18.07.2022 | Buildings with a market value of 281 million drams, owned by Expert Center SNCO of Masis city, were alienated at a price 20 times lower

Based on the documents received from the State Property Management Committee of the Republic of Armenia and the Accounts Chamber of the Republic of Armenia, the Department for the Protection of State Interests of the Prosecutor General's Office of the Republic of Armenia verified the compliance of the alienation of buildings with an area of 2993.7 square meters belonging to the "Expert Center" SNCO located in the city of Masis, with the requirements established legislation.


As a result of the study, it became known that in 2017 the evaluating company conducted an evaluation of these buildings, according to the results of which the value of the said property issued as of May 20, 2017 is 12,997,600 AMD. The conclusion was not submitted to the RA Prosecutor General's Office on the grounds that it is absent in the case on the alienation of property.


It turned out that the process of providing valuation services between the company and the RA State Property Department was carried out without a service agreement.


According to the results of the competition held on 11.04.2018, according to the signed agreement, buildings with a total area of 2,993.7 square meters belonging to the Expert Center SNCO in the city of Masis were alienated for only 12,997,600 drams. The buyer resold the property in about a year for 37,000,000 AMD, which is approximately 3 times higher than the initial valuation and sale price.


According to the data available on the website of the Cadastre Committee of the Republic of Armenia "e-cadastre.am", as of 11.07.2022. the cadastral value, close to the market value of the said property, is 281.126.656 AMD.


Thus, according to the results of the study, it was found that as a result of an unfair or negligent attitude to the service on the part of the responsible officials of the RA state property management, in violation of the requirements of the RA Law "On Real Estate Valuation Activities", the process of providing services between the agency and the above company carried out without a legal basis for concluding a contract. According to the company's conclusion, buildings worth 281.126.656 drams were valued at only 12.997.600 drams, which was accepted by the tender commission as the basis for bidding for the sale of the said property. As a result, on April 11, 2018, the said property was alienated for 12,997,600 AMD, or about 20 times less than the cadastral value close to the market value, causing large material damage to the state in the amount of about 268,000,000 AMD.


Taking into account that in the course of the study, data were revealed that testify to the signs of an act provided for in Article 315, part 2 of the former Criminal Code of the Republic of Armenia (part 2 of Article 446 of the current Criminal Code of the Republic of Armenia) at the time of the act, the results of the study were sent to the Investigative Committee of the Republic of Armenia with instructions to resolve the issue of initiating a criminal case.



Notice: Every person suspected in or charged with a criminal offense shall be presumed innocent unless proved guilty in the manner prescribed by the RA Criminal Procedure Code and unless the verdict comes into legal force.