Former Deputy Chief of General Staff Caused State Damage of Approximately 255 Million Drams

The Armenian Ministry of Defense sold a 12,500 square meter plot of state property located at 155/3 Davit Bek Street for 87 million drams to Major General Arshaluis Paytian, the former deputy chief of the General Staff. This sale occurred through a direct sale agreement dated July 22, 2011, in violation of several legislative requirements and regulations.

An investigation conducted by the State Interests Protection Division of the Military Prosecutor's Office from April to May 2023 revealed that on February 3, 2012, Paytian mortgaged the aforementioned land for 300,000 USD, which was approximately 40 million drams higher than its acquisition cost (the land was valued at 166 million 100 thousand drams by mutual agreement).

Then, on December 26, 2012, the same 12,500 square meter plot was mortgaged for 270,000 USD (the land was valued at 227 million 500 thousand drams for liquidation, which was 140 million 500 thousand drams more than the acquisition price) and transferred to a bank as property in exchange for a debt amounting to 824 million 498 thousand 84 USD (equivalent to 342 million 373 thousand 143 drams). Consequently, the state suffered damages amounting to approximately 255 million 373 thousand 143 drams.

Given that the circumstances established by the investigation apparently contain elements of an act defined by the Criminal Code, the Prosecutor's Office sent the findings of the investigation to the Anti-Corruption Committee on May 5, 2023, to address the initiation of criminal proceedings.

On May 11, 2023, the Anti-Corruption Committee initiated criminal proceedings under the fifth part of Article 441 of the Criminal Code (abuse of official authority or abuse of official power by an official, which has negligently caused severe consequences).