Two Individuals Arrested in Connection with ‘North-South’ Corruption Case

The Investigation Committee of the Republic of Armenia continues its investigation into the criminal case regarding the suspected abuses during the development and implementation of the "North-South Road Corridor" program.

According to the information and public relations department of the Investigation Committee, extensive investigative and procedural actions conducted within the framework of the pre-trial investigation have revealed evidence regarding the director of a subcontractor company, who allegedly obtained fake tax invoices from another company to reduce the company’s tax liabilities without providing any services. These invoices were included in the gross income of the company and reflected in the reports submitted by the company to the State Revenue Committee of the Republic of Armenia in accordance with the law.

As a result of these transactions, significant damage has been inflicted on the state, and the company has avoided paying substantial taxes. Based on the evidence obtained during the investigation, these companies have been charged with a total tax liability of 519,868,422 drams, of which the taxes amount to 65,493,332 drams.

Based on sufficient evidence gathered during the pre-trial investigation, charges have been filed against the director of the subcontractor company and the director of the company that issued fake tax invoices without providing any services, under articles 38-189, part 3, subparagraph 2, 205, part 2, and 189, part 3, as well as article 38-205, part 2 of the RA Criminal Code, respectively. As a preventive measure, both individuals have been placed under arrest. The pre-trial investigation is ongoing.