Armenia files criminal case against ex-mayor

The Armenian Prosecutor-General's Office has initiated a criminal case against former mayor of Yerevan, former Armenian Minister of Energy Yervand Zakharyan as part of case on illegal sale of state property.

Under the case, former mayor (he served as mayor from July 1, 2003 till March 4, 2009), having no legal grounds, sold the land plot and the famous Palace of Youth (the total area was 31,780 sq. m) to Avangard Motors company at a price 12 times less than the cadastral value. The cadastral value of the building and the land plot was 805,623,000 drams ($2,088,296) during the deal, Caliber.Az reports citing the Armenian media.

Moreover, the building and territory could be transferred to the buyer after state registration - January 27, 2004. However, upon the decision of the former mayor, the building and the adjacent territory were transferred to Avangard Motors company ahead of schedule - on January 16, 2004.

Head of one of the departments of Yerevan Municipality K. D. and director of Avangard Motors L. A. signed an agreement on a 31,780-square-metre-land plot for 62,973,405 drams ($163,236) in favour of the company on January 17.