‘Multi Group Concern’ Acquires 87.7 Hectares of Community-Owned Land in Arinj at Significantly Lower Price, Criminal Case Initiated

In the Arinj community of Kotayk Province, there have been violations in the transfer of 87.7 hectares of land designated for residential, industrial, subsoil use, and other production purposes from the community's ownership to agricultural land categories. These lands were sold to 'Multi Group Concern' at a significantly low price of 29,284,157 AMD during a formal auction held in the same community. This was reported by the National Security Service (NSS), which provided further details.

The NSS press release states that following operational and investigative measures carried out by the NSS, factual evidence was obtained indicating that the head of the Arinj community, G. S., a public official, had continually executed organizational, managerial, and administrative functions since October 2002. As a competent authority under clause 12 of Article 32 of the Law on Local Self-Government, he had the right to alienate community property under the conditions set by the community council. However, due to personal interest and with the assistance of the community council members, he misused his official position. This resulted in creating conditions for the transfer of the community-owned lands into agricultural categories, specifically to facilitate the intent of 'Multi Group Concern'.

On the basis of the community council's decision No. 37-N on October 13, 2017, a land development project was prepared, submitted to the relevant agencies for approval, and subsequently, based on positive conclusions, it was moved to the agricultural category. This decision decreased the cadastral value of the aforementioned land from 3,967,548,000 AMD to 25,340,000 AMD, thereby allowing 'Multi Group Concern' to acquire the 87.7 hectares of land at a significantly lower price.

Following this, the public official organized and conducted the auction for alienating the community-owned land parcels, ensuring the formal presence of a second participant, and subsequently confirmed that all requirements set forth in the law on public auctions were met. Thus, the land was sold to 'Multi Group Concern' for the significantly reduced price of 29,284,157 AMD. The purpose of a 0.22-hectare portion of this agricultural land was later changed under the community head’s decision to industrial and other production purposes, after which 'Multi Group Concern' commenced construction of a stone structure of approximately 1860 square meters and an asphalted area for truck parking on the site, effectively using the land for its originally registered purpose prior to the alienation.

Due to such illegal actions, the Arinj community lost the real opportunity to receive income of 3,938,263,843 AMD from the sale of its property, causing significant damage to the legal interests of the community and resulting in grave consequences due to negligence.

A criminal case has been initiated in the investigative department of the NSS under the second part of Article 308 of the Criminal Code of the Republic of Armenia. Necessary investigative and other procedural actions are being carried out using legally permissible tools to clarify all circumstances of the case, identify all individuals involved in the offense, and restore the community's legal interests.