Criminal Case Against Former Head of Armenia’s Urban Development Committee and Seven Others Sent to Court

On February 1, 2020, the National Security Service of Armenia initiated a criminal case based on evidence collected by the Investigative Department under Article 308 (part 1), Article 310, Article 311 (part 4, clause 2), Article 38-311 (part 4, clause 2), and Article 312 (part 3, clause 1) of the Criminal Code of Armenia. The investigation revealed sufficient evidence that V.V. (Vahagn Vermishyan), the former head of the Urban Development Committee, established a commercial organization in the name of his close associate N.Ch. engaged in architectural and design work. He participated in its management, provided the organization with privileges, and facilitated various advantages, as reported by the Prosecutor General's office.

Subsequently, by abusing official authority, he instructed N.Ch. to be employed at the State Urban Development Committee of Armenia, effectively exempting him from performing official duties while creating favorable conditions for him to engage in illicit entrepreneurial activities. During this time, despite not actually working, N.Ch. was paid a salary of 1,478,483 AMD at the expense of the state.

Afterward, utilizing his official position, V.V. directed representatives from construction companies to enter into agreements with his commercial organization, personally overseeing the project documentation process. He instructed subordinate officials to provide professional and other assistance in the documentation process, resulting in contracts worth over 27 million AMD with his organization, the financial resources of which were jointly managed by V.V. and N.Ch.

Moreover, V.V. awarded honorary titles to directors G.G. and V.P. of construction companies engaged in business activities in the construction sector, and in return for facilitating state and private orders for their companies, he received bribes in particularly large amounts, equivalent to 5,000 USD and approximately 1,290,000 AMD in construction materials, during October-December 2019.

In September 2019, V.V. organized the provision of architectural and design tasks for multi-apartment buildings being constructed by his close associate J.F. to officials of the Yerevan mayor's office without hindrance and within tight deadlines. To do this, he instructed an employee of his government body to prepare the necessary sketch projects while concealing the personal interests pursued by this assignment. He subsequently attempted to persuade Yerevan's municipal officials to refrain from making changes to the prepared project documentation, facilitating the rapid issuance of permits, thereby receiving a substantial bribe of 2,000 USD equivalent to 952,000 AMD from J.F.

Additionally, V.V. fraudulently embezzled 2,500 USD, equivalent to 1,193,575 AMD, from Z.H., who initiated construction work for a multi-apartment building in Yerevan. It was also revealed that on December 26, 2019, V.V. accepted an offer from R.K. to receive a substantial bribe for legalizing an unauthorized structure and changing the intended purpose of the burdened land using his official position.

For these criminal acts, the former head of the Urban Development Committee faces charges under Article 308 (part 1), Article 310, Article 311 (part 4, clause 2), Article 311 (part 3, clause 3) (two episodes), and Article 178 (part 2, clauses 1.1 and 2) of the Criminal Code for abuse of official power, illegal participation in business activities, receiving large and especially large bribes, and committing fraud using his official position.

Charges of bribery, forgery, and use of forged documents, among others, have also been filed against additional individuals. The prosecutor overseeing the legality of the investigation confirmed the indictment prepared in the separated part of the criminal case, and the criminal case against the eight individuals has been sent to the first instance court of general jurisdiction in Yerevan for substantive consideration. The investigation for other parts of the case is still ongoing.

Note: The accused or alleged perpetrator is presumed innocent until proven guilty in accordance with the rules established by the Criminal Procedure Code of Armenia through a court’s judgment that has entered into legal force.