Armenia to Finalize Cost Calculation for Iran-Armenia Railway Investor

Today, during a cabinet meeting, a decision was made that Armenia will calculate all expenses related to the investor of the Iran-Armenia railway, "Rasia FZE." The company had previously sued the Armenian government after the government signed a contract with this investment company registered in the United Arab Emirates in 2013.

However, the company did nothing for five years to implement the project, leading the Armenian government to announce the need to terminate the agreement. This led to the company and its owner, Joseph Borkovski, filing an international arbitration claim against the Armenian government.

Ten years later, the arbitration court ruled in favor of the Republic of Armenia, obliging the company to pay the Armenian authorities $2,783,000, including legal costs and expenses for international project consultants.

As of December 23, 2024, the Armenian government has already received the specified amount of $2,783,000, and by today’s decision, will transfer $1,084,000 to the consulting firm, "Baker & McKenzie LLP," operating in the United States.