Former Nor Nork Community Leader Embezzled Funds Allocated for April 7 Event

The preliminary investigation into the cases of apparent embezzlement by the former head of the Nor Nork administrative district and the head of the financial department of the community has concluded. This was reported by the Investigative Committee of the Republic of Armenia.

The investigation was initiated based on reports received from the head of the Nor Nork administrative district to the prosecutor's office and involved several criminal cases combined into one. It was found that the former head of the administrative district, A.U., using his official position and in agreement with the director of a company authorized to organize various events and the head of the financial department, decided to embezzle the funds allocated for an event dedicated to the 'Motherhood and Beauty' holiday on April 7, 2016.

To this end, a fake handover-acceptance certificate was created between the director of the company and the head of the administrative district, as well as a false act with the head of the financial department, stating that the event was allegedly organized and held at a restaurant on Tevosyan Street in Yerevan on April 7, 2016, which, in fact, never took place. For this purpose, 1,500,000 AMD intended for the organization and conduct of the event was transferred to the company's bank account and was cashed by the company director. Subsequently, fulfilling his tax obligations, the remaining 1,250,000 AMD was handed over to the head of the financial department in cash at his office.

As a result, the head of the administrative district, by using his official position in preliminary agreement with the head of the department, embezzled a large sum of 1,250,000 AMD, causing property damage to the Yerevan community.

Additionally, the former head of the administrative district, exceeding his authority, unlawfully demanded from two companies operating in areas rented from the Nor Nork administrative district's building located at 19 Gayi Avenue, in agreement with the head of the financial department, that they pay 20,000 AMD each month to the 'Nor Nork' development fund starting from 2016, and 15,000 AMD from another sole proprietor, threatening to terminate their leases if they failed to comply. According to the investigation, from 2016 until April 2018, the companies transferred approximately 530,000 AMD to the fund, while the sole proprietor paid 420,000 AMD, resulting in total significant property damage of 1,480,000 AMD to the legal interests of the organizations.

The investigation also found that the head of the financial department of the administrative district, abusing his position, inflated the number of A4 papers allocated to different departments in distribution lists by inserting clearly false information. Specifically, instead of the batch included in the requests, significantly fewer sheets of paper were provided, and he embezzled 1,255 boxes of A4 paper worth 1,443,250 AMD that were not distributed to the departments, causing significant property damage.

During the investigation, the part concerning the aforementioned actions was separated into a separate case, and the completion of the investigation was announced. Based on sufficient evidence, charges have been brought against the former head of the administrative district under Article 179(2) of the former Criminal Code of the Republic of Armenia (embezzlement in large amounts by a group of persons by prior agreement using an official position), Article 314(1) (official forgery), and Article 309(1) (exceeding official powers). The head of the financial department has also been charged under Article 179(2) (2 counts), Article 314(1) (2 counts), and Article 309(1). As a measure of restraint, a prohibition on leaving has been imposed on them.

During the investigation, the former head of the administrative district restored the damage caused to the community due to the aforementioned criminal acts. The criminal case regarding the separated episodes has been sent to the supervising prosecutor with a guilty conclusion for confirmation and a request to forward the case to court. Meanwhile, the investigation into other criminal manifestations involving the former head of the administrative district is still ongoing.