EU removes Armenia from tax havens ‘grey list’

Big News Network
Feb 19 2020

PanARMENIAN.Net – Armenia has been removed from the EU 'grey list' of non-cooperative tax jurisdictions, according to a decision approved by the Council of the European Union.

The EU 'blacklist' of non-cooperative tax jurisdictions includes overseas tax territories that do not effectively co-operate with the EU. Countries on the 'grey list', meanwhile, are qualified as tax havens and have promised reforms.

The Council on Tuesday, February 18 adopted revised conclusions on the EU list of non-cooperative jurisdictions for tax purposes.

Joining Armenia in the list of jurisdictions that managed to implement all the necessary reforms to comply with EU tax good governance principles were Antigua and Barbuda, Bahamas, Barbados, Belize, Bermuda, British Virgin Islands, Cabo Verde, Cook Islands, Curaçao, Marshall Islands, Montenegro, Nauru, Niue, Saint Kitts and Nevis, Vietnam.

In addition to the 8 jurisdictions that were already blacklisted, the EU also decided to include the following jurisdictions in its list of non- cooperative tax jurisdictions: Cayman Islands, Palau, Panama, and Seychelles.

The EU first set up its list of tax havens in 2017 in an attempt to put pressure on countries to crack down on tax havens and unfair competition. Blacklisted countries face difficulties accessing EU funding programmes and European companies doing business in those jurisdictions have to take additional compliance measures.

The European Commission said in March 2019 that Armenia was among the 34 jurisdictions that have already taken many positive steps to comply with the requirements under the EU listing process, but should complete this work by the end of 2019 to avoid being blacklisted in 2020.


RFE/RL Armenian Report – 02/17/2020

                                        Monday, 

Pashinian Discusses Armenian Referendum With Council Of Europe Head


Germany -- Council of Europe Secretary General Marija Pejcinovic Buric and 
Armenian Prime Minister Nikol Pashinian meet in Munich, February 15, 2020.

The Council of Europe’s Secretary General Marija Pejcinovic Buric spoke of 
“concerns” about ongoing political developments in Armenia when she met with 
Prime Minister Nikol Pashinian in Munich at the weekend.

The meeting focused on the Armenian government’s judicial reforms and, in 
particular, its controversial decision to hold a referendum on replacing most 
members of the country’s Constitutional Court.

In his opening remarks at the meeting publicized by his press office, Pashinian 
again accused the court of maintaining close ties to the former Armenian 
leadership.

“We are in a very, very careful process of demining our democracy, our 
judiciary, and I am very glad to have this opportunity to give you some 
information about the current processes because recently we decided to have a 
referendum connected with the Constitutional Court,” he said.

“Of course, from the Council of Europe side we watch very carefully what is 
going on,” responded Pejcinovic Buric. “There are some concerns and I would like 
to hear from your side how you see this process developing.”

“For us, it is very important that obligations and standards are followed as we 
have other bodies that will be involved in work with Armenia within the 
judiciary and the Constitutional Court,” she added in English.

According to a statement by his office, Pashinian then “spoke in detail about 
the circumstances of the referendum” slated for April 5. Pejcinovic Buric 
“expressed the Council of Europe’s full support for reforms, including in the 
judicial field, taking place in Armenia,” said the statement. It did not 
elaborate on the concerns mentioned by the head of Europe’s leading human rights 
organization.

The Council of Europe issued no statements on the meeting held on the sidelines 
of the annual Munich Security Conference.

Armenians are due to vote on April 5 on draft constitutional amendments that 
would end the powers of seven of the nine Constitutional Court judges installed 
by the country’s former governments.

Pashinian has repeatedly accused the judges -- and chief justice Hrayr Tovmasian 
in particular -- of impeding his efforts to make the Armenian judiciary “truly 
independent.” Critics claim that he is seeking to gain control over the 
country’s highest court.

Opposition lawmakers have denounced the amendments drafted by Pashinian’s My 
Step bloc as unconstitutional. They also say that the Armenian authorities 
should have consulted with legal experts from the Council of Europe’s Venice 
Commission before putting the proposed changes on the referendum.

Earlier this month, the Armenia co-rapporteurs of the Parliamentary Assembly of 
the Council of Europe (PACE) urged the authorities to submit the changes to the 
Venice Commission for examination “as soon as possible.” A senior Armenian 
lawmaker countered that Yerevan is under no legal obligation to seek such 
judgment.




Constitutional Referendum Campaign Officially Starts

        • Harry Tamrazian

Armenia -- A Constitutional Court hearing in Yerevan, February 11, 2020.

Campaigning officially began in Armenia on Monday for a referendum on 
constitutional changes sought by Prime Minister Nikol Pashinian and denounced by 
his political opponents.

The draft amendments to the Armenian constitution call for the dismissal of 
seven of the nine members of the Constitutional Court accused by Prime Minister 
Nikol Pashinian of being linked to the country’s “corrupt former regime.”

The Armenian parliament controlled by Pashinian’s My Step bloc decided on 
February 6 to put them on a referendum after months of tensions with the court 
and its chairman, Hrayr Tovmasian, in particular. Tovmasian has resisted strong 
government pressure to resign.

My Step has already set up a campaign headquarters for a Yes vote in the 
referendum scheduled for April 5. To pass, the amendments drafted by the ruling 
bloc have to be backed by a majority of referendum participants making up at 
least one-quarter of Armenia’s 2.57 million or so eligible voters.

The National Assembly initiated the vote amid serious procedural violations 
alleged by opposition lawmakers. Some of them said the amendments also run 
counter to other articles of the constitution. Pashinian’s political allies deny 
this.

One of them, Alen Simonian, insisted at the weekend that the proposed 
constitutional changes are part of broader government efforts to strengthen 
judicial independence in Armenia. He said the authorities want to replace 
Tovmasian even though the latter was always ready to “serve” them.

“We want to have the kind of judicial system that may say No to us on some 
issues but will be independent,” Simonian told RFE/RL’s Armenian service. “This 
judicial system has already proved that it’s not independent.”

Critics say that Pashinian’s team is on the contrary seeking to fill the 
Constitutional Court with their loyalists and predetermine its future rulings.

Gevorg Gorgisian, a senior member of the opposition Bright Armenia Party (LHK), 
argued that Armenia has far more pressing issues to deal with. “We will be 
spending a huge amount of money on this process in order to fire one person, 
ignoring the most important issues,” Gorgisian said, singling out security 
challenges stemming from the Nagorno-Karabakh conflict.

LHK leader Edmon Marukian last week described the upcoming referendum as 
“completely illegal.”

The former ruling Republican Party of Armenia (HHK), which installed Tovmasian 
as court chairman in 2018, described the referendum as an unconstitutional 
“farce” aimed at “satisfying Pashinian’s dictatorial ambitions.”

“Pashinian came to power and hundreds of thousands people wanted changes not for 
Hrayr Tovmasian’s being or not being [in office] … but in order for their lives 
to get better,” said HHK spokesman Eduard Sharmazanov.

Sharmazanov reaffirmed the HHK’s pledge not to participate in the unfolding 
referendum campaign. He also said that the party led by former President Serzh 
Sarkisian will urge supporters to boycott the vote.

The LHK and the other parliamentary opposition force, the Prosperous Armenia 
Party (BHK), have similarly decided not to officially campaign for a “No” vote. 
The BHK leadership questioned the legality of the referendum on Friday.




Charges Dropped Against Serzh Sarkisian’s Ex-Bodyguard

        • Naira Bulghadarian

Armenia - President Serzh Sarkisian (R) and his chief bodyguard Vachagan 
Ghazarian (L), Yerevan, April 14, 2012.

Law-enforcement authorities have dropped corruption and tax evasion charges 
against the former chief bodyguard of ex-President Serzh Sarkisian nearly four 
months after he transferred 2.9 billion drams ($6 million) to the state.

Vachagan Ghazarian was arrested in June 2018 on charges of “illegal enrichment” 
and false asset disclosure shortly after the “Velvet Revolution” that toppled 
Sarkisian. The charges stemmed from his failure to declare to a state 
anti-corruption body more than $2.5 million in cash that was mostly held in his 
and his wife’s bank accounts.

The Special Investigative Service (SIS) said at the time that Ghazarian was 
obliged to do that in his capacity as deputy chief of a security agency 
providing bodyguards to Armenia’s leaders. It also accused him of tax evasion.

Ghazarian, who headed Sarkisian’s security detail for over two decades, was 
released from custody in July 2018 but arrested again in November 2018. A 
Yerevan court granted him bail one month later after he promised the hefty 
payout.

The SIS announced in October 2019 that Ghazarian and his wife Ruzanna Beglarian 
have completed the $6 million payment. A spokeswoman for the law-enforcement 
agency, Marina Ohanjanian, said on Monday that they thus “fully compensated” the 
state for taxes evaded by them.

The SIS cited a much smaller sum when it accused a night club in Yerevan owned 
by the couple of tax evasion in 2018.


Armenia - Vachagan Ghazarian empties his bag filled with cash after being 
arrested by the National Security Service in Yerevan, 25 June 2018.

Ohanjanian told RFE/RL’s Armenian service that because of the payout Ghazarian 
and his wife will not stand trial for tax fraud. Investigators have also cleared 
them of illegal enrichment, she said.

According to Ghazarian’s lawyer, Armen Harutiunian, the SIS has acknowledged 
that an Armenian law on mandatory asset declarations by senior state officials 
does not apply to the once powerful former security official.

Citing a lack of evidence, the SIS also decided last week not to prosecute 
Ghazarian for extortion alleged by the night club’s former chief accountant. The 
latter claims that she was forced to pay Ghazarian 40 million drams ($84,000) 
for financial irregularities blamed on her.

Officers of Armenia’s police and National Security Service (NSS) found $1.1 
million and 230,000 euros in cash when they raided Ghazarian’s Yerevan apartment 
in June 2018. The NSS said he carried a further $120,000 and 436 million drams 
($900,000) in a bag when he was caught outside a commercial bank in Yerevan a 
few days later.

Ghazarian claimed afterwards that most of the money found in his home and bank 
accounts belongs to his businessman friend living abroad.

In early 2019, the NSS secured an even heftier payout, worth $30 million, from 
Serzh Sarkisian’s indicted brother Aleksandr. The money was held in Aleksandr 
Sarkisian’s Armenian bank account frozen by the security service following the 
2018 revolution.


Reprinted on ANN/Armenian News with permission from RFE/RL
Copyright (c) 2020 Radio Free Europe / Radio Liberty, Inc.
1201 Connecticut Ave., N.W. Washington DC 20036.
www.rferl.org


Chancellor of Armenian Patriarchate of Jerusalem clarifies article published in Jewish Press

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 16:54,

YEREVAN, FEBRUARY 14, ARMENPRESS. Chancellor of the Armenian Patriarchate of Jerusalem Koryun Baghdasaryan presented clarification regarding the article which was published recently in the Jewish Press titled “Turkey Working to Take Over Armenian Quarter in Jerusalem’s Old City”.

“On February 13 an article titled “Turkey Working to Take Over Armenian Quarter in Jerusalem’s Old City” was published in the Jewish Press where the author first of all refers to the Turkish attempt to close the museum of Ilya Kahabadijan dedicated to the Armenian Genocide. Let us state that Ilya Kahabadijan has a photography studio where he is selling the photos made by his grandfather and father and it is not a museum dedicated to the Armenian Genocide. This studio is located in the Christian quarter of Jerusalem’s Old City and belongs to the Greek Patriarchate of Jerusalem”, Chancellor Koryun Baghdasaryan said on Facebook.

Commenting on the point in the article which says that Turks offer grants worth 3000 USD to Armenians to remain silent, Baghdasaryan said it’s impossible to tempt the Armenians of Jerusalem with 3000 USD. “Almost all Armenians of Jerusalem live in socially good conditions, and those we are in social needs, the Armenian Patriarchate of Jerusalem has provided them with apartment, jobs and food, therefore it’s impossible to tempt the Armenians of Jerusalem with 3000 USD”, he said.

The article published in the Jewish Press also states that months ago the residents of the Armenian quarter were shocked when they revealed that one of their houses has been sold to a Muslim with three times higher price that its real cost was, and the investigation also revealed that the funds for buying the Armenian property were received from Turkey. In his clarification Koryun Baghdasaryan said no apartment in the Armenian quarter has been sold in the recent period.

“The Armenian Patriarchate of Jerusalem is the owner of both the Cathedral of Saint James and all the properties in the Armenian quarter. The apartments and shops of the quarter are provided with either protected tenancy or unprotected tenancy principle”, he said, adding that the tenants are mostly Armenians. “The Armenian Patriarchate of Jerusalem is not selling a property”, he noted.

The author of the article also wrote that one Christian trader, who wanted to remain anonymous, said that the Turks recently transferred to the Jordanian Waqf very old ownership certificates, some crumbling, including Ottoman-era documents and property ownership documents in the Armenian and Christian Quarters.

“As for the documents transferred by the Turks to the Wadf, let’s state that the right to ownership of all properties of the Armenian quarter belonging to the Cathedral cannot be appealed as they are registered under the name of the Armenian Patriarchate and the ownership documents of all properties are kept in the Patriarchate”, Baghdasaryan said.

Baghdasaryan, however, stated that in one point the author of the article was right, stating that recently a growth in visits of Turkish tourists to Jerusalem has been observed who recently tore up the posters of the Armenian Genocide from the walls of the Armenian quarter.

“The Police was immediately reported on this incident, and no such other case has been registered. Unfortunately, we should state that these posters have been on the walls for decades and have always been torn up by Jews”, he said.

The article in the Jewish Press also stated that “the growing Turkish activity in Jerusalem and its support for the Muslim Brotherhood are of concern to Israel. In its recent annual intelligence assessment, the IDF Intelligence Division has, for the first time, defined Turkey as a threat”.

Edited and translated by Aneta Harutyunyan




Armenia’s economic dynamism remains strong – WB

 

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 18:15,

YEREVAN, FEBRUARY 14, ARMENPRESS. According to the World Bank, Armenia’s economic dynamism remains strong, with growth driven by services and recovery of mining, ARMENPRESS was informed from the WB monthly economic update of Armenia.

The WB notes that the growth of economic activity index reached 10.7% in December 2019, compared to the same period of 2018.

The Bank also notes that in December 2019 Armenia preserved low inflation rate (0.7% against 2018 December), while it slowed even down in January 2020. The inflation of December was driven by 4.6% rise of cigarette prices and 2.3% rise of transpiration expenses.  The average annual inflation of 2019 was 1.4% (in 2018 it was 2.5%). The latest data shows that in January there was almost no change of prices and the inflation in January was 0.2% against the same period of 2019.

The monthly update of the WB notes that Armenia recorded 52% growth of imports in Deember 2019 against 13% growth of exports, but at the same time Armenia received by 14.7% more tourists in 2019 against 2017, reaching the number of tourists to 1.9 million.

Edited and translated by Tigran Sirekanyan

Turkey ramps up security for Russian embassy as ambassador receives threats over Syria

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 10:57,

YEREVAN, FEBRUARY 14, ARMENPRESS. The Turkish authorities have strengthened security measures of the Russian Embassy in Ankara after Ambassador Alexei Yerkhov began receiving threats over the escalation of the situation in Idlib, Syria, TASS reported.

A Russian diplomat in Turkey told TASS that the Turkish government ramped up security for the diplomatic mission after the latter’s request.

Edited and translated by Stepan Kocharyan




Winner of Tigran Mansurian Music Composition Competition announced

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 14:44, 7 February, 2020

YEREVAN, FEBRUARY 7, ARMENPRESS. Young composer Bryn Kirsch has been named as the winner of the Tigran Mansurian Music Composition Competition, the Dilijan Chamber Music Series said on Facebook.

The winner received a $2,500 prize and will also be given a professional recording and performance of his piece.

Students enrolled in a college, university, or conservatory in the state of California
during the year of entry are eligible to apply for the Competition.

One of the missions of the Competition is to encourage the creation of chamber music that demonstrates a tangible connection to Armenian art, culture, and/or history.

The Dilijan Chamber Music Series is dedicated to showcasing traditional pieces of Western classical chamber music, as well as pearls from the treasury of Armenian chamber works. Founded by members of the Lark Musical Society, this concert series is aimed at encouraging new devotees to chamber music, while simultaneously inspiring seasoned concertgoers. 

Edited and translated by Aneta Harutyunyan




Armenian deputy PM holds meeting with EBRD Vice President in Yerevan

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 15:05, 7 February, 2020

YEREVAN, FEBRUARY 7, ARMENPRESS. Deputy Prime Minister of Armenia Mher Grigoryan received today the delegation of the European Bank for Reconstruction and Development (EBRD) led by Vice President for Policy and Partnerships Pierre Heilbronn, the deputy PM’s Office told Armenpress.

Before the meeting the deputy PM participated in the signing ceremony of an agreement with the EBRD relating to the Meghri border checkpoint program.

Welcoming the guests deputy PM Grigoryan praised the level of Armenia’s cooperation with the EBRD and highlighted the Bank’s activeness in the private sector. He, in particular, highlighted the importance of EBRD programs in the capital market development, energy-saving and alternative energy development, SME development.

The EBRD Vice President thanked for the reception and the constructive cooperation and reminded that the EBRD Annual Meeting of the Board of Directors will be held in Yerevan in 2021, adding that he is expecting the government’s support to organizing this event at the highest level.

Edited and translated by Aneta Harutyunyan




Armenia parliament committee chair deeply outraged by government representatives’ disrespect

News.am, Armenia
Feb 5 2020

14:08, 05.02.2020
                  

YEREVAN. – Government representatives were not in attendance to the second-reading debates of the bill on amendments and addenda to the Code on Administrative Offenses at the Standing Committee on Defense and Security of the National Assembly of Armenia, and this caused the dissatisfaction of Andranik Kocharyan, chair of the aforesaid committee and MP of the ruling My Step alliance.

Kocharyan assured that this issue would definitely be raised, stressing that such behavior was simply unacceptable.

Gevorg Gorgisyan, secretary of the opposition Bright Armenia faction in parliament, was also outraged by the absence of government representatives, and suggested that the debates on this legislative initiative be continued as a sign of disrespect in return.

At the request of MP Gevorg Papoyan, the author of the bill and My Step MP, the committee continued its work after a five-minute break, and this bill was debated on.

Georgia temporarily suspends direct flights with China to prevent spread of coronavirus

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 13:09, 29 January, 2020

YEREVAN, JANUARY 29, ARMENPRESS. Georgia suspended direct flights with China until March 29 to prevent the possible spread of Chinese coronavirus in the country, the Georgian Civil Aviation Agency said, reports TASS.

The Chinese aviation authorities and respective air companies have been notified about the flight suspension.

The GCAA said this decision may be revised based on the spread rates of coronavirus.

Edited and translated by Aneta Harutyunyan




Number of US Senators supporting resolution on Armenian Genocide increases

Number of US Senators supporting resolution on Armenian Genocide increases

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 20:46, 1 November, 2019

YEREVAN, NOVEMBER 1, ARMENPRESS. The number of US Senators supporting the resolution on the Armenian Genocide reached 9, Armenian political scientist Suren Sargsyan said on Facebook.

“The number of supporters of our resolution in the US Senate, the upper house of the Congress, has become 9. Today 2 more Republican Senators Mitt Romney and John Cornyn joined them”, Sargsyan said.

On October 29 the US House of Representatives adopted a resolution on recognizing the Armenian Genocide based on the voting results. 405 Congressmen voted in favor of the resolution, while 11 voted against. A similar resolution is most likely to be debated at the Senate in November.

Edited and translated by Aneta Harutyunyan