How the Balasanyan Family Acquired Lands Around the Black Fortress of Gyumri

The former mayor of Gyumri, Samvel Balasanyan, reclaimed lands located on Ghaars Street from the Ministry of Defense in 2018, divided them into several parts, and sold them to various individuals. The lands were withdrawn from auction, sold, and at times, contracts of donation were signed, eventually making the Balasanyan family or their close acquaintances the owners of these plots. These lands are located around the Black Fortress. The fortress itself also belongs to the Balasanyans. There was a criminal case related to the expropriation of the fortress; however, it was closed. CivilNet reports on this matter.

The lands at Ghaars Street address 2/7, adjacent to the famous Black Fortress, were handed over to the Ministry of Defense by the Gyumri Municipality in 2005. The total area of the lands is about 20 hectares. In 2014, the plot was divided into two parts: Ghaars Street 2/7 (19 hectares) and Ghaars Street 2/8 (1 hectare). In February 2018, the Gyumri Council decided to reclaim these lands from the Ministry of Defense for community needs. A few months later, the former mayor divided the property at Ghaars Street 2/7 into four parts and sold them.

One of the parts was a plot of land at Ghaars Street 2/9, initially about 7,000 square meters, which expanded to 11,700 square meters. After reclaiming this plot from the Ministry of Defense, Samvel Balasanyan sold it to a private citizen, Sirakan Mkoyan, for 15.3 million drams. A service facility was supposed to be built on this sold plot. Sirakan Mkoyan is associated with the Balasanyans; he serves as the director at several companies owned by Balasanyan’s sons including “Gyumri Poloz,” “Old Mill,” “Balji,” and “AA Consulting.” Three months later, Mkoyan sold this land to Samvel Balasanyan's younger son, Khachatur Balasanyan, for 16 million drams.

Samvel Balasanyan further separated two other parcels from the main plot: Ghaars Street 2/10 (over 3,500 square meters) and 2/13 (5,400 square meters). He changed the functional designation of the land to public construction. Since this section of Ghaars Street coincides with the preservation zone of the Black Fortress monument, the change in land designation required the permission of the Ministry of Education, Science, Culture, and Sport, which the community obtained.

The former mayor again divided these lands into two parts: Ghaars Street 2/10 and 2/15. Ghaars Street 2/15 was sold to Garik Grigoryan, a resident of Gyumri and a close ally of the Balasanyans, who is linked to their businesses. According to the purchase agreement, the land plot with an area of 3,420 square meters was sold to Grigoryan for 4.4 million drams. According to the relevant decision, a parking lot was to be constructed on this plot. The other separated plot, Ghaars Street 2/10, remains owned by the Gyumri community.

The largest portion separated from Ghaars Street 2/7 is the plot at Ghaars Street 2/11, measuring about 3.2 hectares. In 2018, Samvel Balasanyan handed this land over to “Sev Ghul” LLC for development rights for 60 years, with the company tasked with organizing a recreation area and implementing investments. An annual fee of 171,000 drams was established. The shareholder of “Sev Ghul” is Harutyun Badiryann, whose brother, Narek Badiryann, is the director of the “Balasanyan Family” Charitable Foundation and a member of “Beer Brewers’ Union” NGO, which is owned by Samvel Balasanyan’s son, Misak Balasanyan. Additionally, the legal address of one of Narek Badiryann's companies is the same as the “Gyumri” brewery's Yerevan representation owned by the Balasanyans on Fuchiki Street.

In 2014, when the plot at Ghaars Street 2/7 was still under the Ministry of Defense, a new address was created, Ghaars Street 2/8, covering 1 hectare. In 2015, the Ministry of Defense sold this plot for 13 million drams to Gyumri resident Suren Janoyan. Janoyan is close to the Balasanyans and is currently the head of the residential and environmental protection department at the Gyumri municipality. He has held various positions at the municipality since 2017 during the tenure of Samvel Balasanyan as mayor and was previously an employee at the “Gyumri” brewery owned by the Balasanyans, progressing from a driver to the head of the supply and delivery department.

Janoyan received a construction permit and built public significance facilities on the land. In 2016, he sold the plot and the facilities to Samvel Balasanyan's son Khachatur Balasanyan for 4.9 million drams, although he had purchased it from the municipality for 13 million drams. Thus, the price for the 1-hectare plot, including the built facilities, decreased compared to the initial price. The facilities on the plot now include three service buildings, a swimming pool, a guardhouse, walls, and more. Khachatur Balasanyan later constructed eight pavilions on his land, which were legalized in October 2018, when his father was the mayor.

The Office of the Prosecutor General demands the annulment of the decisions made by the council and the mayor concerning the sale of these lands associated with Khachatur Balasanyan at Ghaars Street. According to the prosecutor’s office, the plots at Ghaars Street 2/9 and 2/15 were of special significance and could not be sold. As for Ghaars Street 2/8, the prosecutor's office informed CivilNet that there is an ongoing criminal investigation regarding its sale.

The Black Fortress in Gyumri was constructed in the 1830s and was one of the vital defense points of Alexandrapol. The fortress and its surroundings are included in the Kumayri historical and cultural reserve. The fortress is a monument of national significance. From 1995, the Black Fortress was under the balance of the Ministry of Defense, and in 2005 it was expropriated by citizen Tigran Petrosyan, who sold it to Samvel Balasanyan in 2012. The Balasanyans renovated the fortress, converting it into a cultural and sports complex. Balasanyan divided the fortress area into two parts, addressing them as Ghaars Street 2/2 (5,206 square meters and 3,300 square meters of buildings) and Ghaars Street 2/14 (2,700 square meters of land and 135 square meters of building). In December 2019, Samvel Balasanyan and his wife donated this property to their son, Khachatur Balasanyan. In September 2020, a criminal case was initiated regarding the expropriation of the fortress in 2005. According to a police report, the fortress belonged to the Ministry of Defense and was not subject to expropriation, as it is considered state property and a non-expropriable monument. The case was being investigated by the Anti-Corruption Committee. The committee informed CivilNet that the criminal case related to the expropriation of the Black Fortress was closed due to a lack of crime.

Khachatur Balasanyan also owns the land at Ghaars Street 4/7, where a two-story building is currently located. The building is situated on the road leading to the fortress at its lower section. This 2,333 square meter plot was community-owned. In 2017, the land and a 31 square meter public significance building on it were put up for auction. Grigoryan, a trusted person of the Balasanyan family, was recognized as the auction winner and paid 2.6 million drams for the land. Six months later, he sold the land to Khachatur Balasanyan for 2 million drams, which was cheaper than the initial price.

In August 2021, Khachatur Balasanyan received construction permission from his mayor father to build a center for recreation, entertainment, and sports gatherings. From the architectural section of the development album, it is known that the building was supposed to be one floor. However, the media clarified that Khachatur Balasanyan actually built a second floor as well. Construction work is ongoing here. There are no initiated processes regarding the legality of the property at Ghaars Street 4/7 in the prosecutor's office.

For further details, please refer to the original source.