolution, foreign investment in the country decreased further,
but since coming to power the Saakashvili administration has made
increasing investment a priority. Some economists predict that next
year Georgia foreign investments will amount to USD 150 million. If
these investments are profitable, this will have a knock-on effect,
increasing investment in Georgia in the future.
Minister of Economy Kakha Bendukidze’s privatization program should
contribute towards increased foreign investment, though so far his
and the government’s attempts to arouse interest in state assets to
be privatized have produced little.
Local businessmen and economists complain that the privatization
process is not transparent, citing as an example the direct sale of
aviation manufacturer Tbilaviansheni to its current management in
a deal worth USD 67 million, which representatives of the Economy
Ministry describe, according to Akhali Versia, as one of the most
important sales of the year.
Deputy Minister of Economy Natia Turnava says that Georgian Telecom,
Rustavi Azoti (chemicals) and Elmavalmashenebeli (locomotive
construction factory) will be sold in the near future, while
the ministry is also currently preparing to put Elektrokavshiri
(state-owned telecommunications) and Poti and Batumi ports up for sale.
An encouraging step is the series of business conferences where
senior government officials have promoted investment in the country.
Already meetings have been held with U.S., Russian, British, Israeli,
Armenian and Azerbaijani businesses.
On November 29-20, the government will continue the effort with
the Italy-Georgia Business Forum at the Courtyard Marriott. Prime
Minister Zurab Zhvania is on tap to give the keynote address and the
government’s economic team is participating in most panel discussions.

Detained Armenians grapple with despair
By Kevin Simpson, Denver Post Staff Writer
Denver Post, CO
Nov 25 2004
Battling boredom, tears and uncertainty, four Armenian family members
said Wednesday that they struggle to believe their quest to remain
in the U.S. will end happily after nearly three weeks in immigration
lockup.
Their case mirrors thousands of others, say authorities, but with one
notable exception – the Sargsyans have the town of Ridgway mobilized
behind them.
“Everybody says it’s going to be fine, told us we’re going to get out
in a week, then two weeks,” said 20-year-old Gevorg Sargsyan. “It’s
already been 19 or 20 days, and we’re still locked up. Every time
your heart is broken, you get to be more unrealistic of what’s
happening. Seeing brick walls all day long, not getting the smell of
fresh air, doesn’t get your hopes up in any way.”
Despite efforts to be granted “parole status” after being adopted by
the U.S. citizen who married one of their sisters, Gevorg and his
18-year-old brother, Hayk, remain in the same legal limbo as their
father, Ruben, and older sister, Meri.
Final orders have been issued on all four, which means they could be
deported to Armenia at any time, says U.S. Immigration and Customs
Enforcement officials.
Friends and townsfolk from Ridgway have demonstrated at the Aurora
detention facility in support of the Sargsyans, but immigration
authorities say the law is clear.
Meanwhile, the men bunk in an open area designed for about 45 people.
Meri lives with about 10 other women in a separate space.
Gevorg has checked out a book from the facility’s library, a novel
set in Nazi Germany.
“I’m kind of numb,” he said. “I don’t feel anything anymore. The last
17 days seem like 20 years. I used to own a car, have an apartment,
take tests, write papers – now all that seems like a fantasy.”
Gevorg, a chemical engineering student at the University of Colorado
at Boulder, said he’s had visits from two college instructors and a
high school teacher. All left him problems in math and logic to solve.
Hayk would have graduated from high school this spring.
Meri, 28, taught and played piano for San Juan Presbyterian Church
before she and the others were detained. Kids from the church Sunday
school sent her cards that have given her some comfort amid what she
regards as an impersonal system.
“They don’t care who you are,” she said, on the verge of tears.
Two family members have immigration cases still pending amid a tangle
of shifting relationships and legal wrangling.
Family matriarch Susan Sargsyan appealed her deportation order and
awaits a new hearing.
Her daughter, Nvart, married a U.S. citizen in 1999 and has been
granted permanent residence, although immigration authorities have
appealed that ruling.
Nvart’s ex-husband, an American named Vaughn Huckfeldt, met and
married her overseas and then provided family members student visas.
When Nvart divorced him, he reported the family to immigration
authorities, who charged that the Sargsyans fraudulently entered
the country.
That triggered what has become a protracted battle to stay in the U.S.
Attorney Jeff Joseph continues to pursue legal avenues to keep the
Sargsyans in the U.S., but he acknowledges that the situation is
taking a toll on the detainees.
“For someone who’s never been in jail, never been under arrest,
it’s terribly demoralizing,” Joseph said.

Conflict creates obstacles for economic development – President
AzerNews, Azerbaijan
Nov 25 2004
President Ilham Aliyev, receiving a delegation led by Turkish State
Minister Gursad Tuzmen on Thursday, said he was satisfied with the
activity of the Azeri-Turkish inter-governmental commission.
Aliyev said that Azerbaijan attaches great importance to the existing
efficient cooperation between the two countries’ business people
and that meetings between Turkish and Azeri entrepreneurs positively
affect strengthening of economic ties.
The President also pointed out the existing economic potential for
expanding these relations, which are further promoted by the friendship
between the two states.
Touching upon the Armenia-Azerbaijan conflict over Upper Garabagh,
Aliyev said the conflict is a serious obstacle for Azerbaijan’s
economic development.
“We demand the international community, in particular, the
organizations directly involved in the conflict resolution to approach
the issue fairly and put an end to double standards.”
From: Emil Lazarian | Ararat NewsPress

Community Calendar
Montreal Gazette, Canada
Nov 25 2004
Galleries and Exhibitions
The Armenian General Benevolent Union of Montreal presents an
exhibition of recent works by artist Roudolf Kharatian on Saturday
and Sunday from 11 a.m. to 5 p.m. at the Dervishian Hall, 805
Manoogian St. in St. Laurent. Vernissage tomorrow at 8 p.m. Call
(514) 748-2428.
[parts omitted]

PACE observers visit Baku
AzerNews, Azerbaijan
Nov 25 2004
Members of the “Ago” monitoring group of the Parliamentary Assembly
of the Council of Europe (PACE) visited Baku last week as part of
their tour of the South Caucasus region.
The goal of the three-day visit was to monitor the fulfillment of
Azerbaijan’s commitments to PACE, in particular, freedom of speech
and human rights. The discussions covered a peace settlement of the
Armenia-Azerbaijan conflict over Upper Garabagh as well.
The PACE monitoring group chaired by the German ambassador to the CE
Roland Vegener met with President Ilham Aliyev, government officials,
leaders of opposition parties, representatives of non-governmental
and international organizations in the country.
The group members also visited penitentiaries and met with
the convicted opposition representatives. Issues pertaining to
democratization, ensuring political pluralism in the country, the
CE-Azerbaijan cooperation, and fulfillment of Azerbaijan’s commitments
to the organization were discussed at President Aliyev’s meeting with
the monitoring group.
The parties considered discussion of the Upper Garabagh conflict
within relevant entities of the PACE as well.
The monitoring group includes ambassadors of other CE member states,
who oversee certain commitments of Azerbaijan to the organization.
The “Ago” group members are expected to submit a report on results
of the visit to South Caucasus at the next PACE session.
The monitoring group was established in January 2001 under the
leadership of Italy’s Ambassador Pietro Ercole Ago.

Details of Azeri, Armenian FMs’ meeting not disclosed
AzerNews, Azerbaijan
Nov 25 2004
On Friday foreign ministers of Azerbaijan and Armenia met in Berlin,
Germany to continue discussions on the issues considered during
the previous round of negotiations on the Upper Garabagh conflict
settlement.
The details of the meeting were not reported.
All the four previous meetings of the two countries’ foreign ministers
were held in Prague, Czech Republic.
The Friday meeting was initially scheduled for October 25, but was
postponed after the Armenian side requested some time to analyze the
results of previous meetings.

AzerNews, Azerbaijan
Nov 25 2004
OSCE finalizing report on Upper Garabagh conflict
The OSCE Parliamentary Assembly special envoy on the
Armenia-Azerbaijan conflict Goran Lennmarker is scheduled to visit
Baku on Friday.
Lennmarker’s report on the Upper Garabagh conflict is almost ready,
says head of the Azerbaijani delegation at OSCE PA Sattar Safarov.
Baku has expressed discontent with some provisions indicated in the
report.
During Lennmarker’s visit, these disputed provisions will be
clarified and the final version of the report developed, Safarov
added.

Glendale News Press
LATimes.com
Nov 25 2004
A parking lot of books
SOUTHEAST GLENDALE – With each box carried into the parking structure
across the street from the Glendale Central Library, the library’s
collection of Armenian- language books grew. And grew. And grew
some more.
Movers delivered about 12,500 Armenian-language books to the library
on Wednesday, a collection so large that the books are being stored in
the parking structure instead of the library. The collection, donated
by the now-defunct American Armenian International College, quadruples
the library’s current collection of Armenian- language materials.
The large collection will take some time to sort through. Library
officials expect some books to enter circulation within six months.
City officials value the collection at about $500,000.

Italy to Abstain From UN Vote on Occupied Azerbaijani Lands
Assa-Irada, Azerbaijan
Nov 25 2004
Italy opposes admission of Turkey to the European Union (EU) and the
latter may get the EU membership only in 2014, Italian Deputy Foreign
Minister Margherita Boniver said in a meeting with Armenian Foreign
Minister Vardan Oskanian on Tuesday.
The Italian diplomat wished Turkey to open its borders with Armenia,
which entered the EU New Neighborhood program this June, so that the
former could be admitted to the EU.
Turkey has repeatedly stated that it will not open its borders with
Armenia unless the latter withdraws its armed forces from the
occupied lands of Azerbaijan.
The New Neighborhood program rejects the territorial claims by the EU
member states against their neighbors. The Italian official seems not
to have taken this into account and intends to create artificial
obstacles for the admission of Turkey to the EU.
With regard to including the issue on the occupied lands of
Azerbaijan into the agenda of the UN General Assembly session,
Boniver said she backs settlement of the Nagorno Karabakh conflict
within the OSCE Minsk Group. The Italian diplomat stressed that her
country will abstain from voting on any decision at the UN.
Former Italian Foreign Minister Mario Rafaelli was the first chairman
of the OSCE Minsk Group in 1992-1993 and several discussions were
held with the separatist regime of the Nagorno Karabakh in Rome in
this period.
The Italian deputy foreign minister’s “warm attitude” towards Armenia
may be explained by the increasing economic and trade relations
between the two countries.
The trade turnover between Italy and Armenia made up $49 million in
2002 and $59 million in 2003.

OSCE Report On Karabakh Conflict to be Discussed In Baku
Assa-Irada, Azerbaijan
Nov 25 2004
AssA-Irada 25/11/2004 11:53 — The OSCE Parliamentary Assembly special
envoy on the Armenia-Azerbaijan conflict Goran Lennmarker is scheduled
to visit Baku on Friday. The goal of the visit is to discuss with
Azerbaijani officials his report on the NagornoKarabakh conflict.
The OSCE envoy is expected to meet with President Ilham Aliyev,
Speaker of the Milli Majlis (parliament) Murtuz Alasgarov and Foreign
Minister Elmar Mammadyarov.
Baku has expressed discontent with some provisions of the report,
head of the Azerbaijani delegation at OSCE PA Sattar Safarov has
said. During Lennmarker’s visit, these disputed provisions will be
clarified and a final version of the report agreed upon, Safarov added.